Gulfstream jets, e-wallets — India’s young millionaires redefine luxury living: Hurun India survey

The average Indian millionaire is just 32 years old, according to the latest Hurun India Luxury Consumer Survey 2023. This young and vibrant group is driving a surge in the luxury market, with a growing appetite for e-wallets, private jets, and experiences over material possessions.

The survey, conducted by Hurun, involved 150 Indian millionaires, defined as individuals with a personal wealth of USD 1 million (equivalent to INR 8 crore). Notably, the average age of the respondents was 32 years, reflecting a three-year decrease from the previous year, with a male-to-female ratio of 2:1.

India’s rapidly growing economy is experiencing an unprecedented increase in affluent households, positioning it as a lucrative landscape for the expansion of the luxury market.

Anas Rahman Junaid, MD & Chief Researcher, Hurun India, said, “As of Hurun India Wealth Report 2022, India is home to over 700,000 millionaire households, and this number is projected to grow by 75 per cent in the next five years, reflecting a significant opportunity for luxury brands and service providers. Despite this potential, it’s intriguing to note that many luxury brands favoured by Indian consumers still lack a physical storefront in the country. This trend not only highlights the untapped market potential but also signals a shift in consumer preferences and buying behaviours in the Indian luxury sector.”

How are riches splurging?

• Up to 39 per cent of millionaires used e-wallets and UPI as their preferred payment method. This is a 3 per cent increase from last year and highlights the growing adoption of technology by the wealthy class.
• The Indian globetrotters preferred the comfort and privacy of private jets, with Gulfstream being the most popular choice. For road travel, Audi reigns supreme, followed by Lamborghini and Aston Martin. The Lamborghini Aventador and Rolls-Royce Cullinan are the preferred sports cars and SUVs, respectively.
• Taj secured its position as the most preferred hospitality brand, while Emirates stands out as the choice for business-class travel.
• Travelling led with being the most preferred hobby, and jewellery stood as the favoured collectable.
• Rolex remained the most preferred luxury watch brand, while Gucci claimed the top spot among fashion brands.

Riches to Responsible

About 39 per cent of respondents now believe paying taxes is a key determinant of social responsibility, up from 31 per cent last year.

Moreover, 33 per cent of the participants considered being a good employer as a significant contribution to social responsibility.

How are young millionaires managing their finances?

The investment philosophy among millionaires witnesses a transformation, with 20 per cent currently opting for risk aversion, down from 30% last year. Meanwhile, over 35 per cent actively explore fresh investment avenues, signalling a keen interest in diversification.

Citi Bank claimed the top spot as the preferred international bank at 27 per cent, while HDFC Bank dominateed among Indian private banks with an impressive 49 per cent.