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Business -ar J> ___ New Trends in Ethnic Marketing Create Opportunities for Blacks r* j ? ror decades, many companies could count on the loyalty of African-American shoppers, even though the business of black shop pers was never explicitly sought out in marketing campaigns. But those days are over. As African-Americans grow more affluent, sophisticated and selective in their buying decisions, companies are spending millions of marketing dollars each year in hopes of reaching and attracting a percent age of America's nearly 30 million African-Americans. These market ing shifts create immense opportuni ? ties foi A fTiC&fi- American business es, professional and consumers innovative and bold enough to seize them. During the past two decades, the aggregate annual income of blacks has grown nearly sixfold, to an estimated $270 billion, up from $127 billion a decade ago. And today, nearly one in 10 black fami lies has an income of $50,000 or more. The 1990 U.S. Census spot lighted the growth of African-Amer ican consumers. Blacks are Ameri ca's largest minority, and their num bers are growing at a much higher ? %ate than whites. By the year 2000, * the African -American population is projected to grow at 17 percent, while white population growth is projected at about 1 3 percent. There's strength in numbers, and these numbers paint a clear pic Cynthia Legette ture of the increasing value of African-American consumers to companies' seeking to increase prof its. As more companies actively pur sue this growing consumer segment, they are constantly in search of cre ative ways to reach it. Companies are learning that T African-Americans, as well as all other customer segments, are more receptive to products, services, advertising and programs to which they can relate. As the ethnic marketing trend continues, therefore, companies will need to contract with more African American businesses, hire more African-American qualified employ* ees, and develop more programs to effectively reach more African American consumers. Following are some ethnic mar kcting initiatives that several well known corporations are incorporat ing into their overall marketing approaches. Cosmetics companies expand make-up for people of color Acknowledging the changing complexion of America, several of the nation's largest companies are plunging into a new competition with shades of makeup designed for women of color. Since March 1991, Maybelline has been selling its "Shades of You" line of foundations, blushes and lip ctioko for dark skinnul wumen. TllC company, which spent $2.5 million in advertising for the -line, reports brisk sales in pharmacies, supermar kets and other mass-market outlets and reaped revenue sales of nearly*. SI 5 million from the new line in its first year. In the summer of 1991, Clin ique, an up-market Estee Lauder subsidiary, followed suit with "Col orDeeps," a new six-shade founda-* tion collection, and Sheer Intensi ties, a new darker palette of lipstick, blushers and eye shadows. Revlon, which tried an unsuccessful line for darker women in the late 1970s has also introduced its new "Darker Tones" of Almay line. In addition, the Body Shop, a retail cosmetics chain that special izes in natural products, has intro duced a 2 1 -product addition for non Caucasian women, called "Shade Extensions." J.C. Penny opens African American boutiques In December 1991, Dallas based J.C. Penny Company tested 20 "Authentic African" boutiques in it hometown and other cities such as Jersey City, N.J., a^d Cleveland where blacks represent 20 percent or more of the population. The tiny shops, which are located inside J.C. Penny stores, featured clothing, handbags, hats and other accessories that are imported from West Africa. After selling out of all the mer chandise in just three months, the retailer expanded tne concept to iuu more stores and added American made products with Africa designs. Retailers believe that Penny's push into the ethnic market - com ? bined with the emergence of savvy independents - will draw more com panies into African merchandise, heighten awareness of the products and open doors for more black owned businesses. Mattel, Tyco and Pleasant Compa ny manufacture Afrocentric dolls ' Both Mattel Inc. and Tyco Industries Inc. now have dolls that are more than Barbies in darker plastic. In 1992, Tyco introduced * Kenya, with beads to to adorn her cornrows. Her locks can also be straightened with a magic lotion. Like a Mattel doll called Shani, Kenya comes in a choice of three complexions - light, medium and dark. And last year at Pleasant Com pany in Middleton, Wise., designers and marketers developed the first black doll in the company's popular American Girls Collection. The new black doll is the first nonwhite doll in the company's historical collec tion, which includes four dolls from eras ranging from Colonial times in Williamsburg, VA, to the 1940s. Pleasant's New Baby Collection, introduced in 1990, includes a black doll, an Asian one and a white doll. Pepsi and Coke compete for ethnic market I ne ft igh-growrtr nra rk ct <r among minorities have become a fertile battleground for Pepsi and Coke, whose head-to-head competi tion to dominate the $47 billion industry is fierce. Pepsi and Coke have been targeting ethnic groups for a number of years but their efforts have become more intense and higher profile within the last few years. Fo? example, now both companies are sponsoring ethnic festivals, bankrolling concert lours and placing special promotional dis plays in stores in ethnic neighbor hoods. Pillsbury tailors ads to African Americans Until they hired an African American advertising agency, Pills bury executives had never gauged blacks' response to the white lum berjack character displayed on their Hungry Jack pancake and biscuit products. When they did, they dis covered that blacks use their type of products at the same level as the general population. So Pillsburv banished the lum berjack in test ads and replaced it with ads that run a colorfully-printed slogan, "You look Hungry Jack," and feature a black family eating together. K mart campaigns for African* American women K mart's "Looking Good" cam paign for their apparel line was launched last year, primarily target ing black wuiiicn ages 1M-49. Ttie ads appear in such national ethnic magazines as Ebony, Essence, and Class, local black newspapers, and on black-driented radio stations in IP markets. All of the ads feature situations relevant to the African American experience. The campaign is part of K marts overall image to entice African- American and other con sumers to come in and see its new look. As corporations become inceas ingly aware of the value of African American consumers, they are developing more inclusive way*s of pursuing this growing consumer segment. But they can't do it alone. They need more African-American businesses and other professionals to help them creatively reach the African -American consumer. They need you. Brown to Speak at Guilford College Internationally-known busi- , ness leader Robert J.Brown will speak at ^:ui 1 ford Col lege -on Mon- ? day. Brown s topic will be "Entre preneurship: Opportunity for Tomorrow." Brown's talk is being spon sored by the Dorothy & Stanley FpinkF^lows^^gra/ti, Jhich was established ii* $l3*to encourage student entrepreneurship. Brown has served as adviser to heads of corporations, government and civil rights leaders in a career that spans three decades. A member of the board of trustees of Guilford College, Brown is also founder, chairman and presi dent of B&C Associates Inc., a pub- ' lie relations and marketing research firm that he established in 1960. An active member of the civil rights movement, Browu_worked_ closely with Martin Luther King Jr. A native of High Point. Brown has been married to Sallie J. Walker for 35 years. His educational back ground includes studies at William Penn High School in High Point, Virginia Union University in Rich mond, Va. and North Carolina A&T State University in Greens boro. Additionally, Brown holds honorary degrees from eight col leges and universities. Brown will speak at 7:30 in the gallery on the second floor of Founders Hall. An informal recep tion will follow. The event is open to the public I ^ WMI Robert J. Brown free of charge. For more information, call the Frank Fellows program Director at 919-316-2187 Black Mayor Makes A Capital Difference NEW YORK ( AP ) _ Stories have reached mythological propor tions about how Atlanta Mayor Maynard Jackson- walked out of meetings unless he got guarantees of black participation in construct ing the city's airport. Jackson, a major presence at the 19th annual convention of the National Conference of Black May ors last week, laughed when asked if those stories were apocryphal. No, he said, they were true. SXI told them: 'The cement could grow weeds"1 before he'd approve any specs that didn't include black people, Jackson said. Hartsfield International Airport opened in 1980. Thirty -eight per cent of businesses that helped build it were minority-owned. Federal Aviation Administration statistics the next year showed that 89 per cent of all affirmative-action in America's airports took place at Hartsfield, he said. Tm glad we got that kicked in," Jackson said. Jackson's actions were cited repeatedly by convention partici pants to show what a difference a black mayor can make for increas ing the number and size of city con tracts and other business thrown the 5vay of blactf constituents. In 1975, there were 3,500 African-American elected officials; by 1991, there were about 7.500. Currently, 357 black mayors repre sent 30 million voters. Before the advent of black mayors, black entrepreneurs had a marginal amount of city business, contractors. In the past two decades, blacks have garnered contracts in the hun dreds of millions of dollars. These things are changing the face of the country," said Ernest Green, a managing director at Lehman Bros, who was an under secretary of labor in the Carter administration. "Any minority business person ought to see themselves as an extension of the Voting Rights Act." Henry Cisneros, a former mayor of San Antonio and now sec retary of the Department of Hous ing and Urban Development, said after addressing a convention lunch that minority mayors "who have equity or justice agendas for their cities can make things happen." He too pointed to Maynard Jackson and another Atlanta mayor, Andrew Young, as change promot ers. Still, Cisneros said, "it's taken the better part of two mayoral terms over 16 years. Atlanta still has trou ble, but Atlanta is a different place." dominated bv white-run 1 *F>A WN A I CORPORATION BORROW BUY OR BROWSE 2828 UNIVERSITY PARKWAY COLLEGE PLAZA CEnTl LR Quick Gash Loans Jrwlery ? TV ? VCR Repairs MONtJAY-SATI IROAY ? 0-9 - SUNDAY 1 -? Injured? We can help. We're paid only if you collect. ATTORNEYS XT LAW. P.A. MlCho* L?wU DovkJ D. Daggett Crt? te Harm, R.N., J.D. ATTORNEYS AT LAW PC Michoei Lewis, David D Daggett Celeste Hams 766-7777 Fhooei antwefed 24 hours 285 Executive Park Blvd Winston-Salem. NC 27103 A HISTORY OF HELPING PEOPLE ^ ' What Good Is Owning A House tf Tfciu Can't Getfhe = Money 1o Repair It? ? a A - A?. A leaking roof, bursting water pipes, or rotted porch can take the fun out of owning a home. Especially when you have to borrow money to fix it. But here's some good news. If your household income is less than $27,500, you may qualify for our special Home Improvement Program, which lets you borrow up to $15,000 for major repairs and improve ments at a low interest rate. You even save on things like the appraisal and crcdit report. Because this is a Tax Advantage Loan, you can also deduct up to 100% of the interest. So apply for a home improvement loan at Southern National. It's die smart way to keep your home looking good W Southern National Tax Advantage Loans (?) Equal Homing Lender Member FDIC
Winston-Salem Chronicle (Winston-Salem, N.C.)
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April 22, 1993, edition 1
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