Nearly eight in ten affluent consumers have at least one social networking profile, usually on Facebook, and they are using social websites to gather information to make purchasing decisions, according to the latest research conducted by Unity Marketing Rapaport says.
From the marketers' point of view, social networking websites seem to be the logical place to close sales; however, Unity Marketing concluded that this concept is out of sync with consumer actions.
Pam Danziger, the president of Unity Marketing, said, "Smart marketers will tap the interactivity of these sites to reach out to affluent consumers, ask for their input and really listen to what these consumers need in order to decide to make a purchase."
Danziger published an in-depth report on how high-income consumers use social media and found that about half of affluents have used a social media site to connect with a brand where they can view new products or make public comment. However, only one in four have "friended" a luxury brand and affluents are more likely to use social media to look at brands than to commit to a relationship with them.
"The findings of our research are clear. Social media is most valuable to luxury marketers as a way to listen to their customers, not about finding another channel through which to sell to them," said Danziger. "Luxury brands can't afford to be deaf to what customers are saying."
As for the future of luxury brands on social media websites, Danziger advised, "Building and maintaining a relationship with your affluent customers is critical. Brands need to think of the social networking aspect of their own websites. They don't need to have a Facebook page to 'friend' an affluent shopper. Brands can friend their customers through positive and supportive online interaction on the company's primary website."
In the survey, the average age of respondents was 46 years old and the average household income was $239,300. Nearly 20 percent of the affluents polled were classified as "ultra-affluents," or the top 2 percent of U.S. households, which have incomes of $250,000 and higher. Virtually all of the respondents said they access the Internet for personal use, including shopping. In addition, nearly 80 percent of affluents are social media users.
