What’s the next big thing? It’s a question retailers, manufacturers and marketers ponder incessantly so they can be at the forefront of growth with the latest innovations, media and consumer groups. And when it comes to looking for trendsetters in these areas, they would be wise to take note of American lesbian, gay, bisexual and transgender (LGBT) households.
Not only do American LGBT households make 10% more shopping trips in a year than the average U.S. household, they buy more at checkout. In aggregate, LGBT households spent an average of $4,135 at retail stores in 2014—7% more than non-LGBT consumers. This type of spending makes LGBT consumers attractive for marketing appeal across music, sports, TV and brand sponsorships. Not only are they watching and listening at higher rates than non-LGBT households, but in many cases, they’re also influencing the content and characters in those outlets.
The LGBT community is a significant contributor to the U.S. economy, and savvy companies should plan their strategies accordingly. By knowing what LGBT consumers are looking for, where they’re finding it and how much of it they’re consuming, companies will be better equipped to develop and promote products that become the next big thing.
Let the Music Play
Across all music channels, LGBT music fans show higher levels of engagement than their non-LGBT counterparts. For example, LGBT music fans over-index on spending on tickets to attend music festivals (index 123, or 23% more likely), subscribing to streaming services (126) and going to see a DJ they know perform (150).