NEW YORK--(BUSINESS WIRE)--New research from LoopMe, a leading technology company that uses artificial intelligence (AI) to improve brand advertising performance, reveals that the majority (70%) of US consumers will make a luxury goods or apparel purchase each year, with one-third of those spending at least $1000.
For these high-end shoppers, an in-store experience is preferred with 57% opting to buy luxury goods from a physical shop. Despite big online players like Amazon making inroads into the luxury market, 30% of consumers will still buy directly from the retailer’s store, with 27% choosing a department store or secondary retailer.
The price (50%) and quality (47%) of luxury items are prioritized as key factors when making a luxury purchase, across all budget levels. In addition, LoopMe found that timing matters when consumers make a luxury purchase:
- 54% will buy luxury goods for a special occasion or as a reward for personal achievement
- 30% will buy in a sale
- 16% will buy regularly as part of their lifestyle
- 13% will buy for the holiday season
- 11% will buy when they discover a new collection
“In recent years there have been social media trends and hashtags encouraging users to “treat yourself” or spend on “little luxuries”, and for the majority of US consumers it appears that investing in luxury goods is now a part of their annual shopping habits,” commented Lisa Coffey, CRO, LoopMe. “With price and quality having major sway in decisions about these purchases, and with spending not only restricted to major sales events, brands should maintain an ‘always-on’ presence to continually build appeal, and acquire new customers.”
LoopMe surveyed 5,377 US consumers in August 2024 to gauge consumer behavior and preferences around luxury goods and apparel. Percentages may not add up to 100% due to the option to 'select all that apply'.
About LoopMe
LoopMe is a technology company that uses artificial intelligence (AI) to improve brand advertising performance and outcomes. LoopMe was the first to apply AI to brand advertising and its Intelligent Marketplace, finding solutions to industry challenges that haven’t previously been solved. With consumer insights and AI at its core, LoopMe makes brand advertising better, outperforming industry benchmarks for leading global brands. Our vision is to change advertising for the better, by building technology that will redefine brand advertising. LoopMe was founded in 2012 and is headquartered in the UK, with global offices across New York, Boston, Atlanta, Chicago, Detroit, San Francisco, Los Angeles, Toronto, Singapore, Sydney, Tokyo, Dnipro, Krakow and Hong Kong. For more information, please visit www.loopme.com.
