the resonance report 2013 webinar

The Resonance Report 2013U.S. Affluent Travel and Leisure

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Overview• In December 2012, a national sample of 1,232 wealthy consumers was surveyed

in depth online by the Luxury Institute on behalf of Resonance Consultancy about their aspirations, lifestyles, leisure and retirement pursuits.

• Respondents were recruited and screened to only include those age 21 or older with a minimum gross annual income of $150,000. No minimum was set for net worth, but the data was captured.

• These results are intended to provide important insights that can guide decision-making and best practices implementation for companies and brands that cater to wealthy consumers.

• Please be advised that your use of this Resonance Consultancy Ltd. document constitutes your agreement to (i) use the content under a limited license only for your own internal purposes, and (ii) not disclose, publish or otherwise make public or provide the content, in whole or in part, to any third person or entity without the prior written consent of Resonance Consultancy Ltd.  The content is and remains at all times the exclusive intellectual property of Resonance Consultancy Ltd.  Copyright © 2013 Resonance Consultancy Ltd.

2

Who is Affluent?

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$150KMEDIAN INCOME

AMERICANS SAY A FAMILY OF FOUR NEEDS TO FEEL

WEALTHY: $150,000(Pew Research Center)

4

10.6 million (9% of Households)

with Income $150k+

5

6

7

8

Why are they important?

9

U.S. Bureau Labor Statistics 2011 Consumer Expenditures Survey10

11

What do they want?

12

13

14

15

Where are they going?

16

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Top 10 U.S. Travel Destinations*

1. New York, NY

2. Las Vegas, NV

3. San Francisco, CA

4. Washington, DC

5. Orlando, FL

6. New Orleans, LA

7. Chicago, IL **

7. Maui, HI **

7. Miami, FL **

7. San Diego, CA **

*As defined by Metropolitan Statistical Areas** Tied for 7th

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Top 10 International Travel Destinations

1. Italy

2. United Kingdom

3. France

4. Canada

5. Caribbean Islands

6. Australia

6. Germany

8. Spain

9. New Zealand

9. Mexico

27%

21%

19%

16%

15%

13%

13%

12%

10%

10%

19

20

21

16%

16%

15%

11%

10%

9%

8%

7%

6%

6%

1. Hawaii

2. North Carolina

3. Miami or South Florida

4. Las Vegas

5. Orlando/Central Florida

6. South Carolina

7. Caribbean Islands

8. Europe

9. Northern California

10. Arizona

Top 10 Locations for Vacation Homes

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What kind of accommodations

do they prefer?

23

24

25

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What kind of trips are they planning?

27

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What amenities are most important?

31

30

31

What activities do they pursue?

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33

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Vacation Homes

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Between 1990 and 2000, population aged 45 to 54 grew by 49%

Between 2000 and 2010, population aged 45 to 54 grew by 19%

Between 2010 and 2020, population aged 45 to 54 will decrease by 8%

U.S. Census Bureau

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Percentage of Affluent Households Owning Vacation Property

Vacation home

Vacation condominium

Hotel condominium

Timeshare

Private residence club membership

Destination club membership

19

7

4

18

8

7

24

11

3

19

10

9

19

8

2

15

4

3

2008 2010 2012

38

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Percentage Currently Considering by Segment

Vacation home

Vacation condominium

Hotel condominium

Timeshare

Private residence club membership

Destination club membership

13

8

4

4

4

4

<55

7

5

2

3

2

2

55+

9

4

2

4

2

2

<$1MM

12

10

5

4

5

4

$1MM+

40

41

42

What are their plans at age 65?

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44

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Retirement of Affluents at Age 65

A Continue Working

B Retire from my current field of employment and pursue other activities and interests

40

35

30

25

20

15

10

5

0A B

%

Under Age 65Age 65 or Older

29%

36%

40%

37%

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Personal Housing at Age 65

Continue to live in our primary home for the foreseeable future

Downsize to a smaller home/condominium in the same region as our primary residence

Convert a vacation or investmentproperty into my primary residence

Relocate and purchase or rent a homeor condominium in a different region

None of the above

% 10 20 30 40 50

42%55%

12%

9%

5%

2%

16%10%

21%27%

Under Age 65Age 65 or Older

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Key Takeaways

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#1

Vacation Homes & Exotic Vacations remain two of the most desired aspirations for affluents

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#2

While formation of families is slowing down, multi-generationaltravel continues to rise.

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#3

Affluents love technology and will come to expect sophisticated digital guest experiences

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#4

1 in 4 affluents plan to move to vacation home or relocate at age 65 in their “flextirement”

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#5

Success tied to product and amenity innovation catering to “flextirees” and multi-multi lifestyles.

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Chris Fair

President

Resonance Consultancy Ltd.

(646) 413-8887

cfair@resonanceco.com

Twitter: @crfair

Download: www.resonancereport.com