Affluent African Americans Represent 45% of AA Buying PowerAccording to a recent Packaged Facts study, reported by MarketingCharts, African Americans are crucial to the consumer
economy, with a population of 39 million and buying power of $892 billion, and expected to exceed $1.1 trillion in 2012. This represents a cumulative growth of 28.4% during the forecast period.
Additional findings from the study:
54% of African-American buying power lives in the South. Other key buying power segments:
- Residents of central cities ($430 billion,
or 48% of the total)
- Married couples ($428 billion or 48% of the total)
- Households with an income of $75,000 or more ($405 billion, or 45% of the total)
There are 2.4 million African-Americans in $75K+ households, and they are:
- More likely than other affluent consumers to spend money on fashionable dress, toiletries and
cosmetics, and cruise vacations
- Less likely to use the internet to plan shopping trips, gather information for shopping, or make online purchases
African-American
consumers create a wide range of possibilities for marketers in various industries:
- 3.9 million black consumers spend $150 or more per week on groceries.
- 7.6 million
African Americans said they exercise regularly at home, which opens up possibilities for marketers of exercise equipment
- African-American men and women represent 22% and 26% of all
suit-buyers, respectively
- Approximately 9 million African Americans plan to buy a new vehicle, accounting for more than 9% of all consumers who plan to purchase a new vehicle
Black media continue to offer advertisers access to African-American consumers, who also share many of the mainstream media preferences of other American viewers and readers:
- Television is a top source of media consumption, with 4 in 10 households containing 4 or more televisions.
- Spending on magazines is 6% more than the national average.
- Radio and newspapers are less popular than the average.
- Internet use is still lagging, but by 2012 penetration in the African-American community is expected to reach
62%.
For more from
Packaged Facts and Marketing Charts, please visit here.