At RSVP, we specialize in targeting high-income households in your community, because we know the difference that they can make for your business.
If you’re not already familiar with the benefits of such targeting, consider this: Studies have shown that the affluent portion of the population (those households that make $100,000 or more annually) make up just a quarter of the overall consumer base. However, they account for nearly half of the total spending power out there (1). This means that if you’re not going out of your way to appeal to this target audience, you may be leaving dollars behind for your business!
There’s a lot of reasons beyond their buying power itself – their spending habits are worth thinking about, too.
For instance, more than 40 percent of affluent men have reported that it’s important for them to shop at places that provide personalized attention and experiences (2). So, if your company is good at giving that hands-on, individual attention to clients, you’ll want to appeal to this buying group.
More than half of affluent customers have stated that they tend to seek an expert opinion before purchasing and their habits have shown they are more likely to be following entrepreneurs online on social media (3). Accordingly, you may want to consider looking into partnerships with influencers, especially in your service area, in order to appeal to these buyers.
Demographically, there are important considerations to keep in mind as well. While Boomers were, for a long time, the largest share of affluent households, it’s been Gen X that’s overtaken them since 2020. Currently, Gen X makes up 34 percent of affluent households, with Boomers behind at 33 percent, followed by Millennials at 26 percent. The Silent Generation continues to make up five percent of the affluent population, while Gen Z has entered the conversation and is now making up about two percent of that consumer segment (1). With this shift in demographics continuing to occur, you may need to consider appealing to a younger demographic than you thought to reach your target audience.
Across these demographics, many believe that it’s a good time to spend right now – even in the face of economic hardship elsewhere. About 37 percent have reported that they think it’s a good time for a major purchase right now (2), meaning it’s a good time for your business to appeal to these households.
RSVP specializes in helping you reach your target audience by connecting you to homes in the top 20 percent in markets across North America. Looking to help reach affluent prospects and maximize your own business potential? Contact the RSVP team today.
1. Visa
2. IPSOS
3. https://insight.gwi.com/hubfs/Downloads/Affluent-Consumers-Report.pdf
