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data on African American consumers
Black Buying Power:
$679 Billion (2004)
Black U.S. Population:
Top Five Black Cities
- New York
Top Five Black Metros:
- New York-New Jersey
- Los Angeles
Top Five Expenditures:
- Housing 110.2 bil.
- Food 53.8 bil.
- Cars/Trucks 28.7 bil.
- Clothing 22.0 bil.
- Health Care 17.9 bil.
Click here for more stats from "The Buying Power of
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Click here to go to African-American Census Bureau
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Report: Black hair care products positioned to enjoy good growth
(November 26, 2005) According to a report by the market research firm,
Mintel International Group, the black hair care market increased by 13
percent from 1999 to 2004, a factor not unconnected to the black
“Hair care products are essential items, a factor that, with correct
targeting, can tie growth of the market to population growth,” said the
report, which analyzed data from sales reported by research firm, IRI.
The 38 million blacks in the US currently account for just under 13
percent of the nation's population, and the black population is estimated
to grow by 13 percent from 2000 to 2010.
According to the report, shampoos and conditioners were the only items in
the black hair care sector to experience increased sales in supermarket
and drug store retail channels, increasing by 11 percent from $42.5
million in 2002 to $47 million in 2004.
The strong sales were in large due to the 2003 introduction of Procter &
Gamble's (P&G) Pantene Pro-V Relaxed & Natural shampoos and conditioners,
which accounted for 20 percent of the segment sales in 2004.
And because this retail channel is the most popular outlet for such
products, this gives a good indication of the overall black shampoo
segment, said the report.
This is not the same for other black hair care products, where 90 percent
of sales are through channels other than supermarkets and drugstores.
Indeed, Mintel suggests that manufacturers may be losing out by not making
products for black men more available through FDM (Food, Drug and Mass
According to Mintel, “46 percent of black women say they only buy products
specifically for black hair, compared to only 36 percent of black men.
Part of the reason may be that men are less likely to shop in a beauty
supply or specialty store, and are more apt to make hair purchases through
FDM, where black-specific items are generally less available.”
“However, by not directing more products, and marketing, to black men,
especially through FDM channels, companies may be missing an opportunity
to capture black male consumers.”
Indeed, it was not until the late 1990s that large cosmetics companies
started to expand into the Black hair care market. In 1998, beauty
products giant L'Oréal acquired black hair care company Soft Sheen, which
it later merged with a further acquisition, Carson, into its SoftSheen-Carson
In 2003 the company also opened a multi-million dollar research and
development laboratory in Chicago, called the L'Oreal Institute for Ethnic
Hair and Skin Research, which claims to be the first lab focusing
specifically on the beauty needs of people of color.
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'Buying Power' report shows black consumers spending more on home life
As the American economy continues to move sluggishly,
African-American households are curtailing their spending in many
categories, including food, clothing and basic household items, while
investing more in home repair, home entertainment and consumer
electronics. Although they are trimming back, black consumers are still
spending more than their white counterparts on most of these products.
According to the newest edition of “The Buying Power of Black America”
report, African-American households are tightening their belts when it
comes to dining out, expanding their wardrobes, and leisure activities out
of the home. At the same time, they are increasing their spending on home
repairs and remodeling, audio and...
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