This presentation is an excerpt from a longer presentation about African American Millennials, their smartphone usage, and their purchase behavior. It focuses on the economic power and a demographic profile about those 18 million African Americans between the ages of 18 and 44.
2. African American Snapshot
45 Million Citizens
$35,610 Median HH
Income
84% of Those 25 or older
have at least a high
school diploma
27% are poor
19% of those 25 or older
have at least a Bachelor’s
Degree
3. African American Snapshot
10% of HHs have Annual
Incomes of $100,000+
35% of African American
HHs earn $50,000+
54% of African American
HHs reside in Urban or
Suburban Areas
71% of African Americans
are voting age
9. Top Cities for Wealthy African Americans
0 5 10 15 20 25 30
Atlanta
Baltimore
Boston
Chicago
Houston
Los Angeles
New York
Philadelphia
San Francisco
Washington Metro
% African American
Residents with
incomes over $100k
11. Neo Soul Demographics
Neo Soul HHs are 127% more likely to include a
single parent usually a woman
40% of African Americans about 18 million
citizens are Neo Souls – between the ages of
18 and 44
32% of Neo Souls are married/50% have never
been married
16% of Neo Soul HHs include children under
the age of 18
12. Neo Soul Consumer Snapshot
85% live in urban
metropolitan areas
82% of total HH
purchases are major
name brands
Shape American
culture according to
73% of Whites/67%
of Hispanics
40% of Neo Soul
women say they are
Trendsetters
81% of Neo Souls
trust products
advertised in Black
media
Spend 18% of their
income on Hair and
Beauty products
13. The Typical Neo Soul
Resides in a Southern
city with a $35k HH
income
32 year old, brand loyal,
employed, unmarried
female
Deal-seeker who seeks
discounts and new
trends
Mobile and socially
connected via her
smartphone
She & her friends see her
as a trendsetter
Black enterprise & corporate social
responsibility are important to her
Uses smartphone to get
health & employment
information,
entertainment, make
purchases, & post
reviews
15. Meet the Neo Soul
Adept Smartphone Users
Brand Loyal Deal Seekers
Receptive to Advertising
Trendsetting Social Networkers
Health & Beauty Conscious
16. Meet the Neo Soul
Shop More but Spend Less
Decades of Expanding Buying Power
Pioneer Shoppers
Ready to Buy and Focused on Luxury
Support Black Businesses
17. Neo Soul Trendsetting Attitudes
Music
Fashion
Social Media
Health & Beauty
Television & Movies
Consumer Products
Urban Culture & Lifestyle
Neo Soul Consumers: African American Smartphone Usage &Purchase Behavior
There are about 45 million African Americans living in the US today
84% of those 25 years or older have at least a high school diploma
The median household income for African Americans is more than $35k per year compared to almost $52k nationally
27% are poor compared to a national average of 14.5%
19% 25 years or older have at least Bachelor’s Degree
10% of African American households have a annual income of $100k
35% of African American HHs have an annual income of $50k+
54% of African American HHs reside in urban or suburban areas compared to an overall average of 41%
And 71% of African Americans are voting age
T10% of African American households have a annual income of $100k
35% of African American HHs have an annual income of $50k+
54% of African American HHs reside in urban or suburban areas compared to an overall average of 41%
And 71% of African Americans are voting age
African Americans represent about 14% of the US population today but by the year 2060 they will represent almost 18% of the US population with an estimated 75 million people
African Americans have a combined buying power of $1.2 trillion. This ranks 16th compared to the gross domestic product of the world’s richest nations. If African Americans were a nation they would rank just behind Mexico and ahead of Indonesia, the Netherlands, Turkey, Saudi Arabia and Switzerland.
Right now
55% of African Americans live in the South
54% of the adult African American population is female
53% of the African American population in under the age of 35
52% of employed African Americans are female
Almost 40% of African-Americans live in the 12 metropolitan areas shown here with New York Atlanta Chicago and Washington DC having the largest African American populations. It’s noteworthy that almost 9% of African American citizens live in New York City alone.
In addition, Washington DC Atlanta, Dallas and Houston lead the largest Southern cities in regard to African American Population. Taken together almost 13% of African Americans live in these four cities.
In terms of wealthy African Americans with incomes over $100k
-24% reside in Washington DC
-19% live in San Francisco and
16% of wealthy African Americans in live in New York and Boston respectively
This graphic shows that with an average life expectancy of 74 years and a median age of 32 years the typical African American consumer has about 42 years of effective buying power left in his or her lifetime. In comparison, the typical Hispanic consumer has almost 57 years and a typical Asian American `consumer has about 52 years of effective buying power left. This shows that African Americans represent about a third of a more than $3 trillion multiethnic consumer market that will change business as usual in the US. African American Millennials – or Neo Souls – will be significant contributors to that change.
Neo Souls represent 40% of the African American population roughly 18 million people between the ages of 18 and 44. -32% of them are married
-while 50% have never been married
-their HHs are 127% more likely to include a single parent usually a woman
-and 16%of Neo Soul HHs include at least one child under the age of 18
85% of Neo Souls live in urban metropolitan areas
81% trust products advertised by black media
82% of total purchases in Neo Soul HHs are major name brands
73% of whites and 67% of Hispanics say Neo Souls shape American culture
40% of Neo Soul women say they are trendsetters
And 18% of Neo soul income is spent on hair and beauty products
The typical Neo Soul is a 32 year old brand loyal, employed unmarried woman who lives in a Southern City in a household with 2 other people and a household income of about $35,000. She is mobile and socially connected via her smartphone, a deal seeker who likes discounts and new trends, and sees herself as a trendsetter as` do those around her. She uses her smartphone to seek health and employment information, get entertainment, to make purchases, and to tell others online about stores she went to or about products and services she recently bought. Black businesses and corporate responsibility are important purchase factors for her.
This unique Neo Soul Consumer profile is centered around five consumer imperatives; Mobility, Health, Luxury, Trendsetting, and Culture.
So how are Neo Souls best described? They are:
Adept Smartphone Users
Brand Loyal Deal Seekers
Receptive to Advertising
Trendsetting Social Networkers
Health and Beauty Conscious
They are Pioneer shoppers
Shop more but spend less
Support Black businesses
Ready to buy and focused on luxury
Have Decades of Expanding buying Power
Over the next 4 decades Neo Soul consumers and the trends they set will dictate the course and development of Music, Fashion, Television & Movies, Social Media, Health & Beauty, Consumer Products, & urban culture and lifestyle,
