Survey Finds Affluent Blacks Are Being Ignored by Marketing Campaigns

WITH MANY CONSUMERS tightly gripping their wallets, at least one group of potential buyers with access to cash believes it is not being served effectively by the makers of luxury goods.

Diversity Affluence in Hamburg, a consulting firm for marketing to affluent ethnic consumers, is making a case for more targeted promotions to reach well-heeled blacks. Andrea Hoffman, chief executive officer of Diversity Affluence, said in spite of this group's spending power, successful blacks continue to be overlooked by the marketers of luxury goods such as watches, sports cars and handbags.

"Luxury brands are not penetrating the market like they could be," Hoffman said, commenting on advertising images and messages presented in magazines, direct mailings and other marketing materials. "As a result, [these brands] are leaving a significant amount of money on the table."

Hoffman bases her claims on U.S. Census data showing that, as of 2007, affluent blacks nationwide wielded $29.8 billion in spending power. She also points to a national survey conducted by Diversity Affluence and released in September. Hoffman said the firm surveyed 224 blacks earning in excess of $75,000 and "the large part of responders did not feel luxury brands were doing a sufficient job of marketing to them."