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This month, Citigroup, Mastercard and Bank of America<\/strong> unveiled data all attesting to a decline in spending on luxury goods in the United States.<\/strong> Separate estimates from the three companies show that Americans all reduced spending on these items by 2 to 4 percent in August and 5 to 6 percent in September, compared to 2021.<\/strong><\/p>\n <\/p>\n While product sales are still doing very well in their niche, compared to mid-range and premium brands, the luxury sector has reason to wonder about the future.<\/strong><\/p>\n <\/p>\n Jean-Jacques Guiony<\/strong>, CFO of LVMH<\/strong>, said last week, however, that the company has so far seen no signs that shoppers are pulling back, even on entry-level purchases.<\/p>\n <\/p>\n <\/p>\n The reduction in such spending was greatest among middle-income Americans (between $50,000 and $125,000 a year) and those with annual incomes below $50,000, according to a Bank of America study.<\/p>\n <\/p>\n Mario Ortelli<\/strong> of mergers and acquisitions consultancy Ortelli & Co.<\/strong> says that in the U.S., high-priced brands such as Herm\u00e8s and Dior<\/strong> are probably more immune to a downturn than affordable luxury brands such as Michael Kors<\/strong>.<\/p>\n <\/p>\n Mastercard’s “SpendingPulse”<\/strong><\/em> report, meanwhile, shows that luxury goods purchases, excluding jewelry, fell 5.2 percent in September, year-over-year, while spending on restaurants and travel was up.<\/strong><\/p>\n <\/p>\n The price factor is also influencing, in light of the increases seen at Chanel or Louis Vuitton<\/strong> for some of their bags. This increase can be a deterrent, or delay the purchase.\u00a0<\/strong><\/p>\n <\/p>\n\nLess spending among middle-income Americans<\/h2>\n