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When Rich is an Understatement.
By Roger Collis
Wednesday, 1st December 2004
 
The rich are different from you and me," as F. Scott Fitzgerald famously said. "Yes, they have more money," Hemingway said.

He might have added that those who have it do not flaunt it and are "more interested in enriching experiences than living luxury lifestyles, or being pretentious or ostentatious."

Thus concludes the "Portrait of Affluent Travelers" for 2004 published by Yesawich, Pepperdine, Brown and Russell in Orlando, Florida, co-publishers with Yankelovich Partners of the National Business Travel Monitor, www.ypbr.com. The study looks at the attitudes and behavior of travelers from the top 5 percent of U.S. households, with annual incomes of more than $150,000. More than half, 66 percent, say they are more concerned about buying things that are comfortable and understated rather than stylish; 72 percent try "to avoid flaunting what I have," and 52 percent buy products that are understated in style.

Most, 82 percent, "prefer to buy brands with a reputation for quality" and 77 percent buy for value, not price." Only 13 percent "buy luxury products because they enhance my personal image," and 12 percent "because they are trendy or fashionable."

Another survey of "extremely wealthy" hotel guests reveals that they hate being overcharged, being disturbed, being identified by staff as exceptionally rich, having to wait for anything and hearing the word "no" in response to special requests; preferences include "inconspicuous service" and "having their favorite foods, drinks and other indulgencies remembered - and anticipated - by hotel staff." Those are among the conclusions of the latest LUX Trends survey of 70 international hotels, part of the Small Luxury Hotels of the World consortium.

These hoteliers estimate that at least a quarter of their guests are U.S. multimillionaires. Average expenditure per couple during a three-day stay is likely to exceed $2,500, but can be as much as $7,500, especially for suite accommodation. Wealthy guests are classified according to their attitudes toward spending money:

The "Loaded but Cautious" and "Modest but not Status Conscious" each comprise around 25 percent of wealthy guests. Those most likely to spend without thought are the "Young and Rich" (around 15 percent) who are "learning to consume conspicuously," the "Exhibitionists" (12 percent) who "show off loudly and deliberately," and the "Hedonistic" (11 percent) who "like their pleasures nonstop." The "Fake Wealthy" (8 percent) are those "who only pretend to have money." The "Newly Rich" (5 percent) include "lottery winners, sportsmen and women, 'C-list' celebrities, wannabe fashion models and those who have inherited money." They tend to be the "least refined guests," it is possible that they may "lack a traditional sense of taste," and may, heaven forbid, "choose wine by the price and not the label."

(Brian Mills, global spokesman for Small Luxury Hotels, hastens to add that "no hotelier is ever judgmental about guests.")

Corporate "finance professionals" have expensive tastes but are more likely to have their business travel expenses queried than fellow executives, according to the Visa EU Business Travel Survey 2004 of 901 travelers in the United Kingdom, Italy, Spain, France and Germany, www.visaeu.com.

The survey shows that 79 percent of finance professionals are likely to stay in expensive four- and five-star hotels, compared with an average of 69 percent for other road warriors. However, 30 percent of their expenses claims are queried - more than double the average (13 percent). And they take more time filling out the expense claims than their colleagues, taking an average time of 32 minutes a month for creative accounting.

Only 27 percent of room service bills and only 19 percent of minibar claims are reimbursed without query, compared with an average 39 percent.

Swiss International Airlines announced plans on June 30 for all-business-class service between Zurich and New York-Newark, with a 56-seat Boeing Business Jet starting in January 2005. The aircraft will be operated by PrivatAir, a Geneva charter company. Passengers will enjoy lie-flat seats. Prices are likely to be "about the same as normal business-class fares."

Swiss is following the example of Lufthansa, which in June 2002 started flights between Dusseldorf and New York-Newark with a 48-seat Boeing Business Jet (a modified 737-700), the first business-only scheduled trans-Atlantic service, at normal business-class prices. It also is operated by PrivatAir. com. Please include city and country.


Roger Collis is the author of 'The Survivor's Guide to Business Travel,' published by Kogan Page in conjunction with the International Herald Tribune, and edits an online newsletter at www.truthintravel.com. Roger also writes 'The Frequent Traveler' and 'Ask Roger Collis' columns for the International Herald Tribune.
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