Luxury and its sectorsLuxury can be defined as something that is not a need. It is secondary and is viewed as a symbol of being lavish. It is thought to bring comfort and pleasureSectors of luxury include:There are four sectors of luxury and these include:AutomobilesPersonal luxuries that include clothes, fashion and accessoriesHome luxuries like air freshener, flower pots, paintings.Experiences like going for a trip to a foreign country.(Babson 1967)Quantification of these sectors in market share.Market share is defined an indication of how well a given company’s product is doing in relation too other companies in its industry.
The automobile sector takes the largest market share (34%), it is then closely followed by the experiences sector (28%), then the personal luxuries (22%) and lastly the home luxuries sector (16%) (Cherington 1995)Target groups for each sectorAutomobile sector- it cuts across a wide range of consumers depending on the type of car. The very affluent like footballers and celebrities, average consumers with families and businessmen who transport merchandise.Home luxuries target housewives or home decorators.
Personal luxuries mainly target young people who are conscious about their images. Lastly, experiences target the older population as this group has a lot of free time on their hands. (Blankenship 1983)Total and sector consumption of luxury for the top10 luxury consumers in the worldLuxembourg Automobiles (%)Experiences (%)Personal luxuriesHome luxuriesTotal consumptionLuxembourg22281337$24000Equatorial guinea24101640$19000United Arab emirates4632519$17000Norway2341917$13000Ireland10164024$11000United states19161431$10000Andorra20303129$9000Iceland13372822$9000Denmark15251238$7000Austria9231741$6000Total and sector consumption of luxury for MexicoMexico is a relatively poor country in comparison to the world’s richest economies. Its total consumption of luxury goods is $ 290 while percentages areAutomobiles -46Personal luxuries-32Home luxuries-19Experiences-5 (Campbell 1992) ReferenceBabson, R. W.
and Clarence, N. S. (1967): Consumer protection; how it can be secured, Vanguard PressBlankenship, A. B. (1983): Consumer and opinion research; the questionnaire technique, New York pressCampbell, P.
C. (1992): The consumer interest: a study in consumer economics. New York pressCherington, P. T. (1995): The consumer looks at advertising.
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