Wealthy and affluent customers can be a lifeline for many businesses including financial advisors. But it’s not always easy to hone in on their particular taste and preferences. That being said, there are many studies that have been conducted on their behavioral patterns along with other revealing and relevant statistics. So we decided to put together the ultimate quick guide on how to attract those wealthy individuals.
Who Are The Wealthy Affluent Customers?
Affluent households are those categorized as having earnings of more than $100,000 per year, and holdings of over $250,000 in liquid assets. According to a recent report, believe it or not, affluent customers make up around 20% of all households in the U.S. Another very interesting fact is that according to that same study, the most represented generation of affluent and wealthy consumers are the Baby Boomers, coming in at around 40% of total earners by generation. In addition, it also noted that the wealthiest of the affluent segment (making a household income of at least $500,000) has an average age of 50 1/2.
What Do Affluent Clients Value?
- Giveaways Still Incentivize: It’s easy to get trapped into thinking that affluent customers don’t care about deals and giveaways as much as other segments do. But that’s simply not the case; affluent buyers still want to feel like they are getting a good deal on something even when they have the money to afford it regardless. A survey done by American Express Platinum Luxury Survey found that “83% of affluent shoppers say they bought their last luxury item when it was on sale and this is very or somewhat important to their decision to buy”.
- Time Is Valuable: According to the same survey, nearly all (90%) agreed that traveling was a desirable way to “break out of the day-to-day routine. Affluent consumers aren’t relaxing poolside eating bon bons all day. They are working long hours, juggling personal and professional lives, and are constantly pressed for time. In many instances, they tend to be seeking experiences to help ease their busy, often hectic, lives with experiences that will make them feel special.
- Personalization Is Important: For affluent prospects, personalization matters; New research from Epsilon and The Luxury Institute showed that, “Luxury brands lose 50 percent of their top customers annually because they routinely misidentify their demographic and economic profile while also failing to create a personalized sales experience for them”.
If you are trying to target affluent prospects make sure you pay attention to the data that’s already out there. Keep in mind that the majority of this segment consists of boomers aged 50 plus and that their needs will be different than the younger generations. Although they have more purchasing power, giveaways such as a gift card in return for a financial review will still incentivize this target market. Also, keep in mind that personalization in your marketing efforts seems to hold a lot of weight with this particular marketing segment.
If you are financial services professional looking to target more affluent prospects Resource Solutions can help! We have programs designed specifically around those more affluent clients. Our proven effective results will speak for themselves. Call us today toll free, our fill out our contact us submission form to speak with a marketing specialist today!