There may be a high correlation between the households in the upper-middle reaches of the income strata and the mass affluent, but there are differences. Social class is the result of a person's function within society rather than merely the income of the household in which he or she resides. Both terms refer to people whose wealth or income is above the average, yet below the top. As opposed to households with above average incomes the mass affluent are also defined through liquid assets such as stocks, bonds, cash, and mutual funds. Fixed assets such as real estate are not commonly counted. This is because liquid assets provide more financial flexibility, which is a desirable trait in customers.
The mass affluent have been characterized as those who save more than they spend and invest for their future. While they worry about funding their children's college education, they realize other savings and loan options exist and they are not opposed to their children paying some part of their educational costs. The mass affluent generally may worry about replacing their paycheck in retirement, and may need to be encouraged to spend more money during their retirement years. They often wish to leave an inheritance to their children. The mass affluent will have between US$500,000 and $1.5million in investable assets upon retirement with a net worth between $500,000 and $2.5million. They spend between $4,000 and $10,000 per month in retirement.[3]
In the United Statesedit
This graph shows the percentage of "Mass affluent" Americans.
In the United States there are roughly 33 million mass affluent households, and they own roughly 37% of America's liquid financial assets.[4] Among family households, approximately thirty percent could be described as being mass affluent.[5]
2005 Wealth Distribution of Mass Affluent Households[4]
^ abMass Affluent Investors Appear at Significant Risk Should Real Estate Bubble Burst, Spectrum Group
^"US Federal Reserve, Wealth in the US" (PDF). Retrieved 2006-08-11.
Further readingedit
Nunes, Paul, and Brian Johnson. Mass Affluence: Seven New Rules of Marketing to Today's Consumer, Harvard Business School Press. 2004.
Silverstein, Michael J., and Neil Fiske. Trading Up: Why Consumers Want New Luxury Goods— and How Companies Create Them, Portfolio. 2004.
External linksedit
Here Come the Mass Affluent, CNN/Money
You're Not Rich, but Now You Can Fake It, Slate
Wealth Management: The Race to Serve the Mass Affluent, FinanceTech
, PaymentsNews
Attracting the mass-affluent, business.scotsman.com
Mass Affluence: Seven New Rules for Marketing to Today's Customer
, Fortune
, Fortune
January 01, 1970
mass, affluent, marketing, financial, services, mass, affluent, emerging, affluent, high, mass, market, individuals, with, liquid, financial, assets, plus, annual, household, income, over, consumers, important, target, market, sellers, luxury, goods, contents,. In marketing and financial services mass affluent and emerging affluent are the high end of the mass market or individuals with US 100 000 to US 1 000 000 of liquid financial assets 1 plus an annual household income over US 75 000 2 Mass affluent consumers are an important target market for sellers of luxury goods Contents 1 Difference from upper middle income 2 In the United States 3 See also 4 References 5 Further reading 6 External linksDifference from upper middle income editThere may be a high correlation between the households in the upper middle reaches of the income strata and the mass affluent but there are differences Social class is the result of a person s function within society rather than merely the income of the household in which he or she resides Both terms refer to people whose wealth or income is above the average yet below the top As opposed to households with above average incomes the mass affluent are also defined through liquid assets such as stocks bonds cash and mutual funds Fixed assets such as real estate are not commonly counted This is because liquid assets provide more financial flexibility which is a desirable trait in customers The mass affluent have been characterized as those who save more than they spend and invest for their future While they worry about funding their children s college education they realize other savings and loan options exist and they are not opposed to their children paying some part of their educational costs The mass affluent generally may worry about replacing their paycheck in retirement and may need to be encouraged to spend more money during their retirement years They often wish to leave an inheritance to their children The mass affluent will have between US 500 000 and 1 5 million in investable assets upon retirement with a net worth between 500 000 and 2 5 million They spend between 4 000 and 10 000 per month in retirement 3 In the United States edit nbsp This graph shows the percentage of Mass affluent Americans In the United States there are roughly 33 million mass affluent households and they own roughly 37 of America s liquid financial assets 4 Among family households approximately thirty percent could be described as being mass affluent 5 2005 Wealth Distribution of Mass Affluent Households 4 Asset Class PercentagePrincipal Residence 23 Investment Real Estate 14 Liquid Financial Assets 22 Pension and Employee Retirement Plans 16 Insurance and Annuities 9 Privately Held Business 16 See also editAffluence in the United States High net worth individual Income in the United States Income quintiles Luxury good Status brand The professional managerial middle class Wealth in the United StatesReferences edit Schwab Courting the mass affluent Archived from the original on 8 April 2005 Spinelli Stephen 2013 Disrupt Together How Teams Consistently Innovate Pearson Education p 237 ISBN 9780133384116 Marc S Freedman Feb 2 2009 Mass appeal http www financial planning com fp issues 2009 2 mass appeal2660846 1 html a b Mass Affluent Investors Appear at Significant Risk Should Real Estate Bubble Burst Spectrum Group US Federal Reserve Wealth in the US PDF Retrieved 2006 08 11 Further reading editNunes Paul and Brian Johnson Mass Affluence Seven New Rules of Marketing to Today s Consumer Harvard Business School Press 2004 Silverstein Michael J and Neil Fiske Trading Up Why Consumers Want New Luxury Goods and How Companies Create Them Portfolio 2004 External links editHere Come the Mass Affluent CNN Money You re Not Rich but Now You Can Fake It Slate Wealth Management The Race to Serve the Mass Affluent FinanceTech MasterCard Analysis of Mass Affluent Consumers Reveals Importance of Customization PaymentsNews Attracting the mass affluent business scotsman com Chasing the Mass Affluent Customers Mass Affluence Seven New Rules for Marketing to Today s Customer Luxury goes mass market Fortune A 400 Coach bag Shoppers think twice Fortune Retrieved from https en wikipedia org w index php title Mass affluent amp oldid 1076476228, wikipedia, wiki, book, books, library,
