Multicultural consumers are transforming mainstream U.S. marketplace business economy. Propelled by twin engines of population growth and expanding buying power, they are at the leading edge of converging demographic and social trends, redefining the increasingly diverse consumer marketplace. By understanding the cultural landscape that drives multicultural consumer behavior today, marketers and advertisers can anticipate future business market trends and forge long-term relationships with the most robust and fastest growing segment of the U.S. consumer economy.
THE NEW MAINSTREAM
- African-Americans, Asian American Pacific Islanders, Latino Americans et al comprise 38% of the U.S. population with U.S. Census projections forecasting multicultural populations will become the numeric majority by 2044
- 92% of the total growth in the U.S. population from 2000-2014 came from multicultural consumers
- U.S. multicultural buying power is currently $3.4 trillion
MULTICULTURAL BUYING AND SUPER CONSUMERS
- Super consumers represent top 10% of a category’s household consumers and drive minimally 30% of sales, 40% of growth and 50% of profits
- Super geos are geographic regions and metropolitan areas with very high concentrations of Super Consumers of categories
CULTURALLY DRIVEN BEHAVIORS
- 82% of multicultural heavy consumers actively use a smartphone vs 70% of non-multicultural counterparts
- Multicultural heavy consumers are 32% more likely to be the stop segment of mobile users averaging 73 website visits per month and more likely to use an average of 46 apps per month
Adapted from Nielsen, An Uncommon Sense of the Consumer™ www.nielsen.com
U.S. Department of Labor Deputy Secretary Christopher Lu stated emphatically the Value of Collaborations during his keynote opening remarks at the Asian Pacific Islander American Chamber of Commerce & Entrepreneurship 2015 National ACE Conference & Awards Ceremony held at the Ronald Reagan Building and International Trade Center in Washington, D.C. Honorable Christopher Lu serves as the Chief Operating Officer of a 17,000 employee organization that strives to create greater opportunities for all Americans. Earlier Lu served as the White House Cabinet Secretary and Assistant to the President. As one of the highest ranking Asian Americans in the Obama Administration, Lu was also the Co-Chair of the White House Initiative on Asian Americans and Pacific Islanders.
National ACE brings together the leadership and insights of business owners, entrepreneurs, corporate leaders and government officials from across the country. Unite Learn & Prosper theme showcased the issue of invisibility among the AAPI community in all industry sectors including higher education, business and workforce labor areas. Establishing a pipeline with fair access to opportunities critical to ensure inclusion and success of AAPI community. Latest findings on the Asian American Pacific Islanders AAPI business and consumer communities were shared by Nielsen, CNBC and ACE leadership team. Highlights included remarks by Honorable Maria Contreras-Sweet, Administrator of the U.S. Small Business Administration; Ken Niumatalolo, Head Football Coach at the U.S. Naval Academy; and Dominic Chu, Markets Reporter for CNBC and Cornell University School of Hotel Administration graduate.
Wegmans Food Market flagship store in Pittsford New York recently launched a series of healthy home-style Chinese foods in collaboration with China’s leading hypermarket retail enterprise, the Beijing Hualian Group Investment Holding Co., LTD. BHG Chairman Ji Xiao An and his innovation team led by Frank Ji oversaw the development and training of Chinese culinary dishes for the chefs at Wegmans. Ready to eat foods emphasize authentic, nutritious and tasty dishes including Shiitake Mushroom Congée, Sichuan Style Dandan Noodles and Chinese Barbequed Pork. Catering to the ever-growing international palate of Wegman’s customers, their newly renovated Asian foods pantry now stock a wide variety of fresh Chinese youchoy and bokchoy greens, Daikon icicle radishes and select varieties of bulk long-grain and short grain rice.
BHG Beijing Hualian Group Investment Holding Co.,Ltd. is a leading multinational global enterprise as one of the 15 largest retail enterprises supported by the China Ministry of Commerce including primary membership in the International Association of Department Stores (IADS), and two publicly listed companies and several holding companies. BHG Group’s business is focused on hypermarkets, supermarkets, department stores and commercial properties. BHG is established in more than 80 hypermarkets in 35 key cities and 23 provinces across China and the Pacific Rim countries. The Beijing Hualian Group values customers first and foremost. Their core business principles include integrity in all relationships — with employees, customers, suppliers and cooperating partners. “We seek to maintain and grow our company’s high recognition and reputation, and made “Beijing Hualian” a prestigious brand in the country” and now earmarked as a prestige global brand.
China is now the fastest growing global economy, ranked second only to the U.S. as the world’s largest economy. The new visa accord established between U.S and China will enhance trade, investment, and business ties by facilitating travel and ease access to both economies. Extended validity visas for students and exchange visitors will foster the bonds between U.S. and China and facilitate travel for outstanding students from around the world who attend U.S. institutions of higher education. As a result of this arrangement, the U.S. hopes to welcome a growing share of eligible Chinese travelers, inject billions in the U.S. economy and create demand to support hundreds of thousands of additional U.S. jobs. Global growth of outbound travel from China represents an unprecedented opportunity to foster job creation across the country. China is the fastest growing outbound tourism market in the world, and Chinese visitors have accounted for 20 percent of the growth in overseas travel to the U.S. As incomes in China continue to rise, the number of Chinese citizens able to afford international travel and tourism is projected to more than double over the next few years, reaching the hundreds of millions. Close to 7.3 million Chinese are projected to travel to the U.S. by 2021, contributing nearly $85 billion a year to the economy and supporting 440,000 jobs.
U.S. President Obama traveled to China and met with China President Xi Jinping to effect a reciprocal visa validity arrangement to broaden and fortify economic and people-to-people ties. Both countries mutually agreed to increase the validity of short-term tourist and business visas issued to each other’s citizens from one to ten years – the longest validity possible under U.S. law – and increase the validity of student and exchange visas from one to five years. The U.S began issuing visas in accordance with the new reciprocal agreement on November 12, 2014. The visa accord will enhance trade, investment, and business ties by facilitating travel and ease access to both economies. Extended validity visas for students and exchange visitors will foster the bonds between U.S. and China and facilitate travel for outstanding students from around the world who attend U.S. institutions of higher education. As a result of this arrangement, the U.S. hopes to welcome a growing share of eligible Chinese travelers, inject billions in the U.S. economy and create demand to support hundreds of thousands of additional U.S. jobs.
Welcoming a Growing Share of Chinese Travelers
- China is the fastest-growing outbound tourism market in the world, and in 2013, 1.8 million Chinese travelers visited the U.S., contributing $21.1 billion to the U.S. economy and supporting more than 109,000 American jobs
- Chinese travelers consistently rank the United States as their most-desired travel destination, yet less than 2 percent of total Chinese travelers come to the U.S.
- Chinese travelers cite ease of visa policies as the second most important factor in deciding where to travel, behind only cost
- A competitive visa policy will help U.S. meet projections that suggest as many as 7.3 million Chinese travelers will come to the U.S. by 2021, contributing nearly $85 billion a year to the economy and supporting up to 440,000 U.S. jobs
Strengthening Bonds Between Chinese and American Students
- 28 percent of all foreign students and exchange visitors in the U.S. originate from China
- Chinese students in the U.S. spent $8 billion in 2013, an increase of nearly 24 percent over the previous year
- Visa accord will allow American and Chinese students to more easily travel back and forth, making foreign study a more attractive option, increasing opportunities for people-to-people ties, and boosting mutual understanding
Extending Visa Validity to Increase the Number of Chinese Travelers Coming to the U.S. and Support American Jobs. In order to support America’s most important and largest services export – tourism. Chinese travelers persistently rank the U.S. as their top desired travel destination, but only slightly more than 1.8 percent of total outbound travelers go to the U.S. Chinese travelers cite ease of visa policies as the second most important factor in deciding where to travel, behind only cost. A competitive visa policy is needed to secure the U.S. as the chosen destination for millions of Chinese travelers
Global growth of outbound travel from China represents an unprecedented opportunity to foster job creation across the country. China is the fastest growing outbound tourism market in the world, and Chinese visitors have accounted for 20 percent of the growth in overseas travel to the U.S. since 2008. In 2013, 1.8 million Chinese travelers visited the U.S., contributing $21.1 billion to the American economy and supporting more than 109,000 U.S. jobs. As incomes in China continue to rise, the number of Chinese citizens able to afford international travel and tourism is projected to more than double over the next few years, reaching the hundreds of millions. Close to 7.3 million Chinese are projected to travel to the U.S. by 2021, contributing nearly $85 billion a year to the economy and supporting 440,000 jobs.
Increasing business travel will support the U.S. President’s goal of increasing exports. Increasing visa validity for U.S. citizens traveling to China makes it easier to respond to market and commercial opportunities in China, helping to boost U.S. exports, foster increased trade ties, and improve commercial linkages between U.S. and Chinese firms. In the near term, extending visa validity for Chinese business travelers will also help meet the President’s Select USA goal of boosting inward investment into the United States as the U.S. travel and tourism industry commits to making upfront investments in new hotels and other infrastructure in anticipation of a rise in Chinese inbound travel.
Rochester New York became the global venue to host the 95th PGA Championship Tournament at the majestic Oak Hill Country Club located in the bucolic town of Pittsford. Spectators and challengers came as far as from Asia and Australia across Europe, South Africa and the U.S., drawing enthusiastic crowds of over 200,000. The world’s top two golf champions Tiger Woods and Phil Mickelson were no match for newcomer Jason Dufner winning his first 2013 PGA championship tournament. As Dufner extolled and beamed with pride, holding up the Wanamaker Trophy engraved with his name, ” Nobody can take that away from me… It’s a great accomplishment for me and I’m really excited about it”.