According to the World Gold Council's (WGC) 2008 survey called “What Women Want: Global Discretionary Spending Report,” gold jewelry remains one of the three most popular items for women's discretionary spending in the United States. The survey was conducted by an independent research firm, GfK, among 1,068 American women aged 16 to 65. The study was also conducted in the gold jewelry markets of India, China, Saudi Arabia, Italy and Turkey.
The global survey examined the attitudes of nearly 7,500 females, aged between 15 and 65, regarding luxury items and consumables.
According to the survey, which was conducted in the spring, gold jewelry in the U.S. continues to maintain its appeal despite women's reduced spending power, volatile gold prices and growing competition from other consumer goods. In the U.S., gold jewelry remains the third most popular item chosen by a woman spending her discretionary income on herself. It ranks below spending on 'short breaks' and 'increasing savings' but above choices such as a 'meal at a nice restaurant' or 'beauty/spa treatment.'
Increases in price can have negative impact on desirability in consumer goods categories, but in the case of gold, the increase in price has underpinned its intrinsic value.
According to the survey, those who were aware of the increasing price of gold over the past 12 months were most likely to agree that gold’s current price reassured them of the value of their gold jewelry. In the U.S., 67% said that "gold jewelry is a good investment."
John Calnon, Managing Director, Americas, World Gold Council, stated: "In the context of a rising gold price, which reached new heights in early 2008, it was important that the survey focus on how the gold price may impact consumer attitudes and spending behavior. It is encouraging that gold's price increase has re-emphasized the value of gold as an investment, as well as a fashion item, and has actually made it more desirable. This research has helped us to shape appropriate consumer messaging that will continue to build gold's desirability during turbulent economic times."
