Despite the economic slowdown, wealthy consumers have not cut back on their discretionary spending, and they remain optimistic about the economy, according to research by Phoenix Marketing International, a marketing services firm.
Of all households surveyed with assets of at least $250,000, more than half (54 percent) said their discretionary spending remained the same over the previous three months. Another 20 percent said their spending increased during the same period.
Households with assets of more than $1 million were affected even less: 86 percent said they expected their spending to remain the same or increase for the March-May 2008 period. Respondents who said they might decrease their spending cited dining out, entertainment, clothing and jewelry, and leisure travel as the likely cuts.
Bill Sahadi, CRS
Pinehurst Real Estate
Certified Residential Specialist