As people increasingly value experiences over goods, HNWIs are seeking out new forms of status-affirming services. International Bank Vaults’ (IBV) billionaires-only luxury vault service is leaning into this shift, giving the ultra-rich a personalised, elevated, and novel way to manage their wealth. We explore the insights and opportunities behind IBV’s luxury security service and what this might mean for the future of hyper-luxury.
Catering exclusively to billionaires, International Bank Vaults is giving its customers more than the average high street bank experience with a luxury vault service in London. Housed in a 120-year-old former mansion and kitted out with high-security scanners, doormen, and Rolls Royces that can be booked to ferry customers to and from the building, IBV's luxury vault is looking to provide the feel and cachet of an exclusive members club. Members can deposit everything from jewellery to cash, with deposit boxes ranging from £600 to £2.5 million per year to rent – significantly more than competing luxury providers such as Harrods. “But you know the saying, ‘You get what you pay for', and the customers here will be king,” says managing director Sean Hoey.
As physical luxury becomes increasingly democratised and accessible, younger cohorts of Gen Yers and Zers are set to account for 45% of the luxury goods market by 2025. And with the promise of exclusivity offered by luxury no longer a safe bet, HNWIs are looking for new ways to signal and experience their wealth. New forms of luxury services such as luxury car rentals and high-end home sharing are providing top experiences and personal attentiveness that are a new benchmark of success for the ultra-rich. With 75% of luxury travelers reporting that they find more value in goods and services that help them learn something new, it seems luxury consumers are looking beyond the physical realm in terms of what they expect luxury services to offer.
According to Amit Kotha, a managing director at RBC Wealth Management, “just 26% [of UNHWIs] have a full wealth transfer plan in place, and the findings show that the next generation is not being educated early enough about the management of wealth.” In an age of socio-economic instability and amid a lack of knowledge around wealth management, offerings like IBV's give HNWIs the combination of luxury experience and personal assurance they’re seeking. “HNW individuals expect a high-touch, human-centred experience,” says Kotha.
Matilda Ruck is a Junior Behavioural Analyst at Canvas8. She has a degree in Politics and Philosophy as well as a foundation in psychotherapy and is passionate about exploring the interplay between creativity, psychology and culture. Outside of work, you can find her writing short stories, tending to her ginger cat Thomas O’Malley or oscillating between yoga and karaoke practice.
