We’re living in what economists are calling a “K-shaped economy.” Outlets like Bloomberg, Forbes and CNN all describe this same divide—one segment of the population continues to grow wealthier, while the other struggles to keep pace. For our industry, that distinction has enormous implications.
The Affluent Are Still Spending
The affluent consumer is not pulling back. In fact, they are spending freely—but differently. They value privacy, time and quality, and they seek innovation, wellness and products that feel “worth it.”
These clients aren’t just buying a faucet; they’re buying the way it feels to start their day. They’re investing in steam showers, intelligent toilets, spa lighting and radiant floors—features that elevate daily routines into something restorative.
If that’s the case, why would we design showrooms around budget-level products for customers who aren’t spending?
The Case for Selling Up
Operating a brick-and-mortar showroom is expensive. Real estate, displays and trained staff come at a premium. That investment only makes sense if your displays reflect a profitable audience—the ones who are actually buying.
For price-sensitive customers, it’s time to guide them toward exclusive, high-margin options like Current Faucets or Bello (bellousa.com), both available through Luxury Products Group. These lines allow showrooms to earn up to 50% gross profit—and that’s the difference between barely surviving and sustainably thriving.
The Wholesale Mindset Challenge
Many wholesale operations struggle with this shift. Owners who built their businesses on selling water heaters and PVC fittings often can’t relate to a customer who thinks a Brizo faucet “isn’t expensive enough.”