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The Psychology of Luxury: Selling to High-Net-Worth Individuals

The Psychology of Luxury: Selling to High-Net-Worth Individuals

Selling a €20 t-shirt is logic ("I need a shirt"). Selling a €2,000 handbag is identity ("I am the kind of person who owns this"). To sell to High-Net-Worth Individuals (HNWIs), you must stop selling utility and start selling transformation.

The "New" vs. "True" Shift

Aspirational buyers want "New"—the latest trend to signal they have made it. True HNWIs want "True"—timelessness, rarity, and story. They are buying into a club, not just a product inventory.

Creating Friction intentionally

Convenience is for Amazon. Luxury requires friction. This might mean:

When you make a HNWI work slightly for the product, the perceived value skyrockets.