The Affluent Market for Selected Upscale Products and Services

This report is based on data derived from the Spring 2006 Affluent Market Tracking Study #9, the latest in a continuing series of surveys that measure and track how the most affluent 10% of U.S. households assess current business conditions and their 12-month outlook for the economy, the stock market, and their personal household earnings. The surveys also monitor anticipated changes in spending for a variety of different products and services, changes in expected rates of saving, and primary investment objectives.

The recently completed survey included a series of special questions about the current ownership and expected purchases of 20 upscale electronics and specialty appliances and the recent and planned experience with eight (8) products and services usually associated with the “ultra-wealthy”.

Among the 20 upscale electronics and appliances are wine closet/room, built-in outdoor grill, home theater room with special seating, home theater/entertainment system, flat panel televisions of various sizes, projection television, various types of computers and personal entertainment electronics, convection oven, espresso/cappuccino machine, and digital cameras. Among the products and services associated with the “ultra-wealthy” are cosmetic surgery, laser eye surgery, fine watch or jewelry (over $5,000 in value), an item of lady’s couture apparel (over $1,000 in value), a new automobile (over $40,000 in value), and use of private jet or yacht charter for a vacation.

For much of the preceding, the report also provides data for demographic segments within the affluent population as well as references to historical information, where available.

The respondents in this survey reported an average net worth of $2.7 million and an average annual income of $339,000.