retail news in context, analysis with attitude

The Nielsen Company is out with a new study suggesting that there is a chasm between the spending power of the African-American community in the US and the amount of money spent against it.

Currently, the study says, the nation's 43 million African-American consumers "have unique behaviors from the total market. For example, they’re more aggressive consumers of media and they shop more frequently. Blacks watch more television (37%), make more shopping trips (eight), purchase more ethnic beauty and grooming products (nine times more), read more financial magazines (28%) and spend more than twice the time at personal hosted websites than any other group."

In addition, "African-Americans make an average of 156 shopping trips per year, compared with 146 for the total market … African-Americans also have distinct digital and mobile behaviors, as they spend 44 percent more time on education and career websites, and 71 percent of blacks own a smartphone, compared with 62 percent for the total U.S."

But here's the kicker: "While 81 percent of blacks believe that products advertised using black media are more relevant to them, only 3 percent ($2.24 billion) of $75 billion spent on television, magazine, Internet and radio advertising was with media focused specifically on black audiences."
KC's View: