Marketing to Minorities: Is it Really Any Difference Than Marketing to the Majority?
Marketing to minorities on the surface may seem like a no-brainer in approach, but from experience I have found that that there are small nuances to be aware of. Just like any other target market, you must understand those nuances prior to spending a lot of money on marketing.
I received an email a few weeks back from a local realtor here in Houston, TX. She was inquiring about how to efficiently reach the minority community.
She was wanting to know how she can efficiently start marketing to ethnic minorities and sale more to them as well. It is not like ethnic minorities don't buy; she was just having issues tapping into that market.
This realtor was a middle-aged white woman. She has been selling homes for about 8 years, but she admitted that she's never been successful attracting potential clients from minority groups (she does sell homes to some minority clients but those minority buyers were mainly from referrals).
She was honestly perplexed as to how to market ethnic minorities with success.
Houston has a growing minority population, not just with Latino and African Americans, but with Asians and Middle Easterners as well. She recognized that being able to connect with these demographics will be key to having a sustained marketing strategy for her business.
Her situation reminded me of what the software industry is going through at the moment. Its marketing efforts are also lacking to minority groups, but industry leaders are looking to change that as well. It is not done intentionally, but it does happen.
Check out this video as Patrick McKenzie explains the importance to marketing to looked over minority groups in the software industry:
Patrick's unique and insightful take on how to market software to underserved minority groups…
There are so many factors that go into breaking down the demographic wall. You need to focus on being adaptive with diversity, being able to understand and cultivate strategies with different cultures, and also having the ability to mend products/services to fit the demographics you're aiming to serve.
Is Your Team Diversified?
Naturally you may be tempted to start out by looking out into the community for marketing to ethnic minorities but you should actually start by looking within your team first. Your company and team should reflect who your audience and target market represents.
Not only will your target market benefit from this, your team will too. Your ethnic minority customer will have an easier time relating to your company, your team, and most importantly, your products/services if there is representation.
The blog How Diversity Is Changing the Workplace delves deeper into two great benefits your team and target audience will benefit from if diversity is a main focus:
1- The customer will share his or her positive experience with others, which will help build up your brand.
2- Working with a positively-viewed company will boost staff morale and help keep them engaged.
This creates a cycle where the employees, on one end, work hard to keep customers satisfied and in return, the customers will promote the company. And from the shout-outs from the customers, the team feels gratitude and in return provides great customer service. This process starts all over again.
This is due to having a diversified team.
Once you realize that having diversity makes you and your team stronger, take that aspect and make it known publicly. Incorporate it into your branding strategy and brand identity.
Your public image is just as important as what is done behind closed doors. Because of this, I will bet that the ethnic minority market would more likely want to deal with you than your competitors.
Change As Your Audience Change
No matter what products/service you offer, make sure that it has been adapted to fit the minority market. You should aim to create a buzz that your audience finds appealing and interesting.
Most importantly, you should feature people that look like your target market in your ads and content, especially when trying to improve on marketing to ethnic minorities.
Roughly 19% of people in ads are from minority groups. That percentage is rather low and it is not reflective of US demographics. You will have to be mindful when you are creating your own ads.
Look to have a true reflection and increase that percentage when you are marketing to minorities. Sales will also increase from them as well.
Lets look at a company that has made a more conscious effort to focus on marketing to ethnic minorities:
Lincoln, the luxury car maker, in the past has been known to driven mainly by older white people. 20 years ago, if you saw a Lincoln town car, you could almost bet that it was owned by a 60+ year old man that is retired and shops at Sam's.
Lincoln has worked hard to break that mold by creating marketing campaigns that are more urban compared to their previous marketing efforts.
Lincoln has made the necessary changes when it comes to implementing minorities in their ads and marketing efforts. I have seen an increase in some segments starring African Americans in their ads and I have also seen where mixed couples of all ethnicities were featured in the commercial.
The ads that featured people of color were displayed as being cool and sleek while the ads that were in predominately white areas feature families, mainly. What is amazing is that none of these ads were disrespectful at all. Those ads did not come across as dishonest either.
Those ads were focusing on what is looks like and feels about owning a Lincoln vehicle if you were a person of color. Now that Lincoln has marketed to other ethnic groups, their ads are more neutral and universal with the use of Matthew McConaughey.
In these ads and commercials, Lincoln deliberately marketed themselves as a car for all; not just for older, white buyers. Lincoln was looking to distance itself from that stigma in order to attract other potential buyers from different minority groups that may have never thought about buying a Lincoln.
It is definitely a deliberate effort to on Lincoln's part to market to these groups and it has paid off.
Read why Lincoln's push of ads to the African American community was so important to their company and future business.
How to Understand the Nuances of Culture
When you are looking to focus on these individual ethnic minority groups, one must understand their culture and purchasing habits of each respective group.
The first thing to do is listen. Before any campaign or marketing strategy is drawn up, you must look to the people first to have an idea what it is they want. You can do this with surveys. Surveys are a great way to gain useable data and improve ROI.
Once you have gathered the data, then you must analyze the data in order to understand what your targeted minority group want and need.
Guesswork is not needed; you have the data and information at your fingertips. You have to be able to interpret your findings, objectivity. This is probably the most important thing to understand the nuances of culture.
Also pay attention to growing trends. You can do this by going to where your targeted minority group resides and hangout. Social media allows your to go to them without even leaving your office. Read articles that can provide you insight and don't forget about reading the comment section as well.
You can also find some invaluable in the comment section. Reading comments allows you to understand that they are thinking and why. If you can solve their ‘whys’ and ‘hows’, then you will have the key to understanding them so much better.
After you have analyzed and interpreted the data, then you must put your minority marketing strategy into action. Even if you did everything correctly, you must still realize that you have to stay focused on your minority target market.
Having the right balance of execution and understanding will keep you on the right track. When it is all said and done, you will be equipped when marketing to ethnic minorities.
4 Reasons Why Entrepreneurs Should Understand Cultures of Minorities
Entrepreneurs who understand the nuances of minority cultures have a greater chance of success in today's diverse business world.
Here are a few reasons why understanding minority cultures is important for business success:
Connect with diverse customers
Minority cultures represent a significant portion of the population and have unique perspectives, values, and behaviors that impact their buying decisions. By understanding these nuances, entrepreneurs can tailor their products, services, and marketing messages to better connect with diverse customers and meet their needs.
Avoid cultural missteps
Every culture has its own customs, beliefs, and taboos. Without a deep understanding of minority cultures, entrepreneurs may inadvertently offend customers, employees, or partners, damaging their reputation and hurting their bottom line. By taking the time to learn about different cultural practices and sensitivities, entrepreneurs can avoid these missteps and build stronger relationships with diverse stakeholders.
Embrace diverse perspectives
Minority cultures bring unique perspectives and ideas to the table, which can lead to innovation and growth. Entrepreneurs who embrace diversity and seek out diverse perspectives can gain a competitive advantage in the marketplace by tapping into new ideas and insights.
Foster a diverse and inclusive workplace
Understanding minority cultures is also important for building a diverse and inclusive workplace. When entrepreneurs prioritize diversity and create a welcoming environment for employees from different backgrounds, they can attract and retain top talent, foster innovation and creativity, and improve overall business performance.
Overall, entrepreneurs who take the time to understand minority cultures can build stronger relationships with diverse stakeholders, avoid cultural missteps, tap into new ideas and perspectives, and create a more diverse and inclusive workplace. This, in turn, can lead to greater business success and a more sustainable future for all.