Wednesday, September 1, 2010
Gay and Lesbian Consumers Gateway to Post-recession Business Success
The report currently estimates the purchasing power of gay and lesbian consumers at $743 billion but is expecting this market to grow 23% to $900 billion as the population grows to 16.4 million in 2014.Retailers in major metropolitan areas, such as New York, will see much of this good fortune due to higher number of gays and lesbians living in the area. For example, New York currently ranks first among the top fifteen gay and lesbian metro areas and claims $52 billion of this cohort's disposable income.
Metropolitan or otherwise, marketers will be interested to know that when deciding whether to stick or switch from a product or service, gay and lesbian consumers are highly alert to the perceived gay-friendliness of companies. Survey data from the report shows 32% gay men and 25% of lesbians have switched products or service providers because they found a competing company that supports causes that benefit the LGBT community. Furthermore, nearly 60% in this cohort report being 'more likely' to purchase everyday household products and services from companies that market directly to gays and lesbians.