LSN : News : Stat: Singaporeans across generations show strong support for local businesses

Modern Affluence Summit 2023 recap: The Great Wealth Transfer

Photography by The Future Laboratory, UK

UK – Held at 180 The Strand, London, in September 2023, the fourth Modern Affluence Summit concentrated on the upcoming great wealth transfer. This phenomenon of multigenerational wealth transfer will be significant in the US, where a total of £67.5 trillion ($84.4 trillion, €78.7 trillion) will be transferred to Gen Z and Millennial heirs by 2045 (source: Cerulli).

Partnering with VGC Partners, Verb Brands and The Future Laboratory, the Modern Affluence Exchange and Adoreum hosted 27 speakers, including Michelin starred chef Adam Handling and representatives from luxury brands such as Bentley, Tag Heuer and Maybourne. The event also introduced The Future Laboratory’s exclusive white paper, The Great Wealth Transfer.

The panels defined the next-gen high-net-worth individuals (HNWI) as creative, conscientious and culturally motivated consumers who prioritise people, planet and purpose as much as profit. Panellists insisted on the importance of including Gen Z in the C-Suite and listening to those inheriting the money, as much as those passing it down. ‘If you want to communicate with Gen Z, it’s your job to understand the language,’ said The Future Laboratory co-founder Martin Raymond on stage.

As explored in our Luxury Recrafted macrotrend, brands and businesses must put ESG and ethics front and centre in their luxury offerings to appeal to next-gen HNWIs.

Strategic opportunity

To attract the youngest generation of luxury consumers, storytelling and hype still matter, but they come second to core luxury values. Consider how to safeguard quality by offering best-in-class materials, supply chain transparency, post-purchase repair services or lifetime warranties

The Louvre and Lancôme co-create an art-inspired beauty line

France – Beauty brand Lancôme and the Musée du Louvre have joined forces for a first-of-its-kind creative collaboration, working in tandem to develop an art-inspired skincare and make-up collection.

The Lancôme x Louvre Beauty is a Living Art line includes an eyeshadow palette, four shades of lipstick and a face serum. The collection takes inspiration from nine sculptures of powerful women or goddesses that are shown at the Louvre. Celebrities Zendaya, Aya Nakamura, Amanda Seyfried and He Cong feature in the launch campaign photographed alongside the statues – a nod to how the collection is bridging antique and contemporary representations of beauty.

‘We want to continue to draw on our artistic heritage to open new beauty horizons for women today and celebrate the fact that beauty is in perpetual motion,’ adds Françoise Lehmann, Lancôme’s global brand president.

At LS:N Global, we are tracking the changing relationship that luxury has with heritage, and how the sector is cementing its culture-generating power.

Beauty is a Living Art by Lancôme and the Louvre, France

Strategic opportunity

Collaborations with cultural institutions can be a tool for businesses that want to use their soft power and boost credibility among art- and history-savvy consumers

Stat: Singaporeans across generations show strong support for local businesses

Xinfan Market by Naturalbuild. Photography by Hao Chen, China

Singapore – A recent study by American financial service corporation American Express reveals that the majority of Singaporeans are enthusiastic supporters of local businesses, with each generation showing their support in distinctive ways.

Baby Boomers exhibit the highest support and loyalty towards local businesses, with 95% of them frequenting local establishments compared to 43% visiting international ones. By contrast, Gen Z are less emotionally attached to local businesses, but they would still pay a higher premium for them. This aligns with other figures from the study that found that 40% of Gen Z indicated they would spend more in 2023 than in 2022. The study also reveals that Millennials are the most willing to pay a premium for local businesses, while Gen X are the most likely to give local businesses a second chance after a bad experience.

The top reasons for Singaporeans to support local businesses over international ones are convenience (68%), value for money (60%) and a more personalised customer experience (33%), which aligns with topics we have explored in our Next-door commerce microtrend. Concerns about Singapore’s heritage businesses disappearing in the next decade were also expressed by 57% of respondents.

Strategic opportunity

As discussed in Luxury Recrafted, Gen Z consumers view themselves as collectors and archivists, not just consumers. Therefore, reframing local businesses through the lens of heritage, local culture and craftsmanship is key to attracting this group