Luxury Travel & Lifestyle Trends

No one knows for sure what 2010 will bring. Most economists say the global recession has probably peaked, but what will the recovery look like? In some sectors, consumer spending is on the rise, and we’re spotting more and more post-recession flowers blooming. Whether their pocketbooks were squeezed or not, many affluents are now transformed. They want value, quality, and products with a “moral conscience.”

The term “mobile” reflects consumers growing demand for immediacy in their interactions. Sparked by Twitter, Facebook and FriendFeed, immediacy is compelling, engaging, highly addictive. Our recent favorite: the Twitter tool that shows who else is at the airport.

I rank Starbucks exec Howard Schultz in a category with other great entrepreneurs/minds of the decade including Steve Jobs, Jeff Bezos, Bill Gates and the folks at Google. Schultz was the first to identify and capitalize on the importance of community, selling the idea of a place to connect with friends and colleagues rather than just another coffee bar. He was also one of the first to champion free trade products.

It has been widely reported that the recession has dampened the popularity of splurging on high ticket items (or at least openly boasting about such purchases) and many affluents believe that the best way to weather the global recession is to indulge in life’s little luxuries (see our earlier blog item about mini-indulgences). And so it appears that the affluent are still spending…but on what?

There is at least one silver lining to the recession – better customer service. Just as companies are dealing with slumping sales and sinking employee morale, skittish customers want more attention, better quality and greater value for their money. These same customers are very aware that their support is important to companies, especially as others decrease their spending. As the economy continues to present challenges, expect more companies to upgrade their service or face deeper trouble.

In other times, a luxury product offering discounts risked tarnishing its image and cachet, traditionally a big no-no. But as the economies around the world continue to deteriorate, luxury retail and travel industries (cruise ships, tour operators, hotels, attractions, etc.) have resorted to slashing prices to merely stay afloat while continuing to market aggressively to build market share so that when the economy turns around, they’ll be in a stronger position than ever before.

Tourist destinations could take a lesson from Australia’s Tourism Queensland, which recently kicked off an impressively clever promotion, which instantly gained global attention: an international recruiting contest to fill what it calls The Best Job in the World, a highly paid, 6-month position living the high life, all the while spotlighting the Great Barrier Reef Islands.