Luxury research is done for some reason, just like any other form of consumer research should have a goal. The development of many luxury goods and services is due to the fact that rich consumers offer honest answers to marketing questions, and not by chance or gambling on behalf of businesses that have anticipated their needs.
Any form of marketing research or surveys has a goal: the end use on which results will be delivered. It does not matter whether the target subjects of this study are rich, medium or even poor, as far as these terms can be defined, because it is important what type of information is collected and their intended use. Why is this type of marketing research conducted? The objectives of the luxury market research are as follows:
• Identify market gaps that are perceived as rich,
• Identify services that are willing to pay for rich people
• Identify any intended changes in how the rich spend their money,
• Determine the future need that can be foreseen in advance,
• Get a better understanding of how the rich expect their future consumer spending to be directed
• Offer a better understanding of future market trends for any product category or type of service.
You may think of a few others, but luxury research is not significantly different from other forms of market research in terms of objectives. The difference is in demand and demand. There is just as much money to sell five standard cars as from one luxury car. There is a market for everyone, and although there are fewer buyers in the elite market, the price is higher. Each market must be placed, and each of them has its own criteria that are important to its customers.
Luxury cannot be defined
One of the problems with the term "luxury" is that it cannot be defined. Luxury to one is standard for another and inferior to third. Market research focused on perceived luxuries is partly aimed at determining what the term means, by determining what the rich are spending their money now and what they will spend on it in the future. Identifying future consumer trends is an important part of any form of research in the retail and services industry.
Keep in mind that not all rich people buy premium items. Many would like to see less manifestations and more practicality in their products, while others are diametrically opposed: they want shine and higher prices to be better. Often this is the difference between old and new money - the lottery winner spends the fastest, and their wealth is the shortest.
However, bearing in mind that the main purpose of luxury research is to determine that the rich will spend their money, as well as on products and services that they would like to buy now, but are simply not available, then there is a significant difference between the rich and those who less.
Problems of stimulated market research
Most marketing research conducted for the general public is an interactive or offline survey that has an incentive to participate. This incentive can be cash rewards, merchandise, or free entry to the lottery for cash or merchandise, such as TVs and iPods. These participants pay in principle for this, and it could be stated that their answers can be fundamentally flawed.
This may be especially true for those who use surveys as a means of making money - there are many sites on the Internet that offer cash rewards for surveys. To earn significant money, it is necessary to conduct a large number of surveys, and therefore the incentive for the consumer is not so much the provision of information that could lead to improved service, but also a better product, but for the fullest possible survey they can go on to the next.
Luxury Research Accuracy
However, the rich do not need to make a few dollars by doing a few polls, and are not interested in winning a short vacation. When they respond to a luxury research program, they do it because they want to influence the products they are offered. They want them to speak in future product development, and they have a real need to point out a gap in the luxury market.
Luxury research is expected to be accurate, although the rich will respond only to specialized marketing companies that offer complete confidentiality in exchange for candid answers to their questions. There are firms on the Internet that maintain wealthy customer databases that are willing to participate in luxury market research in the hope that their comments will be heard and that improvements in products and services will be the result of their participation.
