Travel & Leisure accounted for the biggest spend among millionaires in Australia and Asia, according to findings in the latest Affluent Insights into Asia report, which assesses the preferences of HNWIs and how much they spend on travel versus other luxury options.
A report by the Luxury Society based on the study’s findings delves into the latest trends and found that air travel has never been more accessible or cost-effective as it is today.
“Each year, in this ever-increasing shrinking planet, a new crop of destinations become suddenly “must see”. Old means of transportation are rediscovered (like fluvial cruises to visit quaint and picturesque river cities), others are invented (space travel). Hotels outdo themselves to offer luxury, while Airbnb offers access to authentic experiences in destinations previously untouched by mass tourism. We are inundated with advice on where to travel to, but we often hear little of why and how we should do so,” said Affluential CEO Ali Mirza.
“While travel becomes increasingly polarised around two types of experiences (mass market tourism – hurried, busy, crammed, with barely enough time to see – and exclusive travel, for those who will have access to more bespoke levels of service and experience), travel remains a key focus for Asian millionaires.
“Over 70% in most markets confirmed their intention to travel more for leisure in the next 12 months (with Japan as the most favoured destination), and with over 50% of all respondents confirming that they routinely spend more on travel than on any other luxury goods category,” Mirza said.
The Affluent Insights into Asia research asked Asian Millionaires how much they spend on travel versus other luxury categories, what motivates them to travel, what they enjoy and what they don’t. Below is an extract of the report’s findings.
Travel remains top of mind for millionaires
Travel accounts for the lion’s share of spending on discretionary goods and services in most Asia Pacific countries, with Australia showing the highest share.
Travel has become one of the most important spending categories for millionaires in Asia Pacific, with over half of all interviewees expressing the intention to spend more on travel than on other luxury items in the next 12 months.
Millionaires in China, Malaysia and Thailand show higher propensity to travel in style and to spend on luxury items overall.
Millionaires are willing to spend on travel experiences and activities more than on luxury accommodation. Cruise travel is growing across Asia Pacific, particularly in Malaysia, South Korea and Australia, which show relatively higher spending on cruise travel.
The study determined that shopping, sightseeing and dining were the most popular leisure travel activities for travellers across the region, and that Japan, the USA and Australia were among the most sought-after countries to travel to by Asian millionaires.
It also found that the five most beloved travel brands in the past 12 months for the Australian market were (in order from one to five) were Sofitel, Hyatt, InterContinental, Shangri-La and JW Marriott.
To read more on Luxury Society’s story on “The Asian Millionaire Traveller in 2018“, click HERE.