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Near affluents - Households at the lowest range of the fifth quintile, i.e., HHI from $75,000 to $99,999 is an important segment for the future of the luxury market, as these near affluents are likely to see their incomes rise in the coming years. Also, this segment will reach up to luxury in specific product and experiential categories. A total of 12.2 million households fall in this range. Affluents - Those households with incomes of $100,000 to $149,999; 10.1 million households. Super affluents - Households with incomes of $150,000 and above are 'super affluent;' 5.6 million households. The numbers favor the
affluent, but are they charitable? The number of U.S. taxpayers with adjusted gross incomes of $100,000 or more rose from 7.2 million in 1997 to 12.4 million in 2003. Research by the NewTithing Group reported in The Chronicle of Philanthropy says that donors with adjusted gross incomes of $100,000 and over could have given more to charity in 2003 – by a total of $107-billion – without affecting their standard of living. In the United Kingdom, four in 10 Britons could afford to double the amount they give to charitable causes, a Charities Aid Foundation survey released October 14, 2004 concludes. The study found that more than half of the population would give more to their favorite charity if it urgently needed extra funds. But if they had £20 extra to spend, they would probably spend it on a meal out, smoking or drinking. (The average household spends three times as much on tobacco, and more than three times as much on alcohol, as it gives to charity.) http://society.guardian.co.uk/charityfinance/story/0,8150,1327456,00.html Most charities have a poor
track record in upgrading donors, especially from the initial,
modest gifts many affluents make to test an organization’s
commitment to its donors. According to a Money magazine
study, most affluents are conservative regarding money. When
asked to describe themselves from a list of 25 adjectives, very
few respondents said they consider themselves "impulsive" (17%),
"a risk taker" (18%) or even "entrepreneurial" (24%). Rather,
the greatest share of affluent Americans (65%) chose
"independent" as a description. "Well-organized" (55%),
"goal-oriented" (54%) and "confident" (51%) also ranked high on
the list. |
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