What is the earning and spending pattern for top 1% of Indians.

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This time when we were in India, we saw commercialism and show of opulent wealth.
From houses, jewelry, cars, parties etc, people were spending money like there is no tomorrow.

For me who left India 40 years ago, this India is unbelievable.
What is top 0.1% of Indians spend per year(White and Black)? That is the top 100,000 people.
What is top 1% of Indians spend per year (white and black)? That is the top 1M people.

 

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India?s rich continue spending despite signs of slowing economy




The number of Indian ultra-high-net-worth households (HNHs) is estimated to have grown by 30 percent year on year to around 81,000 in 2011 and is expected to triple to around 286,000 over the next five years, the report stated. Consequently, the net worth of HNHs is estimated to surge five-fold from an estimated $1.17 trillion in 2011 to $5.73 trillion by 2016, the report said. More than 50 percent of HNHs reside in the four main metro cities, while the next top six cities account for around 12 percent.


CRISIL defined an HNH as one having a minimum average net worth of $4.5 million (INR 250 million) essentially accumulated over the past 10 years and according to its analysis has a minimum income of $630,517 to $720,590 (INR 35 million to INR 40 million). The survey, which took place between December 2011 and April 2012, interviewed about 150 HNIs. The respondents were spread across Mumbai, Delhi, Bengaluru Hyderabad, Chandigarh, Ahmedabad, Vadodara, Chennai, Pune, and Kolkata.


The top 100,000 people have a minimum income of INR 3.5 crore.

 

[prasad1]

The Indian Luxury Market- A Snapshot (Part I) | India BIZNEWS


The Consumer profile

The prime consumer of the luxury segment remains the rich class. India has around 127,000 high net worth individuals and in 2010, their total wealth grew by more than 50 per cent from the previous year. There are 3 million other households earning above Rs 1 million annually which are ready to consume luxury. The riches come largely from the metropolitans like Delhi, Bangalore and Mumbai. Even though Mumbai stays as the cosmopolitan face of India, luxury brands have chose the capital city for their setting up their high mast. Delhi resides industrialists, entrepreneurs, politicians and wealthy farmers (trickling from Punjab and Haryana) whose capital are not largely dependent on share markets. Also, a huge amount of wealth creation is protected from taxes through cash collection (black money). “A large number of customers prefer to pay by cash”, says a Brand Consultant of a high end brand at Vasant Kunj, Delhi. This is why the ‘separate segment’ has catapulted sales in the luxury stores and kept it safe from credit crunch circumstances like the recession.

Typical consumer patterns in urban India: metros and tier 1 cities

Household Income (Rs/Year)	Number of Households	Typical occupations	Luxury Products	Luxury services	Luxury Assets
10-50 lakh	280,000	Service industry professionals	Low-ticket items such as accessories, wines and personal care	Spas, infrequent fine dining	-
50 lakh-1 crore	200,000	Corporate executives; self-employed professionals	Watches, apparel, accessories, wines and spirits, personal care	Travel, frequent fine dining, hotels, spas	-
1-5 crore	120,000-150,000	Medium enterprise owners; traditionally wealthy company CEOs; top bankers; professionals	All	All	Cars, yachts, real estate, paintings