• by Jack Loechner , Staff Writer @mp_research, November 24, 2011

According to a new study, “Women of Tomorrow: U.S. Multicultural Insights,” Women are the world’s most powerful single demographic. They control the majority of household spending decisions, their influence is growing, and they are increasingly exercising this new-found power in a variety of ways. From 21 countries, representing 60% of the world’s population, and 78% of GDP, there is one very positive commonality: women believe their roles are changing for the better.

As overall consumer demand shrinks and companies look for new segments of growth, the multicultural consumer represents a significant opportunity now and in the long term. The report highlights the differences and similarities of American women across the four primary ethnic groups: Hispanic/Latino, African American, Asian American and Caucasian/White.

Optimism was highest among African American and Hispanic women, especially when it came to how they viewed the opportunities they have had compared with those of their mothers. The optimism does not stop with the women of today: they are extremely positive about the outlook for the women of tomorrow – their daughters – and expect them to have more opportunities available to them than they themselves have now.

Not only is their optimism increasing, but so is their contribution to household income. African American and Hispanic women also said that increased earning power would enable them to contribute more to household income in the next five years, while a majority of Asian American and Caucasian women expected no change in how much they contribute.

Despite women being major decision makers when it comes to the bulk of household spending, they actually want men to play a role. While women view themselves as the primary decision makers across key household decisions and product purchases, they are increasingly expressing a desire for joint decision making and share responsibilities. Women and men across developed and emerging countries identified just one type of purchase where men were a more appropriate primary decision maker: cars.

In the U.S., there was no single category where women felt that men were the primary decision makers. Multicultural women tend to see themselves as the primary decision makers for purchases across many of the categories associated with running a household, but increasingly view the role of men as equal in some of these. Interestingly, Asian American and Caucasian women are more likely to include men in the purchase decision about food than were African American and Hispanic women

Despite the stereotype of men being the primary users of media and technology, says the report, today’s American women are just as big fans of media and technology as men, if not more. Women may not be early adopters of new technology, but they are heavy users of established technology. Women of all ethnicities use media in similar ways, with one key exception: smartphones. Just 33% of Caucasian women have a smartphone in their household, compared to penetration rates in the 60s for women of other ethnicities.

American women tend to turn on the tube to get information about new products and services. African American, Hispanic and Caucasian women all said that TVs were their preferred media in that respect, while Asian American women turned to the Internet. Asian American women also preferred to get their information about new stores online, while Caucasian women used word of mouth. African American and Hispanic women again turned on the TV, underscoring the need to balance marketing between traditional and new media.

Consumers across the country have cut back their spending and the number of shopping trips they make, but price was not the key driver of foot traffic, but rather “value.” Value is a product or service that satisfies multiple need states, sometimes at a premium to similar goods. However, once in the store, prices become the key factor in purchase decisions.

Key takeaways, concludes the report:

• Today’s women in America are optimistic, with African Americans and Hispanics feeling more positive about their income
• Stress is increasing as women struggle to juggle multiple roles, particularly among Asian American women. Marketers should highlight how products and services offer convenience, ease of use and time savings
• Women are connected and believe media is making their lives better, as new media in particular are changing how commerce is conducted. Take advantage of higher smartphone penetration to reach multicultural women more effectively
• Balance the use of “traditional” and “new” media: different segments prefer different media
• Value messaging drives all women into the store. Price and promotion play a factor in the store. Quality keeps them coming back

For additional data and charts from Nielsen, and access to the PDF file, please visit here.

Editor's Note: My apologies for posting a recent Research Brief with a headline that was considered misleading or confusing. For the November 17^th Brief on Online Video, how ‘bout we call it “Engaging With Online Video,” to focus on the message.  Thanks for our readers' alertness!