What Consumers Want in Today’s Luxury Market

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March 26 (Bloomberg) –- Departures Magazine Editor-In-Chief Richard Story and Corcoran Group President and CEO Pamela Liebman discuss the luxury real estate market and Departures’ 12th Annual Luxury Summit. They speak with Trish Regan on Bloomberg Television’s “Street Smart.” (Source: Bloomberg)

This is a magazine coming out in april?

No, this is the current?

Ok.

tell us about the luxury summit.

What is it?

I have been going for 12 years.

It is to being -- bring together the most important people in the western business lifestyle.

The people involved in all aspects of business and luxury, coming together in one place.

Everyone from robert dreyfuss, president of greentree, to the president of corcoran.

It is a luxury theme.

How does real estate figure in?

Luxury high-end real estate?

Luxury is a commonly used word in the real estate business and it can mean a lot of different things.

But i think it is probably a word that is commonly used to describe the greatest real estate all over the world now.

I say all over the world because there really are no more borders when it comes to luxury.

I went to the first summit 12 years ago.

The evolution would be quite interesting.

These people, 12 years ago luxury numbers began as a word that people would use to describe certain products.

Since then it has become even more and more luxury us.

I guess i still do this, having something that no one else has.

That is certainly what we deal in.

I think that in real estate luxury 12 years ago might have meant a marble bathroom, but today it means he has a bathroom and she has a bathroom.

And the children each have a bathroom.

There is sort of no better display of all of that than in manhattan.

Speaking with the ceo of zillow, the two areas immune to problems because of the high-end market and luxury market happened to be manhattan and the bay area.

Do you agree with that?

Is the high-end of manhattan real estate effectively immune from a downturn because of foreign buyers and this need to be here?

We are in a different place from everyone else.

We are a city of the world.

We have this incredible offering of high-end property that has been built specifically to target this type of consumer.

We have got a lot of great stuff that goes on here.

Fortunately, people want to be here.

When you talk about luxury you cannot help but talk about the aspirational aspects.

Even if you cannot afford it, you want to be able to.

There is a lot that brands do to try to bring in everyone.

You mentioned taguchi, for example.

You don't have to buy the most expensive gucci products.

You can purchase the sunglasses or the perfume.

The thing that is interesting about this magazine, "departures," it is not for the aspirational customer at all.

Just for the luxury.

[laughter] i would say it is more inspirational than aspirational.

We feel like we know what this cardmember, the american express platinum card member, we feel that we know what they like, what they want to buy, what they are looking for.

How is that customer doing?

That customer is doing very well.

Doing very well.

They are traveling more.

They are to -- they are buying more.

I think they have become more serious.

It is not necessarily about price, it is about quality.

We are going to leave it there.

This is the most current issue, right?

Be on the lookout for the luxury summit issue.

We will have something about it.

It is a kind of private affair that we are giving a preview of right now.

Enjoy it there.

Excellent.

More "street smart" after this.

This text has been automatically generated. It may not be 100% accurate.

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