Ethnic marketing: Can researchers be agents of social change?
Editor's note: Harriet H. Lewis co-founder and president of Konesens Research, Palm Coast, Fla. She can be reached at harriet@konesens.com. This article appeared in the September 13, 2010, edition of Quirk's e-newsletter.
It has been touted that we are living in a post-racial era in the U.S. But what does that mean? Do we not see race anymore? Does it imply that race has little effect on our decision-making? We have all seen the multiple polls related to voting and presidential approval ratings segmented by race. However, does the mere fact that we continue to break down polls this way perpetuate bias? More importantly, as it relates to market research, are we stymieing social progress? Do marketing and market research continue to perpetuate racial and ethnic divisions?
Cultural nuances
When it is the ultimate goal of a marketer to make a product attractive to a potential consumer, they seek to understand the cultural nuances of the consumer group. The marketer, employing market research strategies, uncovers the general likes and dislikes, values and motivations of a particular community. Data from various sources document the buying power of different populations, and what company would not want to try to capitalize on that? Furthermore, acknowledging the purchasing strength of the different ethnic communities can be considered empowering for the communities themselves upon the realization of their collective buying power. Still, is this model outdated? Sure, we can group people by race and ethnicity, but is this counterproductive to social progress as it oftentimes misses - or dismisses - the diversity within these groups and the common interests amongst all populations?
Typically, marketing professionals do not implement ethnic marketing strategies in a vacuum. Strategies are driven by research data from firms specializing in ethnic market research. Market segmentation is needed in the development of a successful marketing strategy. Without segmentation analysis, marketing dollars would be wasted in attempts to target everyone with the same message. Market segmentation in itself is not a bad strategy. It is necessary for effective marketing. However, when it comes to race and ethnicity in a country in which the ethnic minorities in totality will represent the majority of the population before 2050, the model of ethnic marketing may need to be revisited. Also, considering the fact that mass media is a major influence on how we perceive others, the current model does not foster a culturally-inclusive environment.
Social influencers
We know there are many other social and economic variables that continue to perpetuate racial and ethnic divisions in the U.S. Variables that include, but are not limited to, education, employment opportunities and access to health care. Advertising at its best motivates consumers to an action, but it can also have an impact on how we perceive others. As a result, marketers, often guided by analysis from market researchers, by default are social influencers. With this power, marketers and market research professionals may be culpable - at least to some degree - for how we view others different from ourselves.
So, where does this social influencing begin? As researchers, we know it begins with how the data was collected and analyzed - ensuring effective data collection practice and eliminating bias. If data was collected improperly, or if the researcher analyzed the data from a biased perspective, the results will be biased, and the resulting marketing strategy may be biased. Everyone has biases of some sort, and as research professionals, we work extremely hard to keep our biases in check. It is vital that we review our analysis and ask ourselves if our personal bias or perceptions influence the analysis. An alternative solution to this problem could be that when it comes to data that is social in nature, it may be necessary to have a few analysts review the results as well.
There are different ways of analyzing and using ethnic data and market segmentation. For example, McDonald's employs a strategy it refers to as leading with ethnic insights. According to Burt Helm's July 12, 2010, article "Ethnic Marketing: McDonald's is Lovin' It" in BusinessWeek, McDonald's CMO Neil Gordon explained how the ethnic consumers' preferences are marketed to the general public - not segmented for each population. Specifically, "the ethnic consumer tends to set trends ... So they help set the tone for how we enter the marketplace." This is a different way of looking at ethnic research, and using it to bring different groups of people together, instead of perpetually emphasizing the differences.
Fostering a post-racial America
The main objective of this article is not to discourage ethnic marketing but to encourage the result in terms of social impact. Typically, marketers and market researchers do not set out in their careers to become agents of social change, but in reality, they can be. Marketers and market researchers do have power, and we can do our part in fostering a post-racial America. Market researchers need to constantly ask themselves, "Are my questions culturally-biased?" "Do I make assumptions about specific groups that later become advertising, such as assuming that Latinos only prefer specific flavors, or that a well-known basketball player will attract the African-American market to my store?" And most importantly, "What are the commonalities amongst the different groups, and how can I market that?"
So, that said, are we ready for the next level in marketing in American society? Are we ready for the strategic marketing of the shared values and tastes of multi-ethnic consumers, aiding in the creation of an inclusive society, not just for cost-savings?