Asian American Consumers present Growth Opportunities for Businesses

Asian Americans are the fastest-growing multicultural group in the U.S. and are 54 percent more likely than overall U.S. households to have incomes of $100,000.00 or more according to a new report released today by Nielsen. Nielsen’s Significant, Sophisticated and Savvy: The Asian American Consumer 2013 Report, provides an in-depth look into the unique purchasing and viewing habits, as well as lifestyle trends, of Asian Americans. It is part of Nielsen’s Diverse Intelligence Insights Series, which is a collection of reports on multicultural consumers.

“Nielsen’s insights demonstrate the expanding opportunities and the positive impact this important ethnic segment can have on businesses and American culture,” said Don Lowery, senior vice president of public affairs and government relations, Nielsen. “These demographic insights and consumer trends offer opportunities for community organizations, companies and marketers to tap into this consumer segment.”

Key insights from the report include:

• Asian American buying power continues to increase and is projected to reach $1 trillion by 2017.1
• Asian Americans spend 33 percent of their dollars on deals, compared to 27 percent of non-Asians. About 78 percent of Asian Americans say they like to shop around before making a purchase, and two-thirds say they are willing to pay more for quality.
• Eighty-six percent of Asian American households have some sort of savings account, compared to 76 percent of the general U.S. population. In addition, nearly one-third of Asian Americans surveyed keep money in certificate of deposits, a rate 86 percent higher compared to 17 percent of the general U.S. population.
• Ads featuring culturally relevant situations and characters make up 65 percent of top ads among Asian Americans.
• While Asians Americans are known to be tech savvy, many still use traditional media outlets such as TV, radio and print to get culturally-relevant entertainment and information.

“Nielsen’s information shows that Asian Americans are a unique, multifaceted group of consumers with different purchasing behaviors and viewing patterns from the general population,” said Betty Lo, vice president of public affairs, Nielsen. “Building on their heritage, academic achievement, adaptability and rising spending clout, Asian American consumers are a powerful economic and influential force.”

1 UGA Selig Center Multicultural Economy Study 2012