Luxury Shoppers Embrace Pre-Owned and Sustainable Choices Driven by Quality and Price

A new study, the EY Luxury Client Index, sheds light on the evolving priorities of aspiring luxury consumers. The inaugural report, which surveyed 1,600 individuals across 10 markets, reveals a significant shift in consumer behavior: these shoppers are increasingly embracing pre-owned and sustainable choices, driven by price sensitivity and an unwavering focus on quality. This demographic, often overlooked in favor of ultra-luxury clientele, holds the potential to significantly influence the luxury market, especially during periods of economic pressure.

One of the most striking findings is the strong interest in the pre-owned and rental markets. Over half (54%) of aspiring luxury clients expressed willingness to purchase pre-owned products directly from a luxury house, while 50% would consider renting luxury goods for special occasions or convenience. This indicates a substantial opportunity for brands to offer certified pre-owned sales and rental services. Rachel Daydou, Partner, Luxury AI & Sustainability, EY Fabernovel, France, highlighted this potential, stating that while maisons have traditionally shied away from resales due to concerns about exclusivity, "the potential for the resale of luxury goods is tremendous." Such offerings could help brands bridge the gap with third-party platforms, drive repeat business, and cultivate deeper brand loyalty.

Despite these shifts, core motivations for luxury purchases remain consistent. The study found that quality and status are still paramount, with 71% of clients primarily driven by a desire for high-quality products. Status and brand logos continue to hold significant appeal for many, a motivation that applies equally to both new and secondhand luxury items. This underscores the enduring value consumers place on craftsmanship and brand prestige, regardless of an item's prior ownership.

However, the research also uncovered a growing disconnect between perceived quality and price. A substantial 62% of aspirational luxury clients reported deciding against a purchase in the past year, with price being the primary deterrent. To cope with this, nearly half (46%) would delay their purchase until they could afford it, while 29% would wait for discounts or outlet sales. This trend is particularly evident among Gen X clients and in markets like Japan and the UK, where a majority prefer to postpone luxury acquisitions rather than pay full price immediately.

Sustainability has also emerged as a critical factor, ranking on par with price among consumers' top five purchase considerations for 31% of respondents. Aspects like sustainable packaging (53%) and innovative materials (45%) are increasingly valued, particularly in regions such as the UK and Mainland China. This signals a clear opportunity for luxury brands to redefine their value proposition, shifting the focus from exclusivity and celebrity endorsements towards meaningful, sustainable innovation that resonates with environmentally conscious consumers.

Specifically in the UK, the luxury market is at a "pivotal moment," according to Silvia Rindone, EY-Parthenon UK&I Retail Lead. While British clients continue to prioritize exceptional quality and craftsmanship, there's a pronounced shift towards more conscious and considered purchasing. Price sensitivity and sustainability are now as influential as brand heritage, and UK consumers are increasingly open to pre-owned and rental options. Rindone suggests that for luxury brands, success will lie in redefining value by offering not just exclusivity, but also meaningful experiences and innovative, sustainable choices tailored to today's discerning UK clientele.

The study also reaffirmed the enduring importance of physical retail experiences. A significant 75% of clients reported purchasing their latest luxury item from a physical store. Consumers continue to seek the tactile, immersive environment that only in-store shopping can provide. To capitalize on this, retailers must elevate the in-store journey through personalized service, exclusive access, and seamless integration with online platforms, transforming the transaction into a truly luxurious moment worth the investment.

Despite the dominance of in-store experiences, brands cannot afford to neglect their digital presence. Seamless, premium omnichannel experiences are becoming essential, particularly in markets like the UAE. While three-quarters of these consumers favor physical stores, younger generations, including Gen Z and Millennials, are more inclined to combine online and offline channels. This highlights the necessity for luxury brands to create a cohesive and premium experience across all touchpoints, ensuring that online shoppers feel as valued and engaged as their in-store counterparts.