The growing band of China‘s rich are expecting to travel more than ever before in 2012 — and when they do, it’s most likely that they’ll spend a little money adding to their watch collections.
Such has been the major findings of the Chinese Luxury Consumer White Paper 2012, which takes a peek at the spending habits of those at the very top end of Chinese society and was put together by China’s Industrial Bank Co and the Shanghai-based Hurun Report Research Institute.
“Most brands recognize the spending power of the Chinese luxury consumer but we are attempting to ask the question ‘who are these people and what makes them tick?”’ explained Hurun Report chairman and chief researcher Rupert Hoogewerf to the China Daily newspaper.
Travel was rated by those surveyed as their major yearly expense, outstripping even money spent on daily necessities and their children’s education.
More than half those polled for the report expected their travel expenses to increase in 2012, while 40 percent thought they would spend more money this year on preserving their health and wellness and on education for their kids. When it comes to their children’s education, the report found that 85 percent of China‘s rich planned to send them to schools overseas. When they do travel, China’s wealthy most like to spend on watches, clothes and accessories and leather goods.
Researchers spoke to 878 Chinese with an average personal wealth of 49 million yuan (5.8 million euros). It claims there are now 2.7 “high-net worth individuals” in China with personal assets of more than six million yuan (714,000 euros) and that 60 percent of them are males with an average age of 39.
The report also claims in China there are now 63,500 “ultra high-net worth individuals” with personal assets of 100 million yuan (12 million euros) and that 80 percent of them are male with an average age of 41.
Tales of the modern Chinese consumer …
What they spend on when overseas:
watches (65 percent); clothes and accessories (49 percent); leather goods (48 percent); jewelry (45 percent); cosmetics (43 percent); electronic products (31 percent); wine (20 percent); art (16 percent).
What they collect:
watches (44 percent); ancient calligraphy and paintings (31 percent); wine (23 percent); porcelain (13 percent); contemporary art (13 percent); cars (10 percent); historical houses (five percent); other (eight percent).