The Asian-American Market
Despite the tremendous upside to ethnic marketing, marketers have been rather slow to embrace it, perhaps viewing it as fraught with perils and pitfalls. But that’s starting to change. Even as they are making careful inroads into the Hispanic market, marketers are also turning their attention to Asian Americans.
And no wonder: although Asians only represent 5 percent of the U.S. population, they are among the most educated and affluent U.S. consumers. But the Asian-American market, with its multiple sub-groups and diverse languages, remains a challenge to most marketers.
Because so many companies don’t address the Asian-American market directly, the opportunities to build relationships and cultivate loyalty abound. Indeed, according to Saul Gitlin, EVP of strategic services at Kang & Lee Advertising, Asian Americans may represent one of the true “last frontiers” of first-mover advantage for brands in the United States. “(This market) offers a fairly uncluttered environment,” says Gitlin.
Youth Must Be Served
Looking to court younger targets? As a group, Asian Americans are one of the youngest slices of the U.S. market. Census figures show that the median age among Asian Americans is 34.8 years. Meanwhile, the rest of the U.S. population has a median age of 36.2 years.
Spreading the Wealth
Though they are largely concentrated in three states — California, Texas and New York— Asian American consumers nonetheless wield significant spending power. According to a University of Georgia study, Asian Americans spent $459 billion on products and services in 2007.
Open to Suggestion
Marketers should seriously consider direct mail when reaching out to Asian Americans. Even though Asian Americans are more likely to buy luxury electronic items and keep up with advances in electronic communications, they’re also affected by direct mail. Direct mail influences 22 percent of product purchases for Asian-American respondents.
Brain Power Meets Buying Power
Educated consumers are almost always a coveted group, and Asian Americans tend to be among the most schooled customers in the United States. About 48 percent of Asian Americans have earned a bachelor’s degree. Meanwhile, they are also the most affluent group of Americans, with a median household income of $63,900.
Asian American consumers are among the most active in the digital world. For instance, e-mail use on mobile phones is higher among Asian Americans than among any other group. Nearly 52 percent of Asian American adults who use the Internet bank online — as compared to 47 percent of the rest of the U.S. adult population.Diversity Marketing, Large Business, Medium Business, Small Business, Statistics