Polish luxury

Who wallows in luxury?
Those who have the money. And who has the money in Poland?
The wealthy, whose monthly gross income exceeds 7100 Polish zlotys, and the rich with an income of PLN 20 000 or more, and liquid assets worth more than $ 1 million. There’s almost 970 000 people in this joint group.

The group of the richest consumers in Poland – the HNWI (high net worth individuals) with liquid assets worth more than $ 1 million – is 43 279 strong.
38 259 have liquid assets in the range of $ 1 to 5 million. $ 5 to 10 million – 3 113 people, $ 10 to 50 million – 1 676 people, $ 50 to 100 million – 140 people, $ more than 100 million – only 91 people.

Who are the richest Poles?
They are mostly in the 40-59 age group. More than half live in cities with more than 250 000 residents and run private companies, while one in five is a member of the high management cadre. Their main source of wealth is work, more than 20% comes from investments.
In comparison, in the UK the number of people in the HNWI category exceeds 2.4 million, in France 1.8 million, in Portugal 51 000, and in the Czech Republic, as a consolation, only 28 000.
This data pinpoints the Polish wealth level, although in the last five years the number of wealthy and rich people increased by 35%, and their combined net income rose from PLN 118 billion to PLN 154 billion.

The average wealth per person is also of interest: in 2000 it was $ 6400, currently it is more than $ 20 000, while the UE average is still seven times higher.
So, what luxuries can the rich people afford? What are the brands that reached Poland?
More than 70% of the world’s luxurious brands are already available in Poland, and the luxurious goods market exceeds PLN 14 billion annually

What are Poles buying?
Cars Half of this amount falls to car purchases. More than 85% of the world’s brands are represented in this segment, Lamborghini, Ferrari, Rolls Royce, Bentley, Maserati among others. Still, the most popular car manufactures are BMW, Mercedes and Audi. Those three make up almost 70% of the market. Volvo’s share is also sizable, and the sales of Lexus, Infiniti and Porshe are on the rise.

Can virtually anybody afford a luxurious car? Is money alone enough?
As early as three years ago there was not a single new.

Ferrari in Poland. When the new model was introduced in 2014, the manufacturer limited production to only 499 units and attached steep conditions for potential buyers. Such a buyer had to have at least four other luxurious cars, and one of those had to be a classic model. You also had to be a known enthusiast of the brand. The price of € 1.5 million wasn’t especially terrifying to anyone, people queued up in an instant. Among them were sheiks, businessmen, known celebrities and even the head of… Volkswagen. Three units of the supercar made their way to Poland. Now there are even more out there. Other models followed: Lamborghini Aventador, Bentley Continental, Porsche 918 Spyder and a lot of cars from Maserati, and also from other luxurious brands. The real problem is the infrastructure – there are no suitable roads for these magnificent rides.

Clothes and accessories

The second place in volume moved goes to luxurious clothes, shoes and accessories. This is a very fragmented market. Only 5% falls to the three major players – Hugo Boss, Burberry and Wolford. Louis Vuitton and many other known brands like Longchamp, Louboutin, Joop, Michael Kors and Karl Lagerfeld have had their boutiques and stands in multi-brand stores in Poland for a very long time.

On the other hand, Chanel and Dior believe that Poland still isn’t a prospective market for them and so decided not to open their flagship stores. The French Hermes, makers of purses with waiting times reaching several months, has a store in Ulan Bator, but not in Warsaw. One of Hermes’ bags – made of albino crocodile leather, incrusted with gold and diamonds – costs $ 435 000.
This is the main reason Poles buy luxurious clothes abroad.

Luxurious hotels and spas The third place on the expenditures list of wealthy and rich Poles belongs to luxurious hotels and spas. There is a rising trend here, as many countries that were the traditional tourist destinations became unavailable – they became too dangerous, while the domestic tourist offering became more diverse. There is more than 60 Five star hotels in Poland and more are on their way.

Next in line are property, furniture, alcohols, cigars, cosmetics, perfumes, jewellery and watches, home appliances, yachts, stationary and jets.

Collector items There is a discernible trend of buying art pieces, collector items and artistic books. After fulfilling their basic luxurious needs, having endured several years of draught, Poles are becoming seriously interested in alternative investments that combine finances with collector passions, obtaining what is called emotional dividends.

Collections of paintings, sculptures, vintage cars and luxurious books, put together over the years, offer – besides the pleasure of admiring them – an opportunity to show them off with pride in sophisticated company. An original collection distinguishes the owner, greatly enhancing his or her prestige.

A book collection may please the eye, but also inspires awe and is an opportunity to further one’s knowledge and artistic sensibility.
All of this makes up that emotional dividend.