GCC consumers like splurging on luxury goods

RetailME Bureau

GCC consumers dominate a new luxury spending index, states The Wealth Report created by specialist luxury agency Ledbury Research. Qatar, Saudi Arabia and Kuwait all ranked in the top 10, with the three nations performing especially well on the basis of their propensity to spend on imported luxury goods and healthy appetite for premium travel. Additionally, strong wealth growth in Qatar helped it take third place on the table.

While significant amounts of spending by the very wealthy, particularly in London, coupled with relative strength of the country’s economy helped the UK to achieve the number one position, a surge in its ultra-high net worth individuals and rising luxury consumption propelled India to fifth place in the index.

China, despite a dip in its predicted economic growth and government anti-graft measures that have affected luxury demand, came second. Accounting for almost 30% of global spend, Chinese are the single biggest consumers of luxury goods today.

“The results of this new index are fascinating and it will be particularly interesting to see how the rankings change next year in light of falling oil prices and other economic shifts,” observes The Wealth Report Editor Andrew Shirley.

The Big Spenders Index tracks the 10 locations most likely to see strong growth in big-ticket spending by ultra-wealthy residents or visitors. Each location is ranked based on six categories, including wealth growth, luxury store footprint and luxury goods spending.