Black is Back: Targeting the African American Market

With Obama in the white house, Oprah Winfrey with her OWN network and fabulously gorgeous models like Chanel Iman on the pages of Vogue, it couldn’t be more obvious that companies must realize the incredible presence the African American demographic and the buying power that they have: $1 trillion annually. If Black America was a country, it would rank 17^th largest in the world, just before Australia.

After the 2008 election, African Americans gained significant cultural pride and by seeing more positive image of themselves, became hopeful and more likely to spend money on luxury items to celebrate their accomplishments. Who wouldn’t want to imitate First Lady Michelle Obama, or “Commander in Chic,” as former Essence Magazine editor Mikki Taylor so cleverly put it.

African Americans have much more brand awareness than the average consumer. Women are feeling particularly empowered by success and treating themselves. These women are gatekeepers; they are three times more likely to be head of their household and make buying decisions compared to the general population and are indulging in luxury cars, jewelry, fashion, personal services and technology.

Speaking of technology, 25% of African Americans use Twitter—a very high percentage, higher than any other race in the country. Black America is very digitally connected. They are more likely to own a smartphone, to click on smartphone ads, watch video, use apps and manage their finances on their smartphone. As merchandisers, especially in the South where many African Americans live, this is vital insight that we must take to help us tweet wisely.

Another media outlet that African Americans pay attention to is television. What exactly are they watching? TBS, TNT, VH1 and CNN. These are mainstream channels and because Black America is a mainstream audience, it is important to treat them that way and not over-target. For example, black casting is not enough; characters and models must be culturally relevant and also diverse, since black skin tones, body sizes and hair types are extremely varied. These consumers must be able to see someone with similar characteristics rocking the product before hopping on the bandwagon themselves. Another mistake is when advertisers use urban slang or hip-hop music for unrelated products like food or retail.

So how do we sell retail to this market? Perhaps we should look to current African American fashion icons. As much as I hate to love Tyra Banks, I can’t deny the fact that she is a cultural icon and even a household name, along with other black models like Alek Wek. And this market is not restricted to women’s wear. One of my favorite street style blogs, Street Etiquette, features two style savvy black men living in New York: Joshua Kissi and Travis Gumbs. Another one of my favorites, rapper Kanye West recently launched his own (unfortunately underwhelming) fashion line. And although it was not well received, it is an understatement to say that high fashion is taking cues from mainstream African American musicians like him and his “Watch the Throne” counterpart Jay-Z and wife Beyoncé.