Multicultural marketing mirrors
changed face of America and is getting attention of small-business and other organizations looking for an edge in diverse ethnic markets. “Gone are days when businesses succeed with a ‘one size fits all’ approach to marketing. It's a ‘mass market’ no longer,” insists Rhonda Albey, a diversity consultant with Allen Associates in Los Angeles, “The multicultural markets are where opportunities are, and successful entrepreneurs are quickly learning how to get there.” According to Association of National Advertisers (ANA) predominant ethnic market segments being targeted by multicultural marketers are Hispanic (70%), African-American (59%) and Asian American (27%). In many places, these and other multicultural markets exert such demographic and economic influence that they’re inevitable targets. (source: www.Emarketer.com, 11-6-02).
Wherever they are, however, businesses must monitor and adapt to changes in their marketplace. The view out there can change quickly, and it’s a mistake to take any significant market segment in your area for granted. Even with all right products and services you’ll still need right message, in right place, at right time to reach ethnic markets you want to be doing business with.
Do-it-yourself online research and homegrown multicultural marketing initiatives can help you identify and develop local ethnic market segments. But for some, outsourcing may be way to go. For example, Multicultural Marketing Resources, Inc., (www.multiculturalmarketingresources.com), a NYC-based public relations and marketing company, is helping businesses and entrepreneurs reach multicultural markets nationwide.
Population Growth and Economic Clout Tell Powerful Stories
Overall, says Multicultural Marketing Resources’, Lisa Skriloff: “The African-American, Hispanic and Asian populations have a combined buying power of more than a trillion dollars and minority populations are fast becoming majority population in major markets.” But shifts in thinking toward culturally based marketing—targeting ethnic segments based on their cultural framework—will expand, creating multicultural marketing opportunities in still new ethnic segments in places where they are numerically significant.
California diversity consultant, Rhonda Albey, cautions: “Appreciate diversity within groups as well as among groups. Terms like ‘Hispanic’ and ‘Asian’ are frequently used without acknowledging wide-variety of peoples such terms include. ‘Asian’ can refer to any one of hundreds of nationalities, language groups and cultures. Entrepreneurs need to be aware that what appeals to Chinese-Americans in California may have little appeal for Korean-Americans in New York, although they’re all Asian-Americans.”
Culture as much, if not more than age, income, occupation or sex, is main difference between ethnic markets and general marketplace. Differing cultural backgrounds may mean consumers will never see or hear marketing messages that are not relevant to their cultural behavior, language or media preferences. And many businesses have yet to realize that Hispanics, Asians and blacks, among other market segments—multicultural or otherwise--have buying preferences that can be a key ingredient in marketing and selling to them.
But what if you haven’t been making most of multicultural marketing opportunities that could be all around you?
How to Work Multicultural Marketing Into Your Marketing Plans?
Assuming you have a marketing plan, an important first step in multicultural marketing is knowing your audience, followed by improving your existing market penetration (you may want to get busy developing attractive new target markets, but first understand inherent risks and costs, and explore opportunities to grow from within). If you can't meet your goals with existing marketing opportunities--or you want to aim even higher--you probably should be developing new market segments. That means checking your sales forecasts and expense budget, and seeking ways to increase return on your marketing investment.
