Chinese luxury consumer base to maintain growth

Despite clampdowns, luxury goods buyers are increasingly prevalent in Asia

A recent report from Bain & Co, an asset management and consultancy firm, claims the number of luxury goods buyers globally reached 330 million last year and is slated to rise again to 400 million and 500 million by 2020 and 2030, respectively.

According to data, compiled in conjunction with research agency Millward Brown, the luxury consumer base will grow by an average of 10 million people per year. The growth will be driven by wealthy consumers from emerging markets in Asia, Latin America and Eastern Europe, says Bain & Co.

The study estimated that consumers over the age of 49 accounted for more than half of luxury spending, whereas consumers between the ages of 13 and 33 comprised just 13% of the global total.

However, Chinese luxury consumers are bucking the trend. While the average age of a millionaire in the West is 53, their Chinese counterpart is just 38 years old. Spending on high-end products is likely to be driven by a surge in wealthy young people in the Asian economy.

A separate study from the Fortune Character Institute estimated that Chinese consumers bought 47% of luxury products worldwide in 2013 and found that consumers aged between 19-30 made up 60.3% of total luxury shoppers.

Gender demographics were roughly even, with female luxury consumers taking a small lead over their male counterparts.

In the auto segment, SUVs were the most desired vehicles for luxury consumers, followed closely by luxury cars and sports cars.

Marketers of high-end products will have to consider both the age of their consumers and shifting tastes. After recent luxury clampdowns in China, consumers are growing increasingly weary of logo-heavy designs, and are seeking out newer and more refined products.