THE NEXT GENERATION OF LUXURY BUYERS: WHY JEWELRY, WATCHES & HANDBAGS ARE WINNING BIG

The  Knight Frank Wealth Report Next Generation Survey reveals a new wave of wealthy young adults (18-35) who are reshaping luxury spending. While they prioritize experiences like travel , wellness/health, and education over pure material goods with nearly half preferring to splurge windfalls on experiences these buyers still crave tangible luxury that delivers joy of ownership, portability, and smart value.

Jewelry, watches, and handbags stand out as perfect fits for this group: they're wearable wealth that combines personal style, emotional satisfaction, and investment potential without the commitment of larger assets.

Top Luxury Assets: Where Jewelry, Watches & Handbags Fit In

The survey ranks desired luxury assets:

High-end real estate: 29.8%

Luxury cars: 27.8%

Private jets: 15.1%

Art collections: 12.4%

Superyachts: 8.9%

Wine collections: 4.4%

While real estate and cars lead, smaller, personal items like watches, handbags, and fine jewelry align closely with the joy of ownership motive driving luxury purchases. These pieces offer everyday enjoyment and status without high upkeep or storage needs ideal for a mobile, experience focused lifestyle.

Online Comfort: Seamless Buying for High-Value Pieces

A key opportunity for sellers: Many in this demographic feel confident purchasing high value luxury online, even without seeing items in person.

The report notes comfort buying items like Rolex watches or Louis Vuitton handbags digitally often up to significant amounts.

For most, personal interaction is preferred only for very high sums or complex products, but younger buyers show flexibility, with some having no limit on online luxury spends.

This trend democratizes access to premium jewelry, limited edition watches, and iconic handbags, boosting secondary/resale markets and e-commerce for authentic pieces.

Mobility & Portable Luxury: Perfect for Digital Nomads

With 81% saying remote work is feasible and top earners most likely to live far from offices or embrace location freedom portable luxury shines.

A standout watch, elegant jewelry set, or timeless handbag travels easily, serving as daily symbols of success and personal style.

Unlike fixed assets, these items enhance experiences (e.g., pairing a luxury watch with international travel or a statement bag at cultural events) without tying buyers down.

 

Sustainability & Purpose: A Growing Edge

Younger affluent buyers show strong interest in ethical choices. For jewelry and watches, this means highlighting responsible sourcing or heritage brands with strong stories can resonate deeply.