2050 A More Diverse World
Now more than ever corporations targeting the consumer need to focus on multicultural and urban marketing with specialized agencies. The demographics of the US are becoming more diverse and previously deemed minority groups are projected to become the majority by 2050. Barack Obama is shattering perceptions and stereotypes held regarding the competency of people of color as he prepares to lead one of the most powerful nations in the world as President. Corporations need to stage current efforts to anticipate the diverse taste of consumers now investing in targeted multicultural strategies that are well funded with a dedicated team of subject matter experts.
A recent study conducted by the Association of National Advertisers of marketers showed that 58% of respondents cited lack of funding and lack of metrics to measure performance. In the shadow of today’s economic climate it’s counter intuitive to not fund multicultural marketing activities while the country is becoming more diverse. The group surveyed provides creative and advertising campaigns for the leading corporations in the country.
With the demographic shift there’s a need to adjust the perception of multicultural marketing as the first budget to cut. Diverse customers are cognizant of inclusive advertising in mainstream marketing and respond well to targeted messaging and creative. Brands that engage diverse market segments with ad campaigns and events that are targeted create tremendous loyalty and recognition with diverse clients.
Strategies for success with the African American, Hispanic and Asian segments require consistent campaigns with regular funding coupled with support from the C-Suite (CEO specifically). Support from the top of the house is critical to longevity. If the CEO understands the link to market share generally that aids in clearing internal barriers to success.
Multicultural marketing became the focus of my early career in the financial services industry before I started my marketing and communications agency Nuance Marketing. I was National Director of Strategic Initiatives for an affinity banking team targeting affluent African American private and commercial clients. I managed a $1.5 million sponsorship budget to create sponsorships with national organizations that would yield brand awareness and prospecting opportunities for clients. This was in the late ’90s before multicultural and urban marketing were recognized pervasively as a focus by corporations. We found that consistency in our efforts yielded two things; value added relationships with organizations and cross hits of the brand at multiple events.
Mid-year through our sponsorship strategy execution, I was approached by a doctor at the National Medical Association (NMA) national convention who said “Your company is everywhere as sponsors, at Black Enterprise, NMA, my fraternal convention. I had no idea you were so committed. I’m moving my accounts when I get back home and wanted you to know.” That was a memorable example of how brand perception through visibility and consistency can be impacted.
The Madison Avenue goliaths and corporations can gain market share by developing sustainable funding for multicultural marketing and create relationships with firms specializing in multicultural audiences. The ANA survey sites that 55% of marketers surveyed said they preferred to use a specialized multicultural agency for creative work. 25% of marketers surveyed rely on their general-market agency of record for multicultural work. Beyond the benefits of specialization by using Minority Business Enterprises (MBE) they will also satisfy their clients commitment to supplier diversity, the practice of creating procurement opportunities for minority and women business enterprises. It’s a win-win you hit the target segment on message, with compelling creative by subject matter experts while developing diverse businesses. Multicultural marketing success can be achieved with a defined strategy, measurable results and consistent internal and financial support.
Edward Cates is the President & CEO of Nuance Marketing, an Atlanta based strategic marketing, advertising, communications and public relations agency. Cates leads the delivery and development of multicultural marketing, sponsorship and organizational strategy consultation for corporate clients. For additional information please visit www.nuancemktg.com or [email protected].
Tags: advertising campaigns, African American, Asian, Association of National Advertisers, Barack Obama, communications, corporate, Diversity, Edward Cates, Hispanic, marketers, MBE, minority business enterprise, multicultural marketing, National Medical Associaion, Nuance Marketing, PR, procurement, public relations, sponsorship management, sponsorship strategy, supplier diversity, supply chain, urban marketing
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