Why Ethnic Media

Ethnic Media in America
(QT Video)

Powerful Facts and Figures:

Ethnic population growth in California is dynamic. Market size projections for California, the first "Minority Majority" state, are exceptional.

California has many concentrations of ethnic populations. California has 12 of the 21 "Melting Pot Metros" in U.S. American Demographics magazine designates these as counties and metro areas with a "significant presence of two or more minority groups."

California delivers two of the top five "Ethnic Metros." The total multicultural audience reached is 59% of the total population of the Los Angeles and 51% in the San Francisco metro area. Details are:

  • Silicon Valley is the epicenter of the New Economy. Bay Area high-tech engineers are one third Chinese and one third South Asian.
  • "Minorities" have enormous buying power. Over 1 1/4 trillion dollars is the annual combined spending level of Blacks ($572 billion,) Hispanics ($452) and Asian-Americans ($254.) And, ethnic consumers are much more brand loyal than Whites.
  • Increasing education and affluence make these markets ever more attractive. Asian-American have median incomes of $43,276, Hispanic $24,906, African-American $23,482 vs. Whites at $38,787.
  • Multicultural markets are young. Comparative median ages are Hispanic 24, African-American 26.5, Asian-American 27 and White 33.
  • Ethnic Internet usage is strong. Access to the Internet is 68% for Asians, 43% for Hispanics and 40% for Blacks vs. 44% for White's according to Forrester projections.
  • Attractive purchasing practices are reflected in car buying. The percentages buying new vehicles are 63% Asian-American, 59% Black, 27% Hispanic vs. 42% Anglo.

Ethnic media works. Research has documented that running culturally relevant messages in ethnic media is twice as effective in selling to Ethnic Americans as non-ethnic media.

The Experts Speak

Reasons for Use of Ethnic Media

  • "Almost 30 percent of the population is people of color, destined to be 53 percent by 2040. Who is committing marketing suicide by ignoring that market?"
    Al Schreiber, Managing Partner, New America Strategies Group

  • "Not only are African-Americans, Asians and Hispanics becoming more numerous in the U.S., they are also becoming more affluent, better educated and more visible. "
    Marlene Rossman in Multicultural Marketing

  • "The engine driving the increase in ethnic diversity is the relative youth of minority populations."
    Marlene Rossman in Multicultural Marketing

  • "Being a mainstream company is not going to work for you anymore. You have to be aware of cultural differences."
    William Orton, Director of Target Marketing, Metropolitan Life Insurance Company

  • "Today's minority consumers are looking to invest their money in products and services that have made an investment in them, creating a preemptive emotional bond."
    Samuel Chisholm, CEO, The Chisholm-Mingo Group

  • "Ethnic media is visceral and emotional and speaks the language of the community. It is the ultimate sales tool."
    Byron Lewis, CEO, Uniworld (ad agency)

  • "Minorities consume more media than the general market and respond directly to the media that are targeting them."
    Samuel Chisholm, CEO, The Chisholm-Mingo Group

Results to Expect from Ethnic Media

  • Multicultural "advertising pioneers (are) companies such as JCPenny, Procter & Gamble, Coca Cola, Colgate Palmolive, Sears and Target, who know that ethnic marketing is good business and are fully committed to it."
    Victoria Varela Hudson, President, Cartel Creativo (strategic marketing communications firm)

  • (For example, Sears has) "been building a case study for thelast 10 years that has clearly demonstrated that the more we invest in this marketplace, the better the stores perform. For us, reaching out has worked."
    Gilbert Davila, Director of Multicultural Marketing, Sears, Roebuck and Co.

  • "By the end of our first year (of ethnic marketing,) Honda had leapfrogged over our competition to the number one spot in (target market) passenger car sales. Interestingly, we have kept the number one spot for the past 10 years even when we have been outspent by all major competitors."
    Eric Conn, Assistant VP of National Advertising, American Honda Motor Co., Inc.

  • "When you advertise in Hispanic media, in Spanish, you're twice as effective; 200 percent more effective."
    Al Schreiber, Managing Partner, New America Strategies Group

  • "We began formally in the Asian market back in the early 1980's. There is certainly a good return on investment, more than anything else."
    William Orton, Director of Target Marketing, Metropolitan Life Insurance Company

Opportunities

  • Ethnic media adoption is "a three-stage process. First you have awareness, then acceptance, then change. On the whole, the (advertising) industry is somewhere between awareness and acceptance. Yes, it's moving slowly but were getting there."
    Heidi Gardner, VP Diversity and Strategic Programs, American Advertising Federation

  • "NCM offers a dynamic platform for involvement with ethnic media in United States, a unique mosaic state of multicultural growth. NCM represents a collaboration of over 150 advertising vehicles covering virtually every ethnic group in the country and delivering messages by traditional print and broadcast plus new e-commercial channels. We welcome inquiries into how we can help you leverage these sources for establishing a preemptive bond with our countless receptive "minority majority" prospects."
    Sandy Close, Executive Director, NCM





Advertisement