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Guide to Marketing to Gay and Lesbian Consumers Reaching a $600 billion market requires sensitivity and support: By Matt Alderton
For decades, gay men and women have been living invisible lives. Not only in the media and on the streets, but also in the marketplace. That’s changing, however, thanks to growing efforts within the gay community, members of which are actively working to claim their identities not only as citizens, but also as consumers.
Their efforts have paid off. Today, gay consumers are not only participating in the marketplace, but more and more they’re driving it, too. The gay market has come out of the closet and flourished as one of the most powerful and promising groups of consumers in the checkout line. The rainbow flag is colored green, and smart marketers are taking notice.
Gays and lesbians spend more than $600 billion every year; they’re a business owner’s dream customers because they are:Affluent: The average annual income for a gay household is $61,000, 20.4 percent higher than in a heterosexual household. Educated: Some 83 percent of gays and lesbians have either attended or graduated from college. Loyal: Approximately 89 percent of gays and lesbians are brand-affiliated and are highly likely to seek out brands that advertise to them.
Action Steps The best contacts and resources to help you get it done Research the market
Gays and lesbians represent a unique demographic in that they include people of all races, genders, incomes and ages-all with different buying habits. Because the market is so diverse, it's best to decide which cross-section of the gay community you want to reach, and to invest in ample market research before you interact with it.
Surveys show that gays and lesbians watch more cable TV, read more newspapers, and look at more magazines than heterosexual consumers. More importantly to businesses, however, is that they also are motivated more frequently by advertisements to make purchases.
I recommend: Consider advertising in local gay media, in GLBT business directories, or sponsor gay events.
The gay population is remarkable for its presence as a resilient and social community. That presence has an enormous economic impact, particularly within urban areas, where gays and lesbians come together to celebrate their community with parades, festivals, sporting events, concerts, film festivals, conventions and more.
I recommend: Gay events that are ripe for sponsorship include: local, state, or national Annual Gay Pride & Parades,
Tips & Tactics Helpful advice for making the most of this Guide
· Succeed with gay consumers, who are moving more into the mainstream every day, by focusing more on their daily lives-financial and family concerns, for instance-and less on their political identities.
· Advertising to the gay community need not be overtly sexual to be effective. Still, as is the case with mainstream marketing, sex sells.
· Gay parents represent a unique opportunity for marketers, as approximately 33 percent of lesbian couples and 22 percent of gay male couples have children in their households.
· Because fewer gays and lesbians have families, they tend to have more discretionary and disposable income. That means greater ROI for companies who are willing to actively court their gay customers.
· Gays and lesbians are trendsetters; successfully marketing new products and services to them can often help marketers gain entrance into larger, more mainstream markets.
