Changing the economy with the purchasing power of African Americans

In an article earlier this year in Brand Week, Pepper Miller, founder of the Hunter-Miller Group, a research and consulting firm specializing in marketing to African-Americans, asserted that self-segregation exists in the social media space and has a huge impact on advertisers. “You really have to understand who you’re talking to,” she told Brand Week in a recent interview. Miller also discussed why engagement is an important part of reaching black consumers and offered examples of some successful [and not so successful] ads targeted at African Americans.

The purchasing power of African Americans is truly enormous and powerful. For example, African Americans will have a purchasing power of $1.1 trillion by 2011, according to Packaged Facts, “The African American Market in the United States.” Furthermore, wealthy African Americans control a disproportionate share of spending. There are currently 2.4 million African American households with annual incomes of $75,000 or more. Although they comprise only 17% of the African American population, they account for 45% of the total purchasing power of African Americans.

Wealthy African Americans are more likely than other rich people to buy expensive luxury items. The African-American cohort remains an important segment of consumers that, in some ways, wields more economic influence than the ever-popular Hispanic, says Tatjana Meerman, editor of Packaged Facts.

An article published by Multi-channel News echoed the same thoughts, stating that African-American shopping behaviors differ in a number of ways, ranging from what they buy at the grocery store to clothing style and shopping preferences. magazines. A BET (Black Entertainment Television) study found that the US African-American population is expanding both in pure numbers and purchasing power and has a major influence on media and technology trends.

Additionally, according to “African Americans Revealed,” a study of more than 80,000 African American consumers over an 18-month period divided into several individual research reports, African Americans in 2008 represented a 10% increase in the population over 2008 compared to with 2000. , while the purchasing power of African Americans increased more than 55% during the same period to $913 billion. Perhaps the most exciting news, for those serial entrepreneurs researching products and markets to focus on, this news should be really exciting, because by the year 2013 black purchasing power will hit $1.2 trillion, a whopping increase from 35 % compared to 2008, according to a survey and study conducted by the Black Entertainment Television Network, better known as BET.

As the economy has ruined the dreams of many and the hopes of others have been dashed, I fully agree with you that it could be a blessing in disguise. Perhaps you’ve dreamed of owning your own business for some time, but never had the guts to quit your day job, fearing the unknown. This is a normal reaction for many people and certainly understandable, especially now in this uncertain economic climate. But that is precisely why this is the best time, and the right time, for you to start that new business or create that product idea that you have had for many years, the very idea that your friends and family have told you that you should. it would go well. The market.

As you read this article, it is my hope that you will gain a new perspective and find new hope, joy, and fulfillment of that dream you had and have, and that you will step forward in your faith, armed with knowledge, wisdom, and understanding. , and an idea of ​​how you are going to make your dream come true.

My articles, and everything I bring to you, are meant to encourage and enlighten those looking for new product ideas, starting a new business, building and improving a brand, or, for those who prefer, finding the perfect job.

For my parting words, let me leave you with this amazing thought that, if accepted, can help change our economy once again.

To be successful in any business, one must first be a cheerful giver, but not everyone is so cheerful when they give to others. While the real foundation of any good business is hidden in your giving, more people will give with a heavy heart. Because of this attitude, savings around the world are suffering. The donors can be divided into three types: the flint, the sponge and the honeycomb. Some givers are like a piece of flint: to get something out of it, you have to hammer it, and even then you only get chips and sparks. Others are like a sponge: to get something out of a sponge, you have to squeeze it and squeeze it hard, because the more you squeeze a sponge, the more you get. But others are like a honeycomb, overflowing with its own sweetness.

As described in the previous paragraph, I have tried to point out the three types of consumers and entrepreneurs that we have in today’s economy. Some people are flints; others are like a sponge, and other people are like the honeycomb. Which one are you?