Swiss Spending Less on Christmas Luxury Items Than Europe Peers

Luxury consumers in Switzerland will spend less than their European peers this Christmas as they chase value for money and seek to support the local economy, a Deloitte study showed.

About 33 percent of Swiss shoppers looking for luxury products are likely to spend more than 1,000 euros ($1,245) on Christmas gifts, compared with 62 percent for other Europeans, Deloitte said today. High-earners prefer to buy local brands to support the local economy, the report showed, and are also less likely to make online purchases and care more about getting their money’s worth, as opposed to design or brand reputation.

The Swiss National Bank today raised its gross domestic product forecast for this year to 1.5 percent to 2 percent, compared with a previous prediction of “just below” 1.5 percent. It sees GDP increasing about 2 percent in 2015. The Swiss economy expanded 0.6 percent in the third quarter, boosted by domestic consumption. That compares with 0.2 percent growth in the euro area.

“Even though the Swiss economy is doing better than the European economy, the study has shown that Swiss consumers are generally more conservative across the entire board,” Karine Szegedi, head of fashion and luxury at Deloitte Switzerland, said by telephone. “They’re very cautious.”

The survey, conducted in November, included 1,228 participants with a yearly household income before tax of at least 100,000 euros.