A recent study released by the Luxury Institute examines how affluent U.S. consumers engage with luxury smartphone apps. The report found that 60 percent of wealthy Americans (defined as those with an annual income of or exceeding $150,000) own a smartphone, and 80 percent of those affluent smartphone owners have downloaded a mobile app. Just 12 percent of wealthy smartphone consumers, however, have downloaded a luxury brand’s app, signaling a missed opportunity in the category. Of those surveyed who had downloaded a luxury smartphone app, the most popular, in order, were: Gucci, Louis Vuitton, Saks Fifth Avenue, and Gilt Groupe.
The study also found that 93 percent of wealthy consumers claimed to have had a “positive” experience with luxury mobile apps and 40 percent said they would be interested in downloading an app that provided a secure path to purchase. Since 71 percent of respondents said they felt more connected to the luxury brand after engaging with their app, these findings should help inform brands’ strategies moving forward. Because consumers look to luxury apps to provide them with loyalty program bonuses, early access to sales, and exclusive updates about new products, brands have an enormous opportunity to use this platform to communicate a vast amount of information in an engaging, visual way.