Survey: Consumers still looking to spend on luxury

Luxury consumers are ready to travel — and want to freshen their wardrobes for the trip. 

Consumers plan to continue spending on luxury in the next three months, with the majority (62%) of respondents (62%) planning to spend the same or more on luxury compared to the last three months, according to the latest Saks Luxury Pulse survey of luxury shoppers.

Respondents are also prioritizing their spending on travel, with 72% having already booked or planning to book a future trip. Of those, the top luxury items they are buying in preparation for their trips are clothing (60%) and shoes (36%).

In addition to vacations, respondents plan to buy luxury items for nights out, special events and going to the office. For these events, they are also planning to buy clothing and shoes.

“Even as consumer spending shifts with the evolving economic environment, we’re pleased to see a sustained interest in luxury,” said Marc Metric, CEO, Saks. “As the largest luxury ecommerce platform in the U.S., it’s our mission to establish strong relationships with the full spectrum of luxury customers and maintain them for years to come.”

In 2021, the Saks Fifth Avenue store business and the Saks e-commerce operations were split into two separate companies by parent Hudson’s Bay Company (HBC). The online business now called Saks. 

Here are other insights from the Saks Luxury Pulse, fielded in January 2023:

• Consumers are using social media – primarily Instagram (55%) – for inspiration when shopping for luxury.

• Respondents shared that they are frequently using social media to read reviews (45%) and to get inspiration for outfits (33%).

• When asked about what services they want the most when shopping, free basic alterations (64%) and returns in store (55%) were among the top three. (Saks said that unlike other luxury digital pure-plays, it is able to provide those services  through its partnership with the Saks Fifth Avenue stores.)

• Respondents with an income of $200,000 or more plan to prioritize spending first on travel, events and activities, followed by clothing.

• Generation Z and millennial respondents plan to prioritize spending first on travel, events and activities, even more than other generations.

• Women respondents plan to embrace spring fashion, such as colorful styles and statement tops in the next three months. Men are planning to embrace clean sneakers, loafers and tailored suits.

The Saks Luxury Pulse is a periodic online survey of luxury consumers’ attitudes towards shopping, spending and fashion trends. It’s conducted in-house by Saks and is based on responses from 2,832 U.S.-based respondents over age 18 and was fielded between January 13-17, 2023.