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Insight of the Day: High-Earning Consumers Prefer Luxury Experiences Over Things

When it comes to living large, high earners have a penchant for indulging in memorable experiences rather than splurging on material possessions like a new handbag. According to PYMNTS Intelligence research, the highest earners allocate a significant portion of their income to meaningful activities.

Here are the key findings:

1. Spending Habits:

- Individuals earning more than $200,000 per year spend approximately 9.3% of their income on recreation, leisure, and entertainment.

- In comparison, they allocate 8.5% of their earnings to clothing, accessories, and personal care items.

2. Business Opportunities:

- Companies recognize this trend and are capitalizing on the demand for luxury experiences.

- For instance, Capital One Ventures invested $25 million in the luxury travel subscription brand Inspirato during the summer.

3. Unconventional Luxury:

- Some luxury experiences verge on the whimsical. Take, for example, BarkBox's Bark Air service:

- This unique offering allows dog owners to reserve flights on Gulfstream 550 private jets.

- The entire family, including the furry members, can travel in the main cabin.

- The airline operates weekly flights from New York to Los Angeles and Los Angeles to New York, as well as twice-monthly flights from New York to London.

- Fares start at $6,000 one-way for transcontinental U.S. flights (including a seat for one person and one dog) and $8,000 one-way for the New York to London route.

- The dog-specific menu even includes a delightful treat called "dog Champagne" (made from chicken broth).

So, if you're a high earner seeking unique experiences, consider flying in style with your furry companion aboard a luxurious private jet!

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