Ethnic Consumers Research Articles

Ethnic Consumer Reaction to Targeted Marketing: A Theory of Intercultural Accommodation

Marketers are increasingly recognizing the growing power of ethnic groups, and are responding with targeted marketing efforts. Targeted communications often draw on various references to the ethnic culture in an attempt to enhance communication with and gain the approval of the intended audience. However, research on how such accommodation efforts may be received is lacking. Drawing on a variety of disciplines, the authors develop a theory of intercultural accommodation to fill that gap. The proposed model views the consumer as having both affective and attributional responses to a targeted communication. The consequences of the response are proposed to influence the consumer's evaluation, comprehension, and recall of the message, and to influence behavioral intentions toward the communicator.

Learning to Create Ad Strategies for ‘Different’ Target Audiences

The demographic profile of the United States has undergone significant changes in the past 15 years. As result, aspiring advertising creative students are finding it increasingly important to know how to design culturally relevant messages to reach the myriad ethnic audiences whose numbers have burgeoned. Advertisers of products, as potential employers of our creative students, are acknowledging the increasing minority population and are recognizing the impact, differing needs, consumption patterns, backgrounds and buying patterns of these diverse markets. How then can we help prepare our advertising students to design effective messages when they are not members of the particular culture being targeted? Moriarty and Rohe discussed using cultural palette, or a range of symbols and colors, as well as layout and art styles that are culturally appropriate for particular communication (1992, p. 32) as sensitivity-enhancing exercise for graphic designers. Likewise, this paper presents focus group exercise for advertising creative and strategy development students that is designed to cultivate awareness and empathy for the ethnic consumers' purchase decision process. While we chose to look only at the African-American audience for this paper, this focus group project is applicable to all minority targets - as well as cultural, social, or age groups that are different from student population. Background Minority group members soon will outnumber the rest of the population in the top 10 metropolitan areas of the U.S. (Barney, 1991). particular, African-Americans are America's largest minority (Kinter, 1995; Goerns, 1992). Indeed, according to the 1990 census, the African-American population increased 13 percent between 1980 and 1990 from 26.5 million to 30 million (Berry, 1997; Dunn, 1992; American Demographics, 1991). Further, it is estimated that by the year 2000, African-Americans will number 33.8 million (Jewler, 1995). While African-Americans make up more than 40 percent of the poor in central cities, this ethnic group accounts for fewer than 30 percent of all low-income Americans (Barney, 1991). Plus, African-Americans wield an impressive $469 billion in annual spending power that is expected to increase to $889 billion within the next two years (Fawcett, 1995; Stewart,1998). Yet it is important to understand that half of all households are headed by females, and this group is most likely to live in cycle of poverty (Baker-Woods, 1995). Research conducted by the U.S. Bureau of Labor Statistics revealed that African-Americans are particularly brand loyal. fact, African-American households spend up to 11.4 percent more than the average U.S. household on such products as brand-name hosiery, clothes, and hair and nail care products (Schnuer, 1996). addition, black adults care deeply about their appearance and spend heavily on personal-care products. 1994, AfricanAmerican households spent 41 percent more than average on personal-care services for women ($532) and 24 percent more on services for men ($212). Black households spend more than average on items such as hosiery, accessories and jewelry. Yet, they spend significantly less than average on housing, appliances. furnishings, home maintenance, repairs and insurance (Fisher, 1996). These statistics suggest that the AfricanAmerican market is vital one for mainstream products; however, messages must be tailored to their specific needs. According to Jewler (1995), In the new marketplace where minorities have substantial economic and social clout, it's possible to reach minority consumers with general message, but reaching and selling are separate jobs (p. 298). Instead. today's messages must strive to reflect diversity so that consumers feel connected to the products they purchase (Stewart, 1998; Minority Markets Alert, 1998; Berman, 1997). Much of the research on marketing to minority groups provides few guidelines on just how to sell with effective targeted messages. …

Consumers of Ethnic Apparel from Alternative Trading Organizations: A Multifaceted Market

Consumers from the mailing list of Pueblo to People, an alternative trading organization specializing in ethnic apparel and crafts from Latin America, were segmented by their desirability ratings for a variety of clothing evaluative criteria. Two market segments emerged that were considered meaningful for targeted product development. Creative Ethnic consumers preferred a unique and dramatic look that they believe can be achieved through ethnic and traditional styling. The traditional and bright colors of Latin America were desirable to this group, who also rated high quality as important. Plain and Simple consumers also preferred high quality garments, but not elaborate patterns and surface designs characteristic of traditional ethnic fabrics. Rather, Plain and Simple consumers preferred dark colors in blue hues or neutral colors such as black, white, or gray. Findings are discussed in relation to literature on textile craft consumers. Additionally, suggestions are made for product development that would target both groups.

The communicative effectiveness of ethnically oriented advertising

A study conducted on Asian ethnic consumers in the UK showed ethnic origin to be a major segmentation variable in differentiating ethnic and white intergroup responses to four different executions of advertising copy incorporating different levels of ethnic appeal. The ethnic group gave consistently more favourable responses than white consumers, implying that they would respond more favourably to the visual ‘picture’ component in advertising copy. On an intragroup basis it was found that ‘all–ethnic’ copy with higher levels of ethnic content would be more effective in targeting ethnic groups because it provides a cultural framework with greater staying power in terms of its visual, nonverbal presentation in comparison to ‘all–white’ appeals. ‘Integrated’panel layouts incorporating both ethnic and white appeals in the same advertising copy format did not evoke significantly more positive feelings among either Asian ethnic or white viewers in comparison to ‘all–ethnic’ copy. Advertisers should note therefore that integrated advertisements cannot be expected to radically influence either ethnic or white consumer attitudes towards promoted products. It was also found that as a compromise strategy, ‘product–only’ advertisements might well be the best answer to targeting ethnic as well as white viewers.

The communicative effectiveness of ethnically oriented advertising

A study conducted on Asian ethnic consumers in the UK showed ethnic origin to be a major segmentation variable in differentiating ethnic and white intergroup responses to four different executions of advertising copy incorporating different levels of ethnic appeal. The ethnic group gave consistently more favourable responses than white consumers, implying that they would respond more favourably to the visual ‘picture’ component in advertising copy. On an intragroup basis it was found that ‘all-ethnic’ copy with higher levels of ethnic content would be more effective in targeting ethnic groups because it provides a cultural framework with greater staying power in terms of its visual, nonverbal presentation in comparison to ‘all-white’ appeals. ‘Integrated’ panel layouts incorporating both ethnic and white appeals in the same advertising copy format did not evoke significantly more positive feelings among either Asian ethnic or white viewers in comparison to ‘all-ethnic’ copy. Advertisers should note therefore that integrated advertisements cannot be expected to radically influence either ethnic or white consumer attitudes towards promoted products. It was also found that as a compromise strategy, ‘product-only’ advertisements might well be the best answer to targeting ethnic as well as white viewers.

In-Store vs. Out-Of-Store Coupons: An Examination of Anglo-, African-, and Hispanic-American Redemption

The consensus among Studies examining differences in coupon redemption between ethnicminority consumers and the general population is that ethnic consumers redeem significantly fewer cents-off coupons. The current study goes a step further by examining coupon redemption by several methods of distribution. It is hypothesized that differences between African- and Hispanic-Americans and Anglo-Americans will be significant for some methods of distribution but not for others. Results of the study indicate that the only types of coupons for which differences are found between AngloAmericans and their ethnic-minority counterparts are those distributed through print media. The implication of this finding is that marketers targeting ethnic consumers with coupon promotions must distribute them in such a way in which these consumers will be reached.

Marketing Strategies in A Multi-Ethnic Environment

Recent demographic changes indicate the increasing importance of ethnic minority consumers in American society. A Review of practices of Marketing towards ethnic minorities reveals several perspectives: traditional Marketing, separated Marketing, integrated Marketing and multicultural Marketing. The article adapts research in international Marketing and proPostes a framework of four distinctive strategies for Marketing to ethnic consumers: total standardization, product adaptation, Advertising adaptation and ethnic Marketing. Factors that influence the selection and implementation of the strategies are examined, such as product preference, ethnic identification, acculturation and Advertising responses. Managerial implications for firms to reach ethnic markets are discussed.

Ethnic response to couponing: a motivational perspective

Looks at the difference in the use of money‐off coupons between Anglo‐Americans and African‐Americans ‐ marketers today are currently being challenged to understand the complexities of ethnic markets as they grow in numbers throughout the USA and have an increasing interest in determining how ethnic consumers respond to sales promotion efforts. Of particular interest to marketers is an understanding of the extent to which ethnic consumers use cents‐off coupons. Demographic factors such as education, income and family size have largely been used to explain differences between those who use coupons and those who do not. The current study goes beyond looking at demographics and examines motivational factors. Suggests that Anglo‐ and African‐American consumers have different motivations for responding to coupon promotions.

Differential responses to retail sales promotion among African-American and Anglo-American consumers

Ethnic populations are growing in numbers throughout the United States, and retailers today are challenged to develop promotional strategies to reach these consumers. Couponing is one particular sales promotion activity to which ethnic consumers have historically responded poorly. This study examines the responses of African-American and Anglo-American consumers to four types of retail sales promotion—coupons, product displays, feature advertisements, and price discounts. Results show that significant differences exist between African- and Anglo-Americans only in their use of'cents-off'coupons. One implication is that there are possibly some media-related factors contributing to this outcome, since using coupons is the one promotion activity involving media exposure outside of the retail establishment. Thus, there is a need for retailers to plan promotional strategies so that they are effective in reaching the particular ethnic markets which they serve.

Acculturation, Ethnic Consumers, and Food Consumption Patterns

This article describes an investigation of the impact of acculturation on consumer behavior. The relationship between a four-phased acculturation process and ethnic consumer behavior was studied. Korean immigrants were found to be venturesome in trying new foods during their early acculturation stages, but deferred large adoption until the assimilation stage. This careful adoption process if reflected in the increasing consumption frequency of both American food items and traditional ethnic food items through the first three acculturation stages.

A comparative analysis of shopping behavior in Hispanic and non-Hispanic market areas

Many retailers target shoppers belonging to ethnic minorities, particularly Hispanics. Most often, ethnic oriented retailing involves specialized marketing efforts in retail stores located in market areas with high concentrations of ethnic consumers. Previous research, through respondent self-reports, has attempted to determine how Hispanic shopping behavior differs from that of other customer groups. However, past studies have not investigated actual purchase behavior in stores located in ethnically concentrated market areas. Drawing on past research, we develop and test several hypothesis about shopping behavior in Hispanic market areas. Results show that shoppers in Hispanic trading areas are comparable to shoppers in non-Hispanic areas with respect to direct price responsiveness and brand substitution. However, we find that store brand purchasing is more prevalent in market areas with high concentrations of Hispanics.

Hispanic coupon usage: The impact of strong and weak ethnic identification

AbstractThe fragmentation of mass markets and its economic importance has dramatically increased the need to better target and understand ethnic markets. This article argues that the strength of ethnic identification, which measures the strength to which a person feels tied to the culture of origin, is a key variable in understanding the impact of ethnicity on responses to marketing mixes. The major hypothesis driving this study therefore states that, when the strength of ethnic identification is high, the ethnic consumer will respond to marketing the way their parents' culture does. This study analyzes Hispanic consumers and demonstrates that Weak Hispanic identifiers are quite different from Strong Hispanic identifiers in their coupon usage, and that Weak Hispanic identifiers are more like the dominant culture. Specifically, this study shows that cultural reasons may overshadow economic reasons in explaining coupon usage and brand loyalty.

Ethnie Resources, Opportunity Structure and Coping Strategies : Chinese Businesses in Canada

Ethnic Resources, Opportunity Structures and Coping Strategies: Chinese Businesses in Canada Kwok-Bun CHAN The « transilient migrant » is the economic phenomenon of today and the typical migrant of the next era. A transilient migrant is resource-rich, well-endowed and skilled; as a facilitator of international trade, he or she crosses geographic and economic boundaries at will. Increasingly, they have become the prime movers of powerful economic forces. They who bestraddle both the East and the West, leading a « two-legged existence », with one leg in their country of origin and the other in a country of voluntary adoption, operate as cultural brokers, trade mediators and facilitators between the two worlds. The early Chinese immigrants tended to specialise in ethnic consumer products and later, in services like laundries and restaurants. In today's Canada, with the government courting business immigrants, the path trodden by earlier immigrants has become largely anachronistic. The 1988-1989 data on investor-immigrants in British Columbia shows that these Chinese immigrants — primarily from Hong Kong — topped the list in every category of economic contribution. A similar pattern is noted in Ontario, another popular destination for Chinese immigrants. They are now making inroads into the manufacturing and export sectors. In fact it is the Chinese immigrants who have revitalised Toronto's garment industry.

The effect of ethnicity on selected household expenditures

A subsample of expenditure data, collected from 3,481 households as part of the 1980–1981 Consumer Expenditure Survey, was used to analyze the effect of ethnicity on expenditures for clothing, food at home, and food away from home. Previous research has been criticized for failing to control for the effects of income and other socioeconomic and demographic variables on the behavior of ethnic consumers. The results of a multiple regression analysis in which the effects of those variables were controlled demonstrated that Hispanics spend more than other households on food at home, while Afro-Americans spend more on clothing and less on food away from home.