Banks profiting from rate rises boost luxury concierge firm Ten Lifestyle
UK banks profiting from soaring interest rates has helped boost earnings at luxury concierge platform Ten Lifestyle to record levels, the firm said today.
The firm, which counts Coutts and St James’s Place as clients, works with a host of corporate customers to help organise everything from hotel upgrades to reserving tables at top restaurants.
In its preliminary results for the year to August, the firm revealed a 35 per cent rise in revenue to £63m and said that the number of active members has increased 28 per cent to 353,000 people.
“Many of our banking clients, partly due to higher interest rates, are reporting higher levels of profitability from this customer demographic when compared with the low interest rate environment from 2008 to 2021,” Ten said. “This improves the return on their investments… and helps underpin our revenue expectations.”
“We expect to continue to convert our strong pipeline of contract opportunities with global financial institutions and premium brands, with multiple new contract developments since the start of the financial year,” the firm said, which it hopes will deliver revenues in the second half of next year.
Alex Cheatle, chief executive of Ten Lifestyle Group, said: “We expect our growth engine will continue to deliver in the year ahead.”
Businesses which cater to the UK’s mega wealth have performed well recently, despite the cost of living crisis.
Back in August, Soho House said that the wait list to secure a place at the private members club had risen to an “all-time high” with approximately 95,000 wealthy individuals eager to secure a place at the spot globally.
Soho House & Co Inc., the business behind the luxury hub, revealed the growth in demand in its second quarter results, which showed revenue had risen 18.5 per cent year-on-year to $288.9m (£227m).