Despite Having Over $1 Trillion in Spending Power, Black Community Still Overlooked by Marketers and Retailers

Black spending power rapidly growing One would think that any group with more than $1 trillion in spending power would be targeted by successful marketing strategies all across the globe, but as one marketing expert pointed out, African-American buyers are still being overlooked despite their massive influence.

No matter which way you look at it, African-American consumers have the potential to be any brand’s dream come true.

Black consumers have an incredible amount of spending power that is expected to increase rapidly over the next few years and they are the most likely consumers to share information about the brands they support.

“African-Americans are 80 percent more likely to share their favorite brands on social media and their projected buying power is 1.1 trillion in 2015 and 1.3 trillion in 2017,” said digital marketing guru Tynicka Battle.

If anyone knows a thing or two about a successful marketing campaign, it’s Battle.

Her clients have included some of today’s most successful companies including Disney, Bombay, Swarovski, Pepsi and more.

She is also the woman behind Lady Gaga’s record breaking digital marketing campaigns for The Fame and The Fame Monster.

In other words, if you’re one of those people who are still scratching their head about how the unconventional pop star became such a huge success seemingly overnight and still stands as one of the most searched and followed celebrities on social media, the answer is Tynicka Battle.

She has also helped build the global fan bases of stars like Rihanna, Jamie Foxx, Prince, Kevin Hart and more.

Over the years, Battle has grown surprised that more people aren’t competing for the attention of Black consumers, but she admits that even she wasn’t always a fan of being typecast as a marketer for only African-American and multicultural campaigns.

Black spending power projections “Although we piloted extraordinary general market initiatives, I felt we were being typecast by winning mostly multicultural and African-American targeted campaigns,” she said.

After taking a closer look at the market, however, Battle is just fine with her position.

“I’m no longer shying away from that sweet spot,” Battle said. “I’ve worked intimately with the most notable and authoritative African-American celebrities, stakeholders and gatekeepers for over 14 years. It’s ironic that one of the most influential consumer segments is also the most overlooked.”

The good news is that Battle believes “that will change.”

With Black consumers showing more and more of their influence on buying behaviors and their ability to give brands new life through clever use of social media, Battle says “marketers, corporations and retailers should feel a sense of urgency and move to immediately address these deficiencies in their marketing strategies.”

 

Still independent.

We hope this story was worth your time. For over 14 years, Atlanta Black Star has stayed Black-owned and independently run. We didn't get here by waiting on ad budgets that were never built to prioritize us. Our readers did that.

Corporate support for Black media has always been thin. Outlets like ours get roughly 1% of the $170 billion spent on U.S. advertising each year, and that margin is shrinking further as advertisers walk back the DEI-linked commitments they made in 2020. That's the backdrop. It's not why we're asking.

The wider picture isn't any steadier. Newspaper ad revenue has fallen more than 80% since 2005, and local newsrooms are closing at a rate of roughly two a week nationwide. When outlets go under, it's rarely the ones built to center a Black perspective from the ground up that get to stick around.

We know a request for support isn't why you came here. But without readers choosing to fund this work directly, the depth of reporting we can do at home and abroad shrinks along with everyone else's. If you're not in a position to give, that doesn't change how much we value you as a reader.

If you are able to, a recurring contribution does more for us than a single one-time gift, because it lets us plan the next investigation instead of just the next invoice. It takes about 30 seconds, no long form, no account. Thank you for continuing to support independent journalism and freedom of the press.

Back to top