Everyone’s talking about it … and it’s not the new Sex and the City movie (which premieres today). It seems as though every conversation involves the topic of where our economy is headed and how the recession will impact your business and your life. It is always difficult to predict what will happen, or whether or not a slowing economy and troubled housing market will turn around. Regardless, we all feel the effects — from big business to small business to individual consumers.
According to an HR.BLR.com article, more than 30 percent of responding employers are freezing or planning to freeze base salaries for their employees . Meanwhile, others are planning to change training (27%), healthcare benefits (27%), and retirement savings plans (20%). Career Protection predicts a 37 percent increase in layoffs compared to 2007. The fear, concern, and pure nerves lead me to Echelon’s recent article, “Are Gays Recession Proof? Gays Report Greater Financial Confidence.” The article states that 83 percent of survey respondents said they feel the gay market is a stronger financial force than ever before. Only five percent of those surveyed said they feel more vulnerable to a recession than straight consumers. So is it true? Are LGBT consumers really recession proof?
Challenger, Gray & Christmas, a global outplacement consultancy, in a CareerBuilder.com article, listed five industries that may be recession-proof: education, energy, environmental, healthcare, and security. If mirrored with the Community Marketing Index, lesbians most commonly work in the medical, education, legal, and management industries; gay men commonly work in the medical, education, accounting, and legal industries. In looking at this data alone, there is a relationship with why LGBT are not as concerned about the recession — gays and lesbians may not be recession proof, but our careers are. Or seem to be.
Rhyme or reason for recession-proof rationale aside, the LGBT community continues proving to be an influential and ever-growing audience. Today, the estimated buying power for LGBT is $650 billion, and is estimated to hit $780 billion for 2008. From a marketers perspective, this is a market that is extremely loyal and plans to continue and maintain regular consumption. There are possibilities for growth in our struggling economy, and it may start with the LGBT community. Thoughts?
For more insight on the recession, please read Ben's blog from February.
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