Newsy items insist consumers want a bigger bang for their buck or “premiumisation” aka everyday affordable luxury. We agree! Plus, there’s also the need for a guarantee that they’re getting something in return for their hard earned bucks — mainly, accessible quality. It’s been reported that more traditional luxury manufacturers will likely split their focus and either draw back from the ultra elite markets or find ways to become legitimate players in this new realm. As evidence of this already happening, think affordable luxury SUVs or brand name designer eyewear. And even a long-standing Texas-based homebuilder has gotten into the act, stating it’s “found the delicate balance between creature comforts and conveniences and logical cost conservatism, thus affordable luxury.” Perhaps even more surprising, is the fact that the venerable French fashion house, Lanvin, entered the affordable lux fray last year when it launched Lanvin for H & M collection (comprised of nearly 80 designs with price points ranging from $9.99 - $349). Nice one! Of note: H&M operates in 39 countries and has 87,000 employees.
Regarding current consumption trends, there’s another term that’s been played out by pundits and its reflective of the economy and consumer spending habits, it’s called the “the lipstick effect.” Consumers used to purchasing luxury products are opting for less pricey lux ones instead, and now more so than ever. We like this trendy term because not only does it relate to a savvy consumer who is looking for quality for less hard earned bucks, but this is also an individual whose spending pattern refuses to shift to a complete halt. We hope this shopper has DecorPlanet.com on his/her radar! By the way, “the lipstick effect” entered into the financial lexicon thanks to Leonard Lauder, Chairman of Estee Lauder. Who knows, maybe we’ll be next with a DecorPlanet.com-ism!