A new report from the Luxury Institute finds significant numbers of upmarket Americans getting into the apps act as they deploy their mobile devices as tools for luxury shopping. (Polling for the report was conducted in March among consumers with gross annual income of at least $150,000.)
A survey for the report finds 34 percent of affluent respondents saying they’ve downloaded applications to their smartphones, with another 11 percent saying they intend to do so in the near future. Those who’ve already done so have downloaded an average of 13 apps and use seven of them regularly. Fifty-seven percent report using mobile apps “multiple times per day,” and affluent downloaders average 13 instances of use per week.
BRANDS SLOW ON THE UPTAKE
Overall, though, luxury brands have been slow to embrace mobile apps and to make the best use of them. “They should be using them to enhance the in-store experience and to let people buy directly from their mobile device,” says Milton Pedraza, CEO of the Luxury Institute. “They may not have something rich and relevant that allows the consumer to buy directly.” He suggests luxury retailers ought to be tapping into services like Foursquare “so that when you walk into the store they can immediately address you by name.”
Another of the survey’s findings suggests that brands score points with some of the well-to-do by offering mobile apps, even if the consumer doesn’t use them. Fifty-six percent agreed (25 percent “strongly”) that “I consider brands that have a mobile application to be innovative and cutting edge.” And 38 percent agreed (14 percent “strongly”) with the statement, “I view brands that offer a mobile application more favorably than brands that do not.”