Black Meetings and Tourism

September/October 2013

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•pg_13-27__BMT_pg3-58 9/25/13 1:08 AM Page 25 population experienced an 11.3 percent overall growth rate, while the Black population grew at 17.9 percent. The U.S. Black population is larger than 163 of 195 countries including Canada, Australia, Argentina and Poland. It's been a long held stereotypical myth that AfricanAmericans do not have disposable income. Do you know that Blacks are America's largest consumer group? Yes we spend, and spend a lot, but you've got to act like you want us. Ten percent of African-American households have incomes in excess of $100,000 a year according to Nielsen and a 35 percent have household incomes exceeding $50,000 annually. I recognize that's a lot of numbers to chew on, but I want to drive home the point that the African-American consumer is screaming for attention and we are easier to reach than one might think. Don't believe me, here's what Nielsen had to say: "The unique opportunity for engaging African-American consumers lies in a company's ability to make the consumer feel connected, respected and reflected as a viable consumer of a product." African-Americans are voracious consumers of media, yet many companies mistakenly believe that because there is no language barrier there is no need to advertise to Black audiences through African-American media outlets. Talk about missed opportunity. You want to really know what Blacks think about advertising? According to a Burrell Communications 2011 report, 91 percent of Blacks believe Black media is more relevant to them, and 51 percent would purchase a product where Blacks are positively portrayed. And twothirds of all Black consumers would like to see more advertising targeting Black consumers. Robert Brown, former Carol H. Williams advertising agency executive says advertisers are simply glossing over the multicultural market. "If advertisers would spend more marketing directly to African-Americans, almost all of it would go to the bottom line." Brown believes profits across the travel and tourism industry would increase by as much as 15 to 20 percent if companies made a concerted effort to court AfricanAmerican consumers and other racial and ethnic groups that make up the multicultural market. That doesn't mean using general market advertising to reach African-Americans, it means designing campaigns with people of color in mind and marketing directly to them. "Many companies are comfortable doing business as usual," says Brown. But making minor adjustments to current marketing and advertising campaigns will pay huge dividends. Brown advised one of his clients to change their general market commercial to one that included AfricanAmericans. The result was a five percent sales increase that went straight to the bottom line. Here's a sad truth. The combined spending on advertising across all Black media (television, radio, magazines, etc.) represents approximately 2 percent of total advertising dollars spent with general market media in 2011. That level of advertising in Black media in a word is "pathetic." Simply increasing those numbers to parallel the percentage of African-Americans in America (13.7 percent) would lead to a huge increase in market share for the companies bold enough to take the first step. But the lack of marketing and advertising to AfricanAmericans isn't simply a reflection of big business and their ignorance. The advertising industry shares much of the blame. The Madison Avenue Project, a project the advertising industry is loathe to discuss, found through extensive research a significant lack of African-Americans in management and creative positions. The research found, as of 2010 that African-Americans suffered a 7,200 jobs shortfall in the advertising industry and were paid 20 percent less than their White counterparts. The report made significant light of the coveted Super Bowl ads from 2010. Of the 52 professionally produced ads that aired during the Super Bowl, all of the creative directors were White and only 6 percent were women. As a long time travel and tourism professional and someone who's worked in entertainment, media, marketing and advertising; many of you have discussed these issues with me, off the record of course. Many destinations and other businesses in our industry unwittingly hire advertising agencies that have few, if any African-Americans. The commercials and ads they create typically don't reach the Black consumer, unless specifically demanded by the client. Why pick on advertising agencies? Advertising along with media, marketing and public relations fall under the category of influencers. These industries shape the hearts and minds of millions worldwide. American-based ad agencies dominate the global stage and thereby have a disproportionate impact on consumers worldwide. Leave African-Americans out of advertising or portray them negatively, the impact often lasts for generations. The African-American marketplace beckons for those unafraid to increase their bottom line. Research shows African-Americans are loyal and reliable consumers. Any sustained marketing and advertising effort will surely reap huge dividends and separate you from your competitors. "Many companies are comfortable doing business as usual," B M & T ••• September/October 2013 ••• www.blackmeetingsandtourism.com 25

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