29 Mar Black Spending Power: Using our Buying Power to end Racism!
Purchasing power is a license to purchase power.
Last year was a very exciting year for Black Americans and minorities, in general. It was a year of struggle and triumph, a year to evaluate the lack of diversity, and a year of open dialogue on how we can change our underprivileged circumstances. Minorities are more popular and more influential than they’ve ever been. Something in the air smells like change and we’re very confident that we will see this change in 2016.
We admit that life is getting better for the average young minority but we think that another topic should be added to the discussion. Although, we are very much educated, trendy and influential; we are still ignored in the area of commerce.
For the past four years, it has been predicted that our buying power would amount to 1.1 trillion dollars. Last year, a Nielsen study predicted that this number would increase to 1.4 trillion by 2019. The way in which Nielsen approached this study was to determine how and why companies should put more effort into marketing toward minority consumers. It concluded with a strong suggestion for companies to put more effort into multicultural marketing.
We agree but we also disagree. Minorities shouldn’t be ignored as consumers but this news doesn’t sound too appealing when you consider how often people are token advantage of by big corporations. Why should we be used for our money when we are still at the bottom of the social totem pole? Instead of supporting the racist system, maybe we can use this buying power as influence to improve our social circumstances.
According to this report, nearly 85.8% of our money went to hair and beauty aid. That’s 85.8% of 1.1 trillion dollars. In fact, it has been determined that in 2014, the hair industry was worth over 500 billion dollars. Unfortunately, only 1% of this industry is owned by African Americans. Not only are we NOT circulating this money in our communities, we are spending more and more money every year on hair and products. Not to be against Koreans but they have dominated this industry and they have set up systems so that no one else can gain from this market. Not even us, the people that pay for it to thrive.
It has also been determined that we are more likely to spend money on hot sauce and sugar products, such as molasses and syrup. Interesting enough, they attribute this fact to our southern traditions and values. Implying that culture plays a big role in what we buy.
Now it has been mentioned that part of our influence stems from mainstream media and one of the ways, in which, products are marketed is through our influential high-profile figures. From those in the music industry to those highly favored on social media. Basically, we’re used to market products, used to buy the products but are ignored when we cry out racism.
This is significant because money talks and with 1.1 trillion dollars, we’re very sure that our concerns can be heard loud and clear. Not only as a leverage to be heard but also as a means to keep our money in our community so that it can be used for multicultural growth and power. It was stated in the report that nearly 78 percent of Blacks feel as though our cultural and ethnic heritage is an essential part of who we are and can affect the purchases that we make. This begs the question why aren’t we using our buying power to influence the power?
Maybe our money can be used as a force to end racism.
If interested in a lesson on how this all works check out the YouTube video below. Also comment and tell us what you think about the report or even this article. We’d love to hear your opinion on this fact.