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Gay Ad Market Tops $212 Million by Erik Sass, Thursday, May 11, 2006 ADS WITH SPECIFICALLY GAY-THEMED CONTENT generated $212 million in revenue in 2005, a 2.5 percent increase over 2004, and represented 50.3 percent of total advertising in gay-themed publications--a marked increase from 9.9 percent just three years ago, according to a study by Prime Access Inc., a GLBT ad agency. Beyond the obvious implications for GLBT marketing, the expansion of gay-themed advertising is an interesting case study for other niche marketers. "Marketers used to approach the market by taking whatever mainstream advertising they had and running it in GLBT publications, but that's changed," according to Howard Buford, founder and president of Prime Access, who explained: "The bar's been raised. Now, more and more, the ad content is targeting the gay audience." With GLBT audiences, as with other minority and niche target demos, this approach pays off, Buford said: "The more targeted the advertising, the greater response in terms of recall and eventual purchase patterns." In part that's because media targeting readers with themes related to their self-identification produces a higher degree of engagement, Buford explained: "Certainly you find that with gay and lesbian consumers, there's a high level of engagement with gay and lesbian media, and you find similar things with African-American media, including publications like Essence or Ebony." Jeffrey Garber, president of OpusComm Group, Inc., also drew comparisons with other minority marketing strategies: "People are looking for ways to create an emotional bond with their audience, so they go after niche marketing in African-American, Hispanic, and Asian markets, and so forth. GLBT is another very attractive niche market." GLBT audiences are also quicker to view their own consumer choices--and advertisers' strategies--through a political prism, bringing a conscious level of commitment to purchase decisions that often exceeds the population at large. Buford observed: "The gay audience in particular is very politically active... and they're very conscious of brands that support the GLBT community." For example, after the conservative American Family Association launched a boycott of Ford for advertising in gay publications, gay groups advocated a counter "buycott" to reward Ford. "It's not surprising that advertisers are paying more attention to the GLBT market because of brand loyalty," remarked Garber. "You'd be hard-pressed to find another group that demonstrates that degree of brand loyalty." By the same token, GLBT-themed advertising is a useful model for niche marketing generally, Garber said. "In the end it's like anything else: if you want to reach the GLBT market, it takes a media mix. It takes gay media, which is a cornerstone--but then you also have general media like mass-market radio, TV, print, and the Internet. To reach them, you're really going to have to roll up your sleeves and use both types effectively." He concluded: "If you put an ad in gay media, you do well. If it's gay-themed, you do really well. And if you participate in all forms of media with gay-themed ads, you hit a home run."
Amelia has two mommies ... and a loving extended family 97% of Gay Americans Out, Says New Census - Thursday May 4, 2006 For gays, the media is the messenger On the other hand, the issue of gay marriage is as divisive as ever, an emboldened Federal Communications Commission is mulling policing basic and premium cable, and the lesbian kiss is fast becoming a sweeps week staple -- a sign that the laddie magazine approach to luring viewers still wins out over complex, ongoing plotlines about gay relationships. Niche Market Attracts Diamond Ring Designer Behr Gay TV: What Do You Watch & When Do You Watch It? In 1993, Danish newspaper Politiken launched one of the first gay focused advertisements seen on television. Directed by Danish film director Lars von Trier, the ad depicted a humorous yet romantic scenario of a couple having dinnerthe couple just happened to be two men. The new consumer - Coming out to shop National Roundup It was not a good week for New York City mayor Michael Bloomberg. First, he lost round one in his bid to overturn a law that would force companies doing business with the city to provide domestic-partner benefits. A judge refused to grant Bloomberg a temporary restraining order to prevent the law from going into effect Oct. 26. Then, a gay appointee of the mayor resigned because of Bloombergs opposition to the legislation. Matt Foreman, executive director of the National Gay and Lesbian Task Force, wrote Bloomberg that principle requires that I resign from the Commission on Human Rights after the mayors administration went to court to try to block the Equal Benefits Law from being enforced. Bloomberg is expected to refuse to enforce the citys new law. Study: Older, wealthier gay voters support Kerry LA Times |
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![]() Viacom Plans a Gay Channel, But Reception Isn't Clear By Joe Flint The Wall Street JournalMarch 29, 2004 Favorite Shows: SUMNER REDSTONE, Viacom Inc. 's chairman and chief executive, doesn't like to admit mistakes. But he confessed to one this month: The media company shouldn't have abandoned plans it was studying two years ago for a cable network aimed at gays. Such a channel now could "be worth a billion dollars," Mr. Redstone told analysts and investors, and would have cost only $30 million to launch. |
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| ClickZ Nerwork Gays Access News, Influenced by Ads &Mac221; &Mac221; &Mac221; Demographics By Robyn Greenspan | May 17, 2004 Already spending more time online than their heterosexual counterparts, gay, lesbian and bisexual (GLB) Internet users are also more likely to log on for political news, and they are more influenced by online advertising. As a result, active Internet usage combined with high voter registration numbers and above-average median household income makes the GLB community attractive to both political candidates and advertisers. The roughly 3,700 U.S. adults surveyed by Harris Interactive and Witeck-Combs Communications, Inc. (of which 6 percent self-identified as gay, lesbian, or bisexual) illustrated the top Internet activities for GLB users compared to heterosexual users. Staying connected with family and friends, and general news and information ranked as the top two activities for both groups, with GLB users measuring slightly higher. The biggest disparities were evident in two types of activities: 16 percent of GLB users accessed the Internet for political news and information, compared to 6 percent of heterosexual; and 35 percent of heterosexuals were engaged in hobbies, games and entertainment online, compared to 21 percent of GLB surfers. Using the Web for political information is a reflection of the high percentage of registered voters in the GLB community. The 2003-2004 Gay/Lesbian Consumer Online Census, conducted by G/L Census Partners, OpusComm Group and Syracuse University, and exclusively available through Scarborough Research, found that among the nearly 8,000 self-identified GLB U.S. respondents, 95 percent were registered voters. The U.S. Census Bureau reported that 70 percent of citizens were registered to vote in 2000. The sites that were the most visited by GLB surfers, according to the G/L Census, read like the top sites for many Internet users with the exception of two that were community-specific. Top Visited Sites for Gays and Lesbians Yahoo! Gay.com Planet.out Amazon Hotmail eBay CNN AOL MSN Source: 2003/2004 Gay Lesbian Online Census Advertisers that target this community through these highly trafficked sites will be pleased to find that GLB Internet users are highly receptive to online ads. In response to a question in the Harris Interactive/Witeck-Combs Communications, Inc. survey that asked whether online ads influenced purchasing decisions, 42 percent of GLB respondents said they agreed, compared to 35 percent of heterosexuals. More good news for marketers lies in an examination of income and broadband usage. The 2003/2004 G/L Census found the median household income was just under $70,000 per year, while the U.S. Census department found the overall median household income to be approximately $42,400 in 2002. More than half (57 percent) of those that participated in the G/L Census reported an annual household income of $60,000, and 27 percent reportedly earned over $100,000. While 39 percent of the U.S. Internet population connects via broadband at home, more than half of GLB surfers have high-speed access at home. At-Home Connection Speeds Among Gays and Lesbians Dial-up 41 percent Cable Modem 32 percent DSL 24 percent Source: 2003/2004 Gay Lesbian Online Census The preponderance of broadband brings increased opportunity for marketers. "Advertisers' greatest challenge is that there is no guarantee that the creativity can meet the technology. High-speed connections mean that advertisers can create campaigns with all the bells and whistles," commented Jeff Garber, president, OpusComm Group. |
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| SanDiego UNION-TRIBUNE Expo focuses on businesses owned by and catering to gays By Michael Kinsman UNION-TRIBUNE STAFF WRITER April 30, 2004 CRISSY PASCUAL / Union-Tribune Cari Wilson of Avis Car Rentals (left) passed out a bag filled with goodies to Joan Brewer of Swank Interiors at yesterday's gay business expo. Wilson said Avis aggressively markets its rentals to the gay community. Psychotherapist Maggie Locke attended her first gay business expo yesterday, hoping that her alternative therapy of bioenergetic analysis would find a receptive audience. "It seemed like the perfect fit," Locke said, suggesting her brand of analysis needs an open mind. "The members of the gay community have already trailblazed an alternative way of living." The second annual business expo organized by the Greater San Diego Business Association at the Town & Country Hotel found 82 companies reaching out to the gay and lesbian community, an affluent, educated and emerging market. The day-long expo was designed for gays to familiarize themselves and network with gay-supported businesses, as well as provide workshops and speakers on the latest consumer research pertaining to the gay community. Only a few other U.S. cities, including New York, Miami and San Francisco, have similar business conferences that target gays, said Jeff Garber of OpusComm Group, which does gay consumer market research in conjunction with Syracuse University. "These expos definitely are part of a trend," Garber said. "I expect to see more of them in the next few years." Victoria Garcia, whose Hillcrest company Marketing Impressions does graphic design and public relations, said she first noticed the opportunities in the gay market seven years ago. <http://www.signonsandiego.com/uniontrib/20040430/images/gay.jpg> CRISSY PASCUAL / Union-Tribune Sandra Pedregal said her company, The Gay Adventurous Gourmet, which organizes restaurant trips to Baja California, has been well received by gays. "I found businesses that were owned by gays and businesses that catered to gays," she said. "I realized there probably was a marketing opportunity." Yet, she said, some businesses were cautious in approaching the gay market, fearing backlash from other consumers. And, there was the problem that some members of the gay community didn't wish to be publicly identified as gay. "The first thing you have to do is define the market," Garcia said. "When a market is underground and not out, it's hard to focus on it." Gay-owned and mainstream companies lined up side by side at the expo, eager to market to a consumer group with significant buying power. According to 2003 research by OpusComm, gay households have a median income of $69,900 compared with $42,400 for all U.S. households. The survey also found that gays were more likely to try new products first and that they had strong brand loyalty when they discovered a company that directed products at them or maintained gay-friendly workplace policies. Perhaps most significantly, Garber said, 81 percent of gays identify primarily with their sexual orientation, while just 19 percent identify with their ethnicity. "That shows us how closely gays identify themselves as a group and that means a lot to marketers," Garber said. Avis, one of the vendors at the expo, was aggressively marketing its rental cars, claiming it was the only major rental company to automatically include domestic partners as drivers without a separate charge. Cari Wilson, the San Diego promotions director for Avis, said she realized in 1999 that the 5-year-old policy was little known. She began attending gay events and conferences, playing up the company's gay-friendly policies. She developed an ad that pictured two men in an embrace, leaving little doubt that the company was courting gays. "It made perfect sense for us," she said. "The gay community has no boundaries on spending for travel. They like to travel, and partners often travel together." Wilson said the company's family travel business dropped 30 percent after the Sept. 11, 2001, terrorist attacks, but gay travel continued strong. "It's been a good market for us, and it's loyal," she said. Loyalty is extremely important to gay marketing, Garber said. "These are people who want to be loyal and will be if you make the effort to show them that you care about them," he said. "But you have to be sincere about that because it's also a discerning market. If they think you are just playing to them and are not sincere in your support of the community, they won't want anything to do with you. I call this carpetbagging. You just can't place an ad in a gay newspaper and expect gays to support you." Sandra Pedregal, a San Diegan who organizes restaurant trips to Tijuana and other parts of Baja California through The Gay Adventurous Gourmet, said she put the emphasis on the gay market after getting a good reception from her gay friends. "My straight friends told me it wouldn't work, but my gay friends were very supportive," she said. "When I finally started my company, my straight friends asked why I was only concentrating on the gay market." That led Pedregal to open a division that caters to straights and corporate clients. Another vendor, the family-operated Bair Financial Group, participated in the expo for a second year because 90 percent of its financial planning practice involves gays. "It makes sense for us to be here because most of our business comes from referrals," said Marci Bair of the Hillcrest business. "We find the gay community likes to use gay businesses, just like the Christian community likes to use Christian businesses, the Mormon community likes to use Mormon businesses, and the Jewish community likes to use Jewish businesses. It's no different." |
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| Gay Lesbian Times Do gays and lesbians mean business? BY TYLER HOWER <http://www.gaylesbiantimes.com/gfx/s.gif> An increasing number of mainstream companies are selling directly to gays and lesbians. How does it feel to be an ideal market? Marketing strategists that specialize in the gay dollar say being a dream market can bring the gay community political leverage, more visibility and increased tolerance: Sounds like a win-win, but even the experts say gaining social progress from corporate interactions is a tricky, two-way street. On Thursday, April 29, the Greater San Diego Business Association, a San Diego association of GLBT businesses, will present its second annual Expo to introduce the business world to The Growing Gay Market. While the GSDBA is itself a local organization consisting largely of GLBT-owned and -oriented businesses, the purpose of the Expo is not just to promote businesses from the gay and lesbian community, but also to promote the gay and lesbian community as an ideal market for mainstream companies, and to build bridges between gay and lesbian businesses and other parts of the San Diego business community. The EXPO is primarily important to lower barriers between different communities in San Diego and in the county, says GSDBA Executive Director Joyce Marieb. She explains that one of the main purposes of the Expo is to foster relationships within the San Diego business community and to bring businesses together through their common interests, whether they are situated in the GLBT community or not. We are all in business and we all need to promote the economic well-being of the region, says Marieb. This is why the GSDBA sponsors what Frank Sabatini, Jr., media director for the event, calls the only business-to-business educational event in the gay and lesbian community. The San Diego community is more aware of the importance of the gay and lesbian market than many secondary cities, says Sabatini. San Diego is stepping up to the plate, but its still a long time coming. This years full-day Expo will have between 50 and 82 exhibitors, with more than 350 people expected at the events luncheon. In addition, there will be a celebration with live music at the evenings event commemorating the GSDBAs 25th anniversary. The Expo is partly designed to further the more general goals of our citys GSDBA. According to Marieb, one of the main purposes of the association is to allow the mostly small businesses that make up the GSDBA to join together to represent themselves and their presence to the wider community. We have an association because its easier for us to leverage our power, Marieb explains. When youre part of a larger organization it allows for increased networking. Apart from building bridges between different parts of the business community, the Expo also has the goal of getting businesses to recognize the importance of the gay and lesbian community as a valuable market, according to Sabatini. In many ways, it is this goal of the Expo that is the most interesting and may be the most important to the gay and lesbian community at large. The EXPO highlights the incredible buying power of the GLBT community and puts a human face on that community, Sabatini says. Those businesses tend to underestimate the buying and business power of our community. So, first and foremost, its purpose is to introduce mainstream businesses to the GLBT community, but its a two-way street. Loyalty, the gay dollar and consumer activism Oftentimes when we hear about the gay dollar, we get a barrage of statistics on how wealthy the community is, and how much disposable income we have. But for Vicki Garcia, owner of San Diego-based Marketing Impressions, and for Jeffrey Garber, president of OpusComm Group and a speaker, with Garcia, at the Expo loyalty is the operative word. While the mainstream marketplace is price-driven, the gay and lesbian market is fiercely brand loyal, says Garber. Even though the community is diverse, we share some qualities, says Garcia. We are first adapters and more adventurous, more willing to try new products and services. And gay and lesbian consumers are loyal over other consumers; if you reach out to them, they remember and tend to be more loyal. Garber agrees: Very active consumers coupled with brand loyalty makes a wonderful market for advertisers to tackle. The fact that gay and lesbian consumers are so loyal to brands, combined with the fact that we are discriminating consumers, means that in our case, consumerism is a form of activism that can ultimately translate into legislation, says Garber. Advertisers have to approach the market in a very sophisticated manner, he explains. This means that companies who want to sell to the gay market are required not just to advertise to the community but also to actively court us, with effects both on the way they advertise as well as other factors that the gay dollar is sensitive to. If advertisers choose to court the gay market, they must choose how open they are willing to be in their advertising. Advertisers can be subtle, using gay-vague ads in which the people portrayed might be identified either as gay or not. Among the most prominent of these in recent years is the commercial Volkswagen ran on the coming-out episode of the TV sitcom Ellen . The ad pictured two men out for a drive, picking up and then abandoning a found armchair without picturing any real interaction, either verbal or physical between them. However, it was quickly read as two gay men by many gay and lesbian viewers, while straights assumed that the men were merely roommates. At the same time, as reported by the website Commercial Closet, Volkswagen denied that the men were intended to be boyfriends and said it was surprised anyone would think so. The advantage of such gay-vague ads for advertisers is that they run little risk of backlash. However, loyalty of our sort apparently comes at a price. According to Garber, the gay and lesbian market can also be more demanding. Although some of my colleagues say it does, vague advertising doesnt work, says Garber. Our research shows it doesnt. Garber argues that while a few years ago these sorts of ads would have garnered gay business, they simply arent effective anymore because they dont show sufficient commitment to the community. And one of the things that gays and lesbians demand with their dollar is a commitment to us as a market. Advertisers cant have their cake and eat it, too, Garber says. The risk of alienation [for courting the gay market] is very low and the fear of backlash is minimal. Garcia partly agrees with Garbers estimation. I think that the fear of backlash is there from experience with advertisers, she says. Companies do get negative feedback, but if they ride it out, it goes away. And at the end of the feedback, they keep the market they had and gain a new, loyal market. If companies wish to gain gay market share they need to be more overt in their advertising, either placing gay-specific ads in gay publications or even more openly placing gay-specific ads in the mainstream press. As Garcia points out, Abercrombie & Fitch has chosen to use advertising campaigns that are identified as gay by people in the mainstream and they have continued to be successful both in the mainstream market and in the large gay market that they have created. So, one way in which marketing to the gay and lesbian community can be of lasting advantage is through the open recognition of the community that this forces. The political carrot and stick But there is another way in which the size and loyalty of the gay market can have ultimate benefits. Just advertising to gays and lesbians isnt enough to gain trust and brand loyalty, Garcia says: For companies, when you reach out to the community you have to be consistent when they [the gay and lesbian consumer] get there. You have to walk the walk and talk the talk. According to Garber, gay and lesbian consumers are sophisticated and educated about the products and services they consume. So, if they are going to gain the GLBT dollar, companies have to exhibit real commitment to the community and this means jumping through some important hurdles. If gays and lesbians are going to spend their money consistently with a company, Garber says, they demand that the company is sensitive to its gay and lesbian employees, exhibiting fairness and non-discrimination. They also demand that the companies they patronize court the market exactly as they would any other part of the market, with a full commitment to the community. Eighty-two percent of our respondents are more likely to buy from gay-friendly companies, says Garber. In effect, this means that our spending power can be used as a carrot to reward those companies that treat their GLBT employees and customers well. At the same time our spending power and brand loyalty can be used as a stick to punish those companies who do not treat us well. Among the best examples of the ways in which the gay and lesbian community has been able and willing to use its collective pocketbook to force corporate change is the long-lived Coors boycott. Starting in 1977 and continuing well into the new millennium, gays and lesbians joined other minority and labor groups in a boycott of Coors products based on employee relations within the Coors Corporation. The boycott was also in response to the Coors familys original involvement in conservative groups such as the Heritage Foundation, the Free Congress Foundation, the Castle Rock Foundation and other groups opposed to many of the goals of the GLBT community. This led to such spectacles as large anti-Coors protest contingents in Coors-sponsored Pride parades. The sheer length of the boycott at least in some circles demonstrated the long memory of our community and its economic effects. The community can be like children being grounded, says Garber, remembering who has harmed us in the past. And, as Garcia puts it, We take it personally. We as a community have a long memory of who has helped us and who has hurt us. Coors eventually changed many of its internal policies, including introducing non-discrimination policies and a gay and lesbian employee group, and then started reaching out to the community through advertising and event sponsorship in the mid 1980s and the 1990s. Eventually, the Human Rights Campaign rated Coors as 86 out of 100 on its Corporate Equality Index of gay-friendliness in 1992, better than either Miller (at 57) or Anheuser-Busch (at 43), and Coors was among the first brewers to show two men together in an ad. There are companies that can reverse their error, says Garber. The gay and lesbian consumer is very receptive as long as the company isnt pandering. Other boycotts against companies like Cracker Barrel and the recent boycott of Cirque du Soleil for its termination of HIV-positive acrobat Matthew Cusick, have shown how effective the gay and lesbian dollar can be when withheld as well as when spent. Are you part of an ideal market? If mainstream businesses underestimate the economic importance of the GLBT community, then it makes business sense that they ought to pay more attention than they have to our community. But, there are also factors that identify our community as not just an underestimated market but in many ways an ideal market for businesses. What are the factors that could make us such an ideal target for companies looking for consumers? Garbers OpusComm Group is a marketing firm dedicated to diverse marketing to the gay and lesbian community, and his company has partnered with Syracuse University on the Gay/Lesbian Consumer Online Census , a comprehensive research survey with nearly 9,000 respondents in 2002/2003. There are a few attributes that make the gay and lesbian community particularly attractive as a market for consumer goods and services, according to Garber. In addition to the loyalty factor, Garber cites demographics and spending patterns that are appealing to sellers, as well as a higher degree of brand loyalty than the general population. The demographic patterns arent that surprising. Garbers research with the G/L Census reported that only 13 percent of gays and lesbians have children under 18 living at home (22 percent of lesbians and 5 percent of gay men), nationwide, with somewhat higher percentages in California, according to the U.S. Census. This compares to heterosexual households where a little more than half of married couples and about 45 percent of all heterosexual households have children under 18. In terms of marketing, this means that same-sex households are more likely to have income that in opposite-sex households would be spent on children. Garber points out that its important to realize that many GLBT households have children in them and that number is likely to increase but it still lags behind the rest of the population, making our community a market with more disposable income. More surprising for some of us who live in the gay and lesbian community is what some research says about incomes. Combined with a higher percentage of disposable income, according to Garbers research and other similar studies, gays and lesbians simply average higher incomes altogether. The median income in our community is $69,998, according to the U.S. Census, [while] the national median income is $42,400, says Garber. And 27 percent of gay and lesbian households have incomes over $100,000. These numbers reflect other estimates of the incomes of gay and lesbian incomes, including one by the Simmons Market Bureau, which found the average income of gay men to be $63,700 in 1992, significantly above the national average. (However that study was based on inserts in national gay newspapers, which may have skewed the results to those more likely to be affluent or well educated.) Its quite possible that the G/L Census, because it is an online survey, might also reflect those parts of the gay and lesbian community that are more affluent and better educated; it also shows us as more likely to have attended college and graduate or professional school than the general population. A common response to these sorts of numbers is, if we really are this relatively rich as a community, why arent the gay men and lesbians I know doing a lot better than they are? This feeling is reflected in a representative study, a Yankelovitch survey in 1993, which found that, contrary to other studies, the incomes of gay male households averaged $2,000 less than their heterosexual counterparts, with lesbians averaging almost $5,000 lower than heterosexual households. This, at least, calls into question this aspect of the gay and lesbian community as an ideal market. However, whatever the correct numbers are, the perception of gays and lesbians as better earners and better educated makes us more attractive as a market. Whether we have more money or not, the way we spend it differentiates us from the general population. Perhaps because we are less likely to have children, we are more likely, according to Garber, to spend our money on our enjoyment and ourselves. We spend more on travel and entertainment than the rest of the population, says Garber, we travel more frequently throughout the year and take international air trips above the average. This makes us more attractive to travel companies, airlines, hotels and resorts, since we more reliably spend on their products. Also, while we may not have children, a large portion of the community are pet owners, according to Garber, making us an important market for pet stores and pet products. And, of course, just like everyone else, we own homes, rent and use banks. So, mortgage companies, insurers and bankers should be trying to serve our community. In addition to being better educated and having more spending money, members of the GLBT community are also more likely than their heterosexual counterparts to spend their money on liquor, other travel-related expenses, eating out, self-care and pampering themselves with spa visits, and they are more discriminating in their consumption, according to Garcia. Echoing a phrase that first appeared in a 1991 Wall Street Journal article, Garcia says, This is why we call them the dream market. The down side of the dream Being viewed as an ideal market has its advantages and means that the gay and lesbian community is able to wield its economic power to effect corporate and social change while increasing visibility and tolerance. As Garcia puts it, The more economic clout we have, the more political and social clout we have, the more tolerance. This echoes Frank Sabatini, Jr.s, feeling that, Business and spending has historically put a human face on communities and this leads to tolerance. Is there a downside to this dream? There may be at least a few implicit disadvantages to being viewed as the dream market. While the ad categories most actively targetting gays and lesbians include fashion, travel, financial services and media, the first products marketed directly to gays and lesbians were beer and liquor. Garber identifies Absolut Vodka as perhaps the first product to direct advertising specifically to our community, and since the inception of its ad campaigns more than 20 years ago it has been extremely successful. Since then gays and lesbians have been consistent targets of alcohol and tobacco ads. While bars have often had a central place in our community, this continued focus in marketing reflects a one-sided view of our community, including the consistent sponsorship of large community events by brewers and liquor distributors, and, in the case of tobacco advertising, may have something to do with the higher smoking rates in the gay and lesbian community. As Garber puts it, Were more than just drinkers. We might feel exploited because cigarettes and liquor arent necessarily the best for our community, says Garcia. In addition to the targeted marketing of liquor to the gay and lesbian community, some aspects of the market profile of the gay and lesbian community a profile that portrays us as faring better than our straight peers could conceivably work against us. If gays and lesbians are already doing better than their peers, and are in fact an ideal market because of higher incomes, then gays and lesbians dont need equality legislation and employment protection, goes one conservative argument. It is partly to counter this argument that some researchers have attempted to show that, in fact, gays and lesbians lag behind others in their earning power. Finally, apart from stereotyping gays and lesbians as high-earning drinkers, there is something of a tendency to view the community as monolithic and uniformly urban. This perception itself leads to further stereotyping of the community. This portrayal of the community as compulsorily urbane is a major mistake made by many advertisers, according to Garber. Our research shows that half of our community lives in rural and suburban areas, he says. Advertisers need to be sensitive to this fact. But this perception can itself be corrected if advertisers work with the right companies, he says. This is why you need to work with experts. By working with experts, and specifically those within our community, companies can avoid misperceiving the community, spreading stereotypes and offending the market theyre attempting to target. Done the right way, gay marketing can bring appreciation, visibility and tolerance to the community. Marketing professionals claim that being the ideal market can bring us the benefits of increased tolerance, in exchange for a loyal, if politically-sensitive, gay dollar. Sounds like a win-win. l The GSDBAs Business & Marketing Expo, From Gay to Z, takes place Thursday, April 29. See this issues accompanying Gay to Z pull-out guide, or call the GSDBA at (619) 296-4543 for information. |
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| MEDIA WEEK.COM Out and About Jeff Gremillion MARCH 17, 2003 - The current climate for gay-oriented content in the media is, well, fabulous. The recent returns of Showtime's Queer as Folk and HBO's explicitly gay-friendly Six Feet Under were greatly anticipated, and NBC's Will & Grace continues to garner big ratings. But the mainstreaming of such content seems a mixed blessing for media companies that produce it exclusively and target it to gays alone. Viacom's long-in-the-works gay-themed cable network is currently on hold. Canada's 18-month-old PrideVision network is struggling to find a following. And, despite some notable upticks in ad sales and circulation, gay-focused magazines remain in the shadows of their hetero brethren. "People call me up and ask, 'Why don't you have higher circulation?'" says Judy Wieder, editorial director of the category-leading Out and its 36-year-old sister, The Advocate. "I have to tell them the truth: I don't know. We should." But in their own small world, the best-known gay titles are enjoying some growth. The glitzy lifestyle monthly Out, purchased and relaunched by Advocate parent Liberation Publications in 2000, averaged a circ of 115,200 in the second half of last year, up 3.6 percent over the same period in 2001, according to the Audit Bureau of Circulations. The Advocate, a gay and lesbian biweekly newsmagazine, was up 11.4 percent, to 107,380. Corporate publisher Joe Landry says that, following an ad falloff in '02 (The Advocate was down 13 percent to 802 pages, and Out was off 3.1 percent to 561, according to Publishers Information Bureau), the books are up sharply this year -- owing largely to a combined 63 percent bump in first-quarter auto business and a threefold surge in pharmaceuticals. Jaguar and Volvo have recently joined Saab and Saturn in Liberation's pages. HIV-related drug ads have rebounded after a year of rethinking creative matters. Recent issues have also been flush with liquor business -- and, in Out, ads for upscale clothiers including Prada, Gucci, and Versace. Liberation now hopes to capitalize on the travel industry's strong interest in gay consumers. In October, the company will launch the 200,000-circ spinoff The Out Traveler, which will be sent to Out and Advocate subscribers. Traveler, set to publish once this year and twice in 2004, will address the unique needs of gay tourists. More mainstream advertisers are beginning to view gay men -- long perceived as affluent and image-conscious trend-setters -- as "less mysterious," says Landry. "The stigma is fading," agrees Neil Ascher, Zenith Media executive vp and director of communication services. The field that Ascher calls "a very viable growth market" is attracting some unexpected players in addition to the usual suspects such as fashion and liquor. Through February, The Advocate's ad pages were up 9.4 percent to 91, and Out rose 22 percent to 68 pages. Smaller independents also claim to be healthy. At the gay lifestyle monthly Genre, circ was up 20 percent in last year's second half to 38,893, according to ABC. Owner-publisher Doug Shingleton says the Hollywood, Calif.-based Genre averages 43 pages of ads per issue, led by regional real estate (the book last year introduced a home-decor section). The lesbian market presently is only a sliver of the male-dominated gay category and does not get the same attention from media buyers. The best known book in the women's field is the 62,000-circ Curve, based in San Francisco. OpusComm Group president Jeffrey Garber, whose advertising and marketing firm targets the gay and lesbian arena, says that even as acceptance of gay men evolves among advertisers, lesbian consumers continue to be misunderstood and, therefore, largely ignored. He adds the problem has more to do with "classic male-female stereotypes" than homophobia. "Advertisers tend to stereotype people," Garber says. "Unless you're selling something explicitly feminine, if you want to sell a big-ticket item you target men, because they have the money." Lesbians -- misidentified as neither breadwinners nor "feminine" -- get shut out, Garber says. While competition among publishers is intense, they agree the category faces serious obstacles to significant growth. There is the basic concern among potential readers that possessing a gay magazine could be tantamount to coming out. Exacerbating the issue, gay-targeted books are often displayed on newsstands with adult magazines. Bemoans Liberation's Wieder: "We keep working with the newsstand people, but the problem remains. People hear 'homosexuality,' and they think 'sex.'" Meanwhile, mainstream men's magazines can freely market to all males. Fairchild Publications' Details and Rodale's Men's Health (which both rent Liberation's and Genre's subscriber lists) can be "gay-vague without specifically targeting that consumer group," says Genre's Shingleton. But Details can be pretty direct: Its January/February cover shouted, "Have You Had Sex With Colin Farrell Yet?" Fairchild executives could not be reached for comment. Says MH publisher MaryAnn Bekkedahl: "Men's Health reaches out to -- and attracts -- all men who are interested in improving their lives." The future for gay-focused magazines is uncertain. Wieder says that many young gay people are happy to blend in with society at large. "Maybe they say, 'We don't need to have gay magazines,'" she wonders. "'We don't need to make a big deal out of it.'" |
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| WARD's AutoWorld Straight Eye for the Gay Buyer By Christie Schweinsberg , Apr 5, 2004, 12:00 a.m. ET As the sun rises on a Manhattan morning, its just another day for the Fab Five of Queer Eye for the Straight Guy, the hit TV show screened on both NBC and the Bravo cable network.The Five: Carson Kressley, Thom Filicia, Jai Rodriguez, Kyan Douglas and Ted Allen, are rushing to the aid of some helpless hetero shlub in flannel plaid who has no idea what the difference is between zhushing and schussing but is about to find out. (For the uninitiated, its messily styling your hair vs. a skiing term). <http://subscribers.wardsauto.com/microsites/images/editorial/fab_5_040504.jpg> Queer Eyes Fab Five flank their GMC Yukon Denali. And their mode of transportation for attending to this fashion SOS: A GMC Yukon XL Denali. Thats right, GMC, as in General Motors Corp., maker of the Like a Rock Chevy trucks Bob Seger sings about and vehicles most Americans think are as straight as Bob Lutzs tie. This is the auto maker associating its large, meat-and-potatoes SUV with five openly gay men who regularly joke about kissing their more attractive straight charges and proposing marriage to them? Yes, and GM says its darn proud. GM, like the many other companies with gay-marketing initiatives, is eyeing the estimated $485 billion in buying power that some 15 million gay, lesbian and bisexual adult consumers brought to the U.S. market in 2003, according to polling firm Harris Interactive Inc. Clark Sanford, brand promotional manager-GMC, says the idea to include the XL Denali in Queer Eye was spawned by an executive at a product-placement firm who sent Sanford the pilot for the show. He said it may be a little risky by GM standards, but its an opportunity, and you really need to think about it, Sanford says. We showed the pilot here to a cross-section of the staff and the staff, broadly and generally, liked the show. The rest is history. The show now is a hit and GM is in product-placement heaven. GM officials say the biggest draw for them to Queer Eye is that it features top-shelf brands, such as Thomasville Furniture and Ralph Lauren, and GMC, with its professional grade image, fits nicely into that mold. You look at all of the finished products, when they get these guys all dressed up, and theyve got the finest clothing and the neatest furniture and the artwork and the food and the wine and shoes; it is all definitely top-drawer, says Tom Beaman, manager-communications, Pontiac-GMC. And the association the Denali has with all of that top-drawer merchandise is what is significant to me. You cant help but associate all those products together. Today, every major auto maker, including GMs similarly conservative Japanese competitors Honda Motor Co. Ltd. and Toyota Motor Corp., is pitching to the GLBT (gay, lesbian, bisexual and transgender) demographic. Dedicated creative ad campaigns are being employed by auto makers, such as Subaru of America Inc. and Ford Motor Co. for its Premier Automotive Group (PAG) brands, while others run general mass-market ads in gay publications and on popular websites, such as Gay.com. Many auto makers, such as Chrysler Groups Dodge brand, even sponsor GLBT events. Other findings about the market allure of the GLBT segment by Harris Interactive: * While possessing less consumer clout last year than African Americans ($688 billion, population 36 million) and Hispanic Americans ($653 billion, pop. 41 million), gays, lesbians and bisexuals boast buying power greater than that of Asian Americans ($344 billion, pop. 12 million). * While gay affluence may be a myth, Harris Interactive says same-sex couples, as well as single gays and lesbians, do tend to have fewer dependents than their heterosexual peers and are apt to have more discretionary spending power. * In 2000 some 40% of gays polled planned to buy or lease a new vehicle in the next 12 months, vs. 18% of non-gays surveyed. Companies pitching to the GLBT segment are hoping to boost their market share in an increasingly fragmented and crowded marketplace. Auto makers say the strategy is paying off. Just ask Subaru, which fancies itself the industry pioneer in courting the GLBT market with tailored ads. We started marketing about 10 years ago, and it was based upon research we had done, says Rick Crosson, Subaru vice president-marketing. The gay and lesbian community had already found us particularly the lesbian community. They had already selected us as a car that they used, that fit their lifestyle and that they used to be able to fulfill their lifestyle. Not so fast, Subaru However, Cynthia Price, GMs marketing manager-diversity strategy dept., says Saturn was the first automotive company to market to the gay/lesbian community. Were nine years into this commitment to the marketplace, she says. What you are seeing now is an acceleration of that support, more marketing, more PR, more communication outreach effort, to the gay/lesbian market. Obviously, Subaru isnt alone in the GLBT market. Besides the Japanese brand, the only other auto maker with a large-scale tailored advertising effort in America targeting the GLBT segment is Ford with its PAG brands: Jaguar, Volvo and Land Rover, although Volvo ads are the only ones currently running. (Tire maker Bridgestone Corp. had dedicated ads from 2001-2003). Michael Wilke, executive director-Commercial Closet Assn., a group that monitors and critiques gay marketing efforts, says although Saab and Saturn were the first automotive brands to advertise in national gay and lesbian publications in 1994 and 1995, respectively their presence in the market has been inconsistent. Ford hired Witeck-Combs Communications, a Washington-based consulting firm that specializes in GLBT marketing practices, to look at all of its brands and select the ones most liked by the GLBT consumer. Together with Harris Interactive, Witeck-Combs surveyed 1,000 homosexual and 1,000 heterosexual consumers to gauge their likes and dislikes. There was definitely a preference for import brands and a higher consideration for GLBT consumers, than our non-gay counterparts, to consider an import brand, especially a premium import brand. So there was definitely an opportunity there, says John Butler, project manager for the PAG campaign at Witeck-Combs. Together with advertising agency Prime Access Inc., Witeck-Combs crafted advertisements with taglines such as: Life is full of twists and turns. Care for a partner? (Jaguar); and Whether youre starting a family or creating one as you go (Volvo); that ran in national GLBT publications such as The Advocate and Out. <http://subscribers.wardsauto.com/microsites/images/editorial/volvo_ad_040504.jpg> Volvos family ad began running last year in print publications. Butler says gays and lesbians, just as other minorities African Americans, Hispanics, Asian Americans, and women are paying attention to how somebody is going to advertise to them, and we paid a lot of attention to how the advertisements were crafted. Several ads were tested in concept form with GLBT consumers before final approval was given, he says. However, that doesnt mean auto makers havent stumbled a few times as they gear up to cater to this emerging market. Critics complained that one of the ads, specifically the Jaguar twists and turns pitch, was too understated for the GLBT customer. John Nash, president of Moon City Productions, Subarus GLBT ad agency for the past 10 years, tells Wards the Jaguar ads were confusing and missed the mark. Because of this, he alleges, they were pulled after only six or seven placements in print. Butler disputes this, saying the Jaguar ads only were intended to run through the first quarter of 2003. Nash also worries that some companies may be doing GLBT marketing only because its trendy. The Loyalty Factor Although not new to the GLBT market, auto makers have been viewed as less progressive than other Fortune 500 companies, such as alcohol and travel-oriented firms, that have been aggressively pitching to the market for at least a decade. Nash considers the top three golden brands in GLBT advertising to be Subaru, American Express and Absolut Vodka. He says surveys he sees most often find Subaru to be the No.1 or No.2 brand most respected by gay and lesbian consumers. But Nash even is beginning to wonder, with so many players in the market, can loyalty really be won anymore? He says GLBT consumers typically have been loyal to brands that remained loyal to them. You have to be in the market a long time now, Nash says, because of the number of copycats. Jeff Garber, president of OpusComm Inc., an advertising and public-relations firm, also is convinced companies showing a long-term, dedicated effort do get more of a payoff than companies that dont have specific creative ads. So many advertisers throw an ad in a magazine and wait by the cash register. Nobody said this market was stupid, Garber says bluntly. Loyalty is never easy and thats why you have to raise the bar, he continues, adding companies targeting the GLBT segment, or any segment, need to think long-term, as those that hold the most pull now could be pushed out the door if another brand comes along. GMs Miriam Muléy, executive director-diversity strategy, is aware of the dilemma. She says the GLBT segment is no different than any other consumer group: Youve always got to prove your value, if you will, to that consumer. So we would not take it for granted that weve got this consumer long term. We wouldnt do that with any of our consumer audiences. However, GM is not one of the auto makers with advertising currently tailored to the GLBT segment, something those following advertising trends say is a mistake. A general-market ad placed in a gay publication does OK, it doesnt do great, says Garber. If you truly want to knock the ball out of the ballpark, you have to be specific in content. Nash agrees. Name recognition and retention goes off the charts when the creative is specifically directed to the G&L consumer, he says. Garber speculates one reason advertisers dont do more tailored advertising is they fear a backlash from disapproving conservatives. How many general ads (does GM) place in Ebony magazine to attract African Americans? Garber asks. Backlash: Myth or Reality <http://subscribers.wardsauto.com/microsites/images/editorial/subaru_ad_040504.gif> Subaru ad Subaru says when it first began targeting GLBT consumers it generated a few complaints from conservative groups not pleased it was advertising specifically to the gay and lesbian consumer. I can remember a box of letters that was delivered 10 years ago from a church, for example, says Crosson. I think over the years as we have explained to everybody, were not saying anything about lifestyle. Were including them in our marketing efforts. Nash contends there really wasnt much backlash, mentioning the letters from an Alabama church group and a guy in prison who wrote a letter saying hed never buy a Subaru. We never really experienced anything bad. Just some strange, crayon-like, from-prison letters, Nash says. GMCs Sanford says, despite the current furor over gay marriage, he hasnt had an executive say we shouldnt do this. I havent had a peer manager say we shouldnt do this regarding the Denali appearing on Queer Eye. However, in 1995, when a Saturn ad appeared in Out magazine, GM executives, who got wind of the placement only after the issue was in print, reportedly pulled the ad from future publications. Im sure on a day-to-day basis, somewhere within the company, weve had to deal with (a backlash from conservative-minded customers), says GMs Price. The bottom line comes down to the fact that GM is in the business of selling cars and trucks, and we have cars and trucks to fit everyones lifestyle and needs, whether youre gay or lesbian or youre Asian or youre a woman. But, the fear of a backlash is not unfounded. Some conservative groups in the U.S. have boycotted non-automotive gay-friendly companies, such as the Walt Disney Co. and American Airlines. Southern Baptists targeted Disney in the mid-1990s for offering benefits to same-sex couples; various right-wing groups targeted American in the U.S. for its anti-discrimination policies. Although the airline has dedicated advertising aimed at the GLBT consumer, Disney does not. But it appears, in both situations, the boycotts have not had any lasting effect. Disney continues to offer domestic-partner benefits, as does American, which also has specialized advertising. There will always be a backlash on anything, says Garber. Those who backlash may be highly vocal. But are they the majority or the minority? Those who complain may not be your customer, he advises companies. Garber says the stigma gays have in the U.S. is quickly dissipating, as many people now are related to or know someone who is openly gay. Says Witeck-Combs Butler: I think a lot of companies fear a backlash, that their general market consumer will turn and walk away as a result of their pursuit of the GLBT market, and what we found with our clients, most times, is that is not true. Its a myth that people believe in. Gay marketing has come such a long way that there really are few companies that would cause any sort of surprise, says Commercial Closets Wilke. At the same time those critical of GLBT advertising efforts have boycotted certain companies, gays also have protested or criticized companies that havent instituted anti-discrimination policies or use gays as a punch line to sell products. GM has come under fire on the Commercial Closets website (CommercialCloset.org ) for its recent Chevrolet Colorado TV commercial, which shows a group of male friends driving along, with one in the back seat singing along to the Shania Twain song, Man, I Feel Like a Woman. His friends slowly move away from him and give him strange looks. GM says it is aware of criticism of the ad and is looking to change it. The company emphasizes it has an internal affinity group of gay and lesbian employees, GM Plus (people like us), that advises on efforts to target the GLBT segment. Some of them already have called the commercial into question. Wilke says using homophobic themes is all too common in advertising today. And there are other examples like (the Colorado ad), and even for less macho brands, he says. Other companies, such as Volkswagen of America Inc., have perfected what Wilke has dubbed gay vague ads, in which men who appear in them may or may not be a couple. It typically shows two guys together, and its never really clear what the nature of their relationship is, says Wilke of VWs ads. VWs popular Da Da Da ad that aired during the 1997 coming out episode of Ellen is a prime example, he says. Best Medium for the Message However, TV commercials remain a rare means of reaching the GLBT segment. Wilke says buying ad time on TV is expensive, in general, let alone for those companies trying to reach a niche market. But, Garber argues, that compared to print publications such as Out, which has a circulation of 100,000, TV on a bad night can draw a million or so viewers and is a much more beneficial medium. If youre very cost-conscious and want to walk before you run, there are tremendous bargains out there in niche cable, says Garber. No matter what medium they may choose, auto makers say it is difficult to track whether advertising efforts are drawing GLBT consumers into their showrooms. After all, no one is asked to identify their sexual orientation when buying a car. Its impossible to quantify how much the XL Denalis appearances on Queer Eye have helped GM sell Yukons, but they havent hurt, says GMs Beaman. He says Yukon sales were up 52% in February over last year, and Yukon XL sales rose 20%. Loyalty rates for GMC have risen, as well. So how about having Queer Eyes Fab Five work their makeover magic on the XL Denali? We have not had that conversation, but you know, maybe one day we will, says GMCs Sanford. Were always open for new ideas. with Drew Winter and Katherine Zachary Back to Top |
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Gay Episcopalians Among Most Active in Church Wed August 6, 2003 11:17 AM ET NEW YORK (Reuters) - Gay Episcopalians in the United States are among the most active participants in their congregations, according to a new survey released on Wednesday. A survey of 8,831 gay people found that 57.6 percent of gays that identify themselves as Episcopalians say they actively participate in their religion. Only gays of the Metropolitan Community Church, Unitarians and Pagans had a higher rate of religious participation, at 79.4 percent, 66.7 percent and 84.6 percent respectively, the study found. The 2002/2003 survey, conducted by Syracuse University and research group OpusComm, comes amid tensions in the U.S. Episcopalian Church, which on Tuesday elected its first openly gay bishop -- a controversial decision that has raised the possibility of a schism within the religion. "Our new study may reflect some changes due to this political and cultural shift," said Syracuse University lead researcher Amy Falkner. Homosexuals, she said, "may feel safer and more welcomed in expressing their respective religious beliefs." The largest percent of those surveyed -- 17.6 percent -- said they were Catholic, but that less than a third of those were active in their church. Back to Top |
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![]() Study: Few gays practice their religion August 7, 2003 A significant percentage of gay men and lesbians belong to a certain religion, but few are practicing that religion, a recent survey has revealed. More than six out of 10 (63.7%) respondents to the 2002-2003 Gay/Lesbian Consumer Online Census said they are affiliated with a particular religion; 38% said they are practicing members. The largest segment is Catholics (17.2%), although only 29.5% of those members said they are practicing. Six percent of respondents say they are atheists, and almost a third (30.3%) said they have no religious preference. With 8,831 respondents, the census is the largest and most comprehensive GLBT consumer study ever conducted. Prepared by GLCensus Partners (Syracuse University and OpusComm Group), the annual study fills the growing need among manufacturers and service providers for detailed information on consumer behavior and preferences of GLBT people. Of those respondents who answered both questions, there are 11 religions with 200 or more members. Among these, the highest percentage of those saying they are practicing members of their respective religions are: Pagan (84.6%), Metropolitan Community Church (79.4%), Unitarian (66.7%), Episcopal (57.6%), and Jewish (47.5%). "The gap of those who practice their religion versus those who don't appears to vary based on how various religious sects are perceived of as being more embracing of the GLBT community than those which are not," comments Jeffrey Garber, president of OpusComm Group Inc. and founder of the GLCensus Partners study. "In the last two years of conducting the GLCensus, the results to the series of religious questions have not changed," explains Amy Falkner of Syracuse University, lead researcher on the project. "Perhaps, given the recent Supreme Court decision and the election in the Episcopal Church, GLBT people may feel safer and more welcomed in expressing their respective religious beliefs. Our new study may reflect some changes due to this political and cultural shift." Back to Top |
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![]() June 4, 2003 8:10 p.m. EDT E-BUSINESS PlanetOut Posts First Profit, Helped by Personals Revenue By JENNIFER SARANOW THE WALL STREET JOURNAL ONLINE PlanetOut Partners Inc., a publisher of gay and lesbian community sites, reported Wednesday that it achieved its first profitable quarter, helped by the popularity of its online dating services. The closely held company's PlanetOut Personals and Gay.com Personals sites accounted for more than half of quarterly revenue, the company said, underscoring how online publishers have embraced pay services amid a flat online advertising environment. "Advertising provided a foundation [and] online dating provided the fuel for growth," said PlanetOut Partners President and Chief Executive Officer Lowell Selvin. For the period ended March 31, PlanetOut said it had unaudited quarterly net income of just more than $100,000, compared with a loss of $1.2 million in the year-earlier period. Revenue was $4.5 million, up from $3 million a year earlier. The company (www.planetoutpartners.com1) said online matchmaking revenue accounted for about 58% of revenue. Ad revenue, which included a Chrysler campaign, accounted for about 28%. PlanetOut Personals, geared more for relationships, and Gay.com Personals, more for dating and finding friends, launched about two years ago. Today the sites have a combined total of 2.3 million profiles. Together with other paid offerings of PlanetOut Partners, such as its travel newsletter, the company said it has about 100,000 paying subscribers. Online dating is booming for people of all sexual preferences. The category had $302 million in revenue in 2002, according to comScore Networks and the Online Publishers Association. But Internet personals are particularly attractive to the gay, lesbian, bisexual and transgender market, industry watchers say, where discretion and fears of discrimination can be high priorities. "The easiest and most comfortable way for many [gay] people is online dating," says Jeffrey Garber, president of OpusComm Group, which specializes in gay marketing and advertising. Mr. Garber is also a founding partner of GLCensus Partners, which studies habits of gay consumers. At most online dating sites, anyone can browse listings, but users have to pay a monthly fee to make contact with prospective dates. At PlanetOut's sites, PlanetOut Personals charges $12.95 a month, while Gay.com Personals charges $16.95 a month. Some companies are targeting both gay and straight audiences. MatchNet PLC, which runs niche personals sites including gay11.com, CollegeLuv and JDate.com, said registered users at gay11.com (soon to be rebranded glimpse.com) grew 60% to 746,000 at the end of the first quarter from a year earlier. Meanwhile, dating mammoth Match.com says it currently has about 785,000 registered men seeking men and 617,000 registered women seeking women, up 25% from a year earlier, while Match.com's gay-specific site, altmatch.com, has about 124,000 registered men and 70,000 registered women. Overall, Match.com had about eight million registered users and 766,000 paid subscribers as of March 31. "I think people would be surprised," by the size of the gay dating scene on Match.com, says Trish McDermott, vice president of romance at Match, a unit of USA Interactive, New York. PlanetOut Partners said it expects the trends in its personals business and profitability to continue. The San Francisco company, which has about 125 employees, is projecting revenue of $24 million for the year, and positive net income for full-year 2003 and 2004. PlanetOut Partner's investors include J.P. Morgan Chase & Co., Mayfield Fund, IDG and AOL Time Warner. Write to Jennifer Saranow at jennifer.saranow@wsj.com Back to Top |
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Posted on Sat, Apr. 05, 2003 Gay market wooed at Miami Beach expo BY CHRISTINA HOAG choag@herald.com From Prudential to Krispy Kreme to Toyota, companies of all sizes and sectors are seeking to proclaim themselves gay friendly to woo a consumer market known for its considerable purchasing power and brand loyalty. ''It's sort of a new frontier,'' said Jeffrey S. Garber, president of OpusComm Group, which specializes in gay marketing and advertising. ``Especially with the economic downturn, companies are realizing that GLBT [gay, lesbian, bisexual, transgender] is a good market to go after.'' Some 90 companies will be setting up shop today and Sunday to do just that at the Gay Life Expo at the Miami Beach Convention Center. The fair, the first to be held locally, is sponsored by JPMorganChase and Bacardi's Martí rum brand and is expected to draw upward of 5,000 people, according to its organizer, Consolidated Management Associates of New York. Such events are important venues for companies seeking to declare themselves sensitive to gay people. And that's no small matter. According to a gay-consumer study done last year by OpusComm affiliate GL Census Partners, 82 percent prefer buying from gay-friendly companies, defined, in part, as those that extend benefits to domestic partners, have nondiscrimination policies and advertise in specialized media. ''There's a heightened political awareness in the gay community,'' said David Treece, past president of the Miami-Dade Gay & Lesbian Chamber of Commerce. ``These events give visibility that is very helpful to companies.'' Once a company is found to be gay friendly, ''brand loyalty is very strong,'' Garber said. Companies that run afoul of sensibilities may court trouble. When United Airlines failed to extend benefits to its employees' domestic partners in 1997, gays and lesbians boycotted it in favor of American Airlines, which did. United backed down in 1999 and, a year later, became one of the first companies to distance itself from radio talk-show host Laura Schlessinger, known as ''Dr. Laura,'' after she remarked on the air that gay people were ''deviants'' and ``biological errors.'' Those comments sparked a well-publicized ruckus and caused Procter & Gamble and auto insurer GEICO, among others, to yank their commercials from her show. Schlessinger eventually apologized. Several characteristics make this niche attractive to marketers. Gays index high on travel, grocery purchases and restaurant and wine consumption, the GL Census found. Spoiling pets is also common, said Tim Winters, sales coordinator for Gay Life Expo, where pet cemeteries and adopt-a-pet agencies are common exhibitors. ''Pets are kind of surrogate kids,'' Winters said. Relatively few gay households have children, which means that gay people have more discretionary income. And they like to spend on novel items. ''Gay people are innovative spenders,'' Winters said. ``They like to be on the forefront of new, very different trends.'' And then there's the matter of affluence. According to the GL Census, 32 percent of gay male households and 17 percent of gay female households reported annual incomes of over $100,000, making this a prime market for financial-service and insurance companies and automakers. ''They realize the value of the market,'' said Rafael Armada, president of Miami-Dade Chamber, which counts such mainstream corporations as MetLife, BankUnited and American Express among its 200 members. And not only are companies seeking gay consumers; they're seeking gay employees, too. Gay Life Expo, which also holds shows in New York and Philadelphia, often allots recruiting pavilions to such gray-suit firms as PriceWaterhouseCoopers and Deloitte & Touche as well as to MBA programs. It's all part of mainstream America's growing acceptance of gay people, Winters said, adding: ``You didn't see this 20 years ago.'' Back to Top |
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![]() Posted on Sun, Mar. 02, 2003 Travel agency prospers by catering to gays By David Whelan CONTRA COSTA TIMES OAKLAND - Like many Bay Area travelers, Kathi Heimann has eclectic tastes. In October 2001, she spent a week at a Club Med resort in Mexico where she rode horses through the surf, snorkeled with sea lions, and learned how to water ski. In January, she took a cruise to the Bahamas and the Virgin Islands. Despite the many booking options that exist, including the Internet and various travel agencies, she signed up for both trips, and plans to do the same for future vacations, through Oakland-based Olivia Cruises & Resorts, a niche tour operator. Heimann, who lives in San Ramon, chose Olivia for one simple reason: because its trips are geared for women like her. "I can enjoy the atmosphere without standing out," she said. "It's not that I couldn't go on a straight cruise -- I could. But could I hold another woman's hand?" Olivia has made a business out of providing trips where women like Heimann can feel comfortable holding each others' hands. The Oakland company has sent 50,000 lesbians on 56 cruises and tours since 1990. "We have created an environment where people feel free to be themselves for seven days or 10 days," said Judy Dlugacz, the company's founder. Dlugacz said that the safe-haven aspect of Olivia may explain why its business has grown since the Sept. 11 terrorist attacks, while the mainstream travel industry has sputtered. Olivia is not a gay rights organization or a social club, although it might be mistaken for one because of its social consciousness and repeat customers. What it has become over the years is a profitable business. This year it will gross $12 million, based on the trips it has planned. The company projects that it will grow annually for the foreseeable future by 30 percent by adding more trips and other services. Its staff of 25 is slated to grow to 35 by year's end. Olivia, which appears to be the nation's only major travel provider for lesbians, began 30 years ago as a record label. Dlugacz, then 20, had just graduated from the University of Michigan, and planned to apply to law school, when she took a detour. She and eight friends borrowed $4,000 to produce albums by lesbian singers such as Cris Williamson and Meg Christian. They named their company after the main character in an eponymous novelette about lesbian romance that was published in 1949 and subtitled, "The story of a love that dare not tell its name." Dlugacz outlasted her friends, and soon branched into producing concerts. In 1990 she chartered her first all-lesbian cruise, which she thought of as a "7-day long concert" that would highlight Olivia artists. Six hundred women on the record label's mailing list rushed to sign up for the trip, and Dlugacz realized she had discovered a niche market. One special moment for Dlugacz came in 1993 when Olivia travelers cruising the Mediterranean docked on the island of Lesbos and held a vigil for Sappho, the ancient Greek poet whose poems have inspired many lesbians. The gods on Mt. Olympus may have heard the group's call. Over the next decade, Dlugacz has expanded rapidly. This year it will offer six cruises, 13 bike trips, five walking tours, 15 sports-oriented trips, and three resort vacations, including one at a Florida Club Med designed for gays and lesbians with families. With lesbian travel booming, the record label now represents only a sliver of Olivia's business. The company still uses entertainment to draw travelers. The Indigo Girls will make their first appearance on an Olivia cruise this year, joining staples like comedienne Suzanne Westenhoefer. Amy Errett, the company's CEO, may be another reason why the company's business has doubled since 2000. Errett joined a year ago after working as a top executive at E*Trade. She holds an MBA from the University of Pennsylvania's Wharton School. After starting her career at Bankers Trust, she started her own consulting company, which she eventually sold to Interpublic Group, the advertising and marketing conglomerate. When Errett arrived at Olivia a year ago, she decided that its infrastructure needed to be upgraded. She stripped out the old computer system and built a new call center. She invested money in the Web site and embarked on new marketing projects. "Right now we are just scratching the surface of the lesbian market," she said. Marketing to the nation's estimated 6 million lesbians poses a challenge because many lesbians do not openly identify themselves. Unlike gay men, lesbians do not typically congregate in specific urban neighborhoods like the Castro and instead keep a lower profile in the suburbs. Still, demographers agree that the lesbian market can be targeted. "There is a great need for the community to travel together on a cruise, or to a resort," said Jeffrey Garber, the president of Syracuse-based Opuscomm Group, which studies the gay market. "If you live in New York or you live in San Francisco, you can be part of a lesbian community. But otherwise you need to plug in to an environment where you feel secure." Garber's company runs what he calls the "2002 Gay/Lesbian Consumer Online Census," which revealed that only 2.5 percent of lesbian respondents have ever traveled on a gay cruise, suggesting that Olivia has not exhausted the market. And Olivia doesn't think that as the world becomes more tolerant, gay women will start to feel comfortable in mainstream settings and abandon gay cruises. The point, Errett said, is not just to escape discrimination, but also to have a unique experience with other women. Still, discrimination has been a factor in Olivia's history. In 1998, an angry mob in the Bahamas turned a cruise ship away. Dlugacz said the company has avoided similar situations by keeping a lower profile abroad and avoiding countries, such as heavily Islamic ones, that might object to her passengers. Many countries, she said, welcome Olivia women. Turkey, for example, has been receptive, and on one occasion, she said, a friendly Turkish gathering greeted a ship and merchants shouted, "Lovely lesbian ladies, please come to our shops." Like the Turkish shopkeepers, Errett also has plans to capitalize on the women of Olivia. She imagines Olivia as a "lifestyle company." "Look at Virgin. It's an airline and music company," she said. "Disney is there to create experiences for people, whether through media, entertainment, travel, Internet, and sports." Right now, the company could easily expand to offer market research and services for same-sex households like wills and money management, said Errett. Eventually, Olivia could even help plan lesbian retirement communities. Heimann, one of Olivia's satisfied customers, is excited by that prospect. "When you get a group of women together, they always talk about, 'Where are we going to live when we get older.' Back to Top |
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Posted on Mon, Nov. 04, 2002 Survey gives clear picture of gay community BY STEVE ROTHAUS srothaus@herald.com Researchers say the most surprising aspect of this year's gay marketing survey is that nearly all the respondents identified themselves as being out of the closet. ''Being out -- 92.3 percent are out to their friends. That's a society change,'' said New York advertising executive Jeffrey Garber, whose agency co-conducted the just-released survey. ``It's a higher percent than people think and it continues to grow.'' This year, there was a 40 percent increase in the number of people who took the Internet survey of gay and lesbian consumers. Despite the sharp increase in respondents, survey results were nearly identical to the first GL (Gay/Lesbian) Census in 2001. ''To get a 40 percent increase and have the results almost identical within a percentage point, it tells me this really is the most clear picture of the [gay and lesbian] community,'' Garber said. Among the striking similarities: In both 2001 and 2002, 82 percent said they were more likely to buy products or purchase services from companies they know are gay friendly. Last year, 89.8 percent of those taking the survey were registered voters; in 2002, 90 percent. ''The findings have a tremendous application for social scientists, advertisers, political leaders and the general population,'' Garber said. ``The more information that is out about a community, the better understood it can be, and the better tool to break down stereotypes that have existed a long time.'' Garber and Amy Falkner, a Syracuse University advertising assistant professor, developed a volunteer Internet survey in 2001. The study was conducted by GL Census Partners, a joint project of Garber's ad agency, OpusComm Group; S.I. Newhouse School of Public Communications at Syracuse University; and GSociety, the first publicly traded gay company specializing in media/entertainment. In 2001, the goal was 5,000 responses. More than 6,350 came in. This year's survey, which ran July 8 through Aug. 19, generated 8,831 responses. This year 54.2 percent of the respondents were men, about the same percentage as in 2001. GL Census Partners relies on the Internet because ''it's probably the safest place where gay people around the country and around the world can participate,'' Garber said. The surveys each took 45 to 50 minutes to complete. Respondents were given passwords so they could take breaks, then log back in where they left off. Afterward, the researchers checked for ''pattern recognition'' to make sure the same people weren't taking the survey over and over, Garber said. Garber said participants took the survey because ``they felt it was important as a community.'' ''If they can educate the general public and advertisers -- if they identify themselves as consumers -- advertisers would take notice and target them,'' he said. That's exactly the reason why Saturn automobiles bought last year's survey results. ''We got a gauge on the vehicles that this segment of customers owned, and we got some key demographics and media habits that are important for planning any advertising,'' said Bryan Mahlmeister, market research manager and brand coordinator for Saturn in Detroit. Mahlmeister said the survey ''gave us a good snapshot'' of the gay automobile market and how it affects Saturn. The survey showed Saturn was the most popular General Motors division among gay consumers. ''We were surprised that we came out so far on top in ownership,'' Mahlmeister said. That information has encouraged Saturn to continue marketing itself to the gay community, advertising in gay-oriented magazines such as The Advocate, he said. Back to Top |
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Posted on Mon, Aug. 26, 2002 Marketing survey nets thousands of responses BY STEVE ROTHAUS srothaus@herald.com When New York advertising executive Jeffrey Garber set out to survey gay and lesbian consumers, he knew there would be a major obstacle. 'It's not like you can get on the telephone and say `Ma'am, you sound gay, I'd like to ask you a few questions,' '' Garber said. ``It's an incredible problem. In 39 states where you have discrimination laws still on the books, you are talking about a population that's not going to readily identify itself to strangers.'' To make respondents more comfortable, Garber and Amy Falkner, a Syracuse University advertising assistant professor, developed a volunteer Internet survey in 2001. The study was conducted by GL Census Partners, a joint project of Garber's ad agency, OpusComm Group; S.I. Newhouse School of Public Communications at Syracuse University; and GSociety, the first publicly traded gay company specializing in media/entertainment. Last year's survey goal was 5,000 responses. More than 6,350 came in. The 2002 survey ended Aug. 15 and results are still being tallied. ''We're up almost 40 percent from last year,'' Garber said. Among the findings of the 2001 survey: Gays and lesbians generally earn more than their straight counterparts. ''Any minority, in order to get ahead in the U.S., usually uses education as a bootstrap to gain independence,'' said Garber. ``Good education usually goes hand-in-hand with good jobs.'' The survey also asks questions dealing with consumer categories, such as automotive and child-care. ''All this is important for mainstream advertisers to understand our community, our buying habits,'' Garber said. ``It's a Technicolor look at our community that replaces one-dimensional stereotypes.'' Back to Top |
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Business Big business looks to the rainbow August 26, 2002 |
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Media Viacom Hatches Gay Network Penelope Patsuris, Forbes.com, 01.14.02, 11:39 AM ET Ellen, you've come a long way, baby. When the title character of the ABC sitcom Ellen came out a few years ago, it made front-page news and drove some of the show's advertisers to pull their commercials. Now the Viacom-owned networks MTV and Showtime are developing a gay- and lesbian-themed cable network, hoping to tap into an audience that was, until very recently, taboo with American marketers. So if a single show couldn't make it, what makes these programming executives think an entire network devoted to this niche audience will fly? "The economics of this are totally different," says Wilkofsky Gruen Associates media economist Arthur Gruen. "Network shows need ratings of 9 or 10, whereas you don't need anywhere near that kind of audience reach to make a cable network work." Most cable channels draw ratings of less than a 1. Viacom (nyse: VIA.B - news - people) says the gay channel will be supported by a mix of advertising and subscription fees, which may run from $5 to $7 a month. "Niche audiences are definitely willing to pay for programming that they can't get elsewhere," says Gruen. No launch date for the gay network has been scheduled, but Interpublic Group chief of business development Barry Linsky expects there will be an advertising market for it when it does. "The public is more accepting of alternative lifestyles," he says, "so marketers are more comfortable reaching out to these markets." The NBC (nyse: GE - news - people) hit Will and Grace, for instance, hasn't been lacking for advertisers and has, in fact, become a key draw for the network's Thursday night "must-see TV" lineup. Advertising in alternative lifestyle outlets, which, until this point, has primarily been in magazines like Out and The Advocate, is generally considered another way to reach people that are also part of the mass-market audience, says Linsky. "But niche advertising is a way for the marketer to demonstrate to the audience that it is attuned to that audience's particular needs." And it's a market well worth catering to. Median income for the households of gay couples is $65,000, compared with a 1999 U.S. median income of $40,800, according to a study by the OpusComm Group in conjunction with Syracuse University's Newhouse School of Public Communications and GSociety. Gay Americans generally have 10% more disposable income than the average American, according to Prime Access, and the population's total spending power is estimated to be $450 billion by Gay Market Express.com. That's less than the country's African-American market, but more than the Hispanic or Asian markets. This new marketing opportunity presents itself at a time when advertisers have been pulling back on mass-market ad spending and, instead, experimenting by trying to reach more focused targets. Viacom has an excellent track record of launching other successful niche cable networks, like VH1 and Nickelodeon, but this market is much smaller--by orders of magnitude--than the ones for music or children's programming. Indeed, there are only an estimated 15 million or so gay Americans, so this channel will have a substantially smaller pool of viewers to draw from. And there is, of course, very little gay programming around to recycle as reruns. Showtime's gay-themed series Queer as Folk is actually one of the network's highest-rated programs, but it's unclear how many other gay-oriented shows Viacom has in its library. So Viacom faces the challenge of building a never-before-cultivated viewership from scratch while keeping programming costs down. Can it work? Stay tuned. Back to Top |
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![]() USA TODAY June 19, 2002 -FRONT PAGE Zogby/GLCensus Partners Poll USA TODAY Snapshot Same-sex marriage top priority for gays. Priorities of the gay rights, movement and percentage who ranked each highest: The breakdown: 47% Legal recognition of same-sex marriages for tax, estate and insurance purposes
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![]() *Article refers to "Zogby/GLCensus Partners Poll" Syracuse University, OpusComm Group, GSociety partnership Marriage law becomes gay priority Monday, May 20, 2002
"These numbers are phenomenal," exclaims attorney Evan Wolfson, who has been steering the drive for marriage for more than a decade. "Gay people now believe this is within reach, which is the necessary precursor to reaching it. And it shows that we shouldn't be dumbing down the definition of equality when we talk to non-gay people." |
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![]() Queer as Folk named favorite show in GLBT poll Showtime's Queer as Folk has been chosen the top show featuring gay, lesbian, bisexual, or transgendered characters in a nationwide online poll of self-identified GLBT respondents conducted by Zogby International and GLCensus (a Syracuse University, OpusComm Group, and GSociety Partnership), the group announced on Monday. Queer as Folk was chosen the favorite by 39% of the respondents. NBC's Will & Grace came in second with 22%, and NBC's ER was third with 10% of the first-place votes. Other shows receiving significant votes included HBO's Six Feet Under (8%), the WB's Buffy the Vampire Slayer (6%), and CBS's The Ellen Show (3%). The online poll included 1,931 U.S. residents who identified themselves as gay, lesbian, bisexual, or trangendered and was conducted February 18-21. While QAF was named favorite show, its lead character, Brian Kinney, played by Gale Harold, was voted the GLBT character portrayed most negatively. His character was followed by Sean Hayes's portrayal of Jack McFarland on Will & Grace and ER's Dr. Kerry Weaver, played by Laura Innes. "It's not surprising that Showtime's Queer as Folk came out as the favorite GLBT show despite the lead character, Brian Kinney, being voted as portraying the most negative GLBT character," said Jeff Garber of OpusComm Group in a statement. "I think the bigger surprise to the general public, but not the GLBT community, is that NBC's Will & Grace's Jack McFarland was perceived the second most negatively portrayed GLBT main character. To the general public, the character Jack is one of the most favorite for his 'over the top' performance. However, the GLBT community probably feels that McFarland's portrayal of Jack, although funny, perpetuates negative stereotypes [because he is] an unemployed, shallow man who lives off the good graces of his friends." Eric McCormack's portrayal of Will Truman on Will & Grace was named GLBT character most positively portrayed, with Ellen DeGeneres's character, Ellen, and Hal Sparks's portrayal of Michael Novotny on Queer as Folk in a virtual tie for second. Scott Seomin, entertainment media director for the Gay and Lesbian Alliance Against Defamation, said, "Eric McCormack's portrayal of Will Truman is a revelation. This is one of the few examples of a straight actor playing gay with honesty and integrity. He does do the best job in portraying a gay man currently on television, and he deserves our community's thanks." Among GLBT supporting characters, the favorite was Emmett Honeycutt (Peter Paige) of Queer as Folk; the least favorite, Mr. Garrison of South Park. Lindsay Peterson (Thea Gill) of Queer as Folk was chosen as representing the most positive portrayal of a GLTB supporting character, while Mr. Garrison was voted the worst portrayal. "Lesbian portrayals on prime time are beloved by the gay and lesbian community," said Seomin. "Characters such as Dr. Weaver and Lindsay Peterson are popular and scarce. Lesbian representation on television is so sparse, in fact, that our community seeks out these characters and holds them dear." Respondents were also asked to rate the portrayal of GLBT characters in several shows on a scale of very accurate, somewhat accurate, somewhat inaccurate, and very inaccurate. Over one third (35%) of respondents chose Queer as Folk as very accurate, followed by ER (26%) and Will & Grace (26%). No show was clearly labeled as very inaccurate, although Son of a Beach led the category with 7% of the vote. The least favorite show that features a GLBT character is Comedy Central's South Park, chosen by 18% of the respondents. Garber said the poll is probably summed up best from one of the comments from a poll respondent: "Gay people are so diverse, one show could not possibly accurately describe a gay person or the gay culture." Back to Top |
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![]() USA TODAY February 22, 2002 -FRONT PAGE Zogby/GLCensus Partners Poll USA TODAY Snapshot Poll: Government won't help surviving same-sex partners Most gays and lesbians polled say they don't expect the U.S. government to help same-sex survivors of the Sept. 11 attacks as much as heterosexual survivors. The breakdown: 75% "Won't provide for needs to same-sex survivors" 14% "Not sure" 12% "Will provide for needs of same-sex survivors" Source: Zogby/GLCensus Partners Poll of 1,386 self selected respondents who identity themselves as gay, lesbian, bisexual or transgender. The poll was conducted Jan. 11 - 14 Back to Top |
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Entertainment - Reuters Thursday January 10 8:33 PM ET Advertisers seen welcoming gay-oriented TV network By Bill Berkrot NEW YORK (Reuters) - ``Ellen'' who? Just four years after shunning the first prime-time TV show starring an openly gay character, some of the nation's top advertisers could soon be lining up to sponsor an entire network aimed at gays and lesbians, who are increasingly seen as a lucrative niche market, according to industry analysts. MTV Networks and Showtime, both units of media giant Viacom Inc , have been developing the gay- and lesbian-oriented network since last summer, though programming details are still in the works and no timetable has been set for the channel's debut. News of the project led some analysts to predict that such a channel will be welcomed by advertisers looking for new niche markets to tap. ``Everyone who wants a new market will jump on the bandwagon,'' predicted Jeff Garber, president of OpusComm Group Inc., an advertising and public relations firm that targets the gay and lesbian audience for mainstream advertisers. Demographers said the channel will have an audience with deeper pockets than the average American. In a 2000 study, Kalorama Information market research firm estimated a total gay and lesbian purchasing power in the United States of $340 billion in 1999. A recent consumer online survey found the median combined household income of gay couples to be $65,000, nearly 60 percent higher than the 1999 U.S. median income of $40,800. In the survey conducted last summer by OpusComm and GSociety Inc., in conjunction with the S.I. Newhouse School at Syracuse University, more than 20 percent of the 6,351 respondents reported a total combined income of $100,000 or more -- figures likely to have advertisers scrambling for a share of the gay dollar, analysts said. Garber said he expects to see clear changes in the way the gay population is courted, ``as the gay and lesbian economic power base becomes more widely recognized.'' In 1997, major advertisers such as Domino's Pizza, Burger King Corp. and Johnson & Johnson, temporarily withdrew their sponsorship of ABC's ``Ellen'' when, in a groundbreaking episode, the main character played by openly gay actress Ellen DeGeneres revealed she was a lesbian. Since then, however, gay and lesbian characters have cropped up on numerous shows on both broadcast and cable networks, with little or no backlash from major sponsors. ``Over the last 10 years we've seen a dramatic increase in the desire of advertisers to market to this audience,'' said Howard Buford, founder and CEO of Prime Access Inc., an advertising and marketing company specializing in gay and lesbian and other defined audiences. ``They're finding out that there is a large amount of disposable income out there.'' SAME-SEX SELLS When the new network debuts, it will join Toronto-based PrideVision TV, the world's first 24-hour gay, lesbian, bisexual and transgender television network, which was launched last Sept. 7. Jason Hughes, director of sales for PrideVision TV, said most sponsors the network approaches are receptive. Diet Pepsi, Microsoft, Warner Music, Polar Ice Vodka and Rogers AT&T Canada are already running their existing advertising on the groundbreaking station. But Hughes said a company that makes herbal products and a clothing company were in process of producing commercials designed specifically for the gay audience, a trend he expects to increase. He declined to name the companies. ``When they see two men holding hands or two women kissing in a commercial, the community is going to respond to that,'' Hughes said. ``The community knows who supports them.'' Cathy Renna, news media director for the Gay and Lesbian Alliance Against Defamation (news - web sites) (GLAAD) said the gay community is well informed about companies deemed friendly to gays. ``We support corporations that support the community,'' Renna said, citing American Airlines as a prime example of a company that has helped the gay community. ``It's the right thing to do, and it's a really smart business decision.'' Reuters/Variety |
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Gays More Affluent, More Likely to Vote Than Other Americans, Survey Says By MATTHEW VALIA ©2001 DiversityInc.com Oct, 15, 2001 Gays and lesbians are more affluent and more likely to vote than heterosexual Americans, according to a new online poll. The online survey, a Syracuse University, OpusComm Group, GSociety Study which polled 6,351 respondents in July and August, also profiled gay and lesbian entertainment spending as well as trends in occupations and self-identification in terms of race and sexual orientation. Nearly nine of 10 respondents reported they were registered voters, the study concluded and 79.8 percent said they voted in the 2000 presidential election, compared to the national average of 51.2 percent, according to Curtis Gans, director of the Committee for the Study of the American Electorate. "We are seeing among our respondents significantly more registered voters and a higher voter turnout in the gay and lesbian population than in the U.S. population as a whole," said Jeff Garber, president of OpusComm, the Syracuse N.Y-based public relations firm that partnered the study. "I think we will find more and more political figures going for the vote," said Amy Falkner, professor of advertising at the Syracuse Universitys S.I. Newhouse School of Communication. "Judging from these numbers, its advantageous to the candidate to be gay-friendly these days." Following the voting trend, the poll also showed the income of gays and lesbians was higher then the national average. The median combined income of self-identified gay couples reported was $65,000, nearly 60 percent higher than the national average of $42,148, according to 2000 census data. With a higher purchasing power than the average American household, the gay and lesbian population represents an important emerging market that companies and corporations need to seek, Garber said. "Money talks, the same in politics as in business," Garber said. "As the gay and lesbian economic power base becomes more widely recognized, we are sure to see many subtle and not-so-subtle changes in the way the gay population is courted." "A few major corporations are beginning to reap the rewards as pioneers in this market," Falkner said. Gay and lesbian advertising is moving "out of the closet and into the mainstream market." Subaru and American Airlines are on the forefront of actively advertising directly to the gay and lesbian market, Garber said. Back to Top |
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Overlooking Gay Consumers Could Prove Costly for Top Corporations By T.J. DEGROAT April 19, 2001 Corporate Americas marketing executives have aggressively targeted African Americans, Latinos and Asian Americans, but until recently one lucrative segment has been ignored: gays and lesbians. "There has been a lot of noise during the past year and a half about this emerging market, so companies identify that there is an opportunity," said Jeff Garber, co-founder of OpusCommGroup Inc., a communications and marketing firm. "But theyre not quite sure if their product is going to appeal to the gay/lesbian segment and if so, how to market the product." Garber and co-founder Dan Fedrizzi have helped clients ranging from Fortune 500 companies to non-profits tap into the gay communitys buying power, which surpassed $340 billion in 1999 and is expected to hit $444 billion by 2004, according to a study by MarketResearch.com. The Syracuse, N.Y. company has served mainstream clients for more than 15 years and now aims to act as a liaison between the gay community and the heterosexual-dominated business world. OpusCommGroups main goal is to devise online and offline campaigns that will help companies that havent been able to effectively target the gay segment. "The new challenge is to demonstrate to a major player like an American Express how to approach this unique market effectively and have substantial impact on their bottom line," Garber said. "If corporate America hears only about gay-oriented products being target marketed we are guilty of perpetuating the marketing stereotype that if you don't have a gay-specific product you don't advertise to them." Corporate America can create brand loyalty without marketing a gay-specific product, Garber said. "Arm and Hammer Baking Soda has reinvented multiple uses for the product, but the product has remained the same," he said. "They came up with new applications for the same product. That is the key." Most gays and lesbians will go out of their way to buy products that advertise to their niche, Garber said. ©2001 DiversityInc.com Back to Top |
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![]() Survey details gay, lesbian spending habits By WILLIAM KATES Associated Press Writer October 19, 2001, 4:44 AM EDT SYRACUSE, N.Y. -- An online survey has put a face on America's gay and lesbian consumers, and it is a surprisingly familiar face, according to researchers. However, at least one gay rights advocacy group cautioned that the results actually may mask the true identity of America's gay and lesbian community. The study suggested gay and lesbian consumers are typically affluent, well-educated professionals, highly involved in politics and have money to spend, especially for products and services from companies seen as gay-friendly. "Some of the findings may not be startling--these ideas have been bantered about and hypothesized but never confirmed," said Jeffrey Garber, president of OpusComm Group, one of three partners involved in the "2001 Gay/Lesbian Consumer Online Census." "Now we actually have statistics to certify what we believed. That's the breakthrough," Garber said. The Internet-based survey was designed to poll gay men and lesbians about their education, jobs, spending practices and politics and make that information available to advertisers. Nearly 6,000 U.S. respondents completed the 40-minute long survey. Chief among the survey's findings was that gay couples have a median combined household income of $65,000, compared to the overall 1999 U.S. median income of $40,800. Betsy Gressler, a spokeswoman for the Washington, D.C.-based National Gay and Lesbian Task Force, said she had reservations about the results of the survey. "I think it is wrong to project these findings on the entire gay and lesbian community. By its very definition, this was a consumer survey and those were the individuals who responded," Gressler said. "It is to their (the researchers) advantage to say the gay and lesbian community is made up of affluent professionals because that's who marketing officials are trying to attract," she said. There have been numerous studies previously done on gay and lesbian consumers but most have been smaller scale, less comprehensive or narrowly focused, said Cathy Renna, spokeswoman for the Gay and Lesbian Alliance Against Defamation, a nationwide media advocacy group. Meanwhile, over the past decade, a growing number of major U.S. companies have moved gay and lesbian advertising into the mainstream market as acceptance of homosexuality has grown in society and in the workplace, Renna said. However, the gay-lesbian-bisexual-transgender community is a diverse community that crosses class, race, gender and age lines and it has been hard to pin down, she said. Although familiar with the survey, Renna had not yet reviewed the results and said she could not comment on the findings. According to the survey, nearly one-fifth of the respondents were employed in the fields of either computer/technology or education. Additionally, nearly nine of 10 respondents were registered to vote while nearly 90 percent said they had attended college. "Everyone thought there were a lot of well-educated, highly paid gay and lesbian people out there, but until this survey we couldn't put a number on it. Now, we can, and the numbers are impressive," said Cary Gilbert, vice president of GSociety, a media and entertainment company that operates two of the Internet's most targeted gay websites, GayWired.com and LesbianNation.com. "You will be seeing many more large corporations `coming out' as friendly to gays, once they see what a positive image in the gay community can do for sales," said Gilbert, whose company was a survey sponsor along with Syracuse University's S.I. Newhouse School of Communications. Gressler was concerned that by calling the study a census, it would create a false impression that it was a comprehensive accounting of all gays and lesbians. She noted that only those with computers, who knew how to use computers and had 40 minutes to answer the questions participated. "The population selected is skewed so it is not representative of the entire population," she said. Copyright © 2001, The Associated Press Back to Top |
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Survey looks at gay, lesbian consumers Online census was done to create a profile to guide advertisers. Tuesday, October 16, 2001 By Juliana Gittler In the largest survey of its kind, the 2001 Gay-Lesbian Consumer Online Census debunked some myths, substantiated others and helped to identify the purchasing habits of gays and lesbians nationwide. "Gay men and lesbians collectively are an important consumer constituency," said Jeffrey Garber, president of OpusComm Group of Syracuse, one of three partners in the survey. "The (survey results) will become one of the primary tools used to educate mainstream advertisers about this unique and widely ignored market." The online survey polled more than 6,000 people - primarily gays and lesbians but also bisexual and transgendered individuals - over a month about their consumer habits and personal beliefs. It took respondants about 40 minutes to complete the survey. The main purpose was to create a consumer profile to guide advertisers, but it also examined how gays and lesbians view themselves and their lives. Among the findings: The median combined household income of gay couples - $65,000 - is nearly 60 percent higher than the U.S. median income of $40,800. Half the respondents said they are in a committed relationship; 58 percent for women and 43 percent for men. Generally, the men were in a relationship longer than women. Thirteen percent of respondents have children under 18 living at home, compared with about 30 percent of all U.S. households according to the U.S. Census. Nearly nine of 10 respondents are registered to vote; 69 percent are registered Democrats. Nearly 90 percent have attended college. Eight out of 10 respondents identified first with being gay rather than by race or ethnicity. The number was lower among African-American respondents, where 36 percent identified with being gay before being black. Ninety percent of respondents reported they are openly gay to their friends; 80 percent to family; and 65 percent say their sexual identity is known at work. The information about income and group identification are of particular note, the survey creators said. "We've always surmised that gay purchasing power is a force to be reckoned with," Garber said. "What was needed was a yardstick to accurately measure the impact of gay and lesbian consumerism." More than a fifth of respondents reported a combined income of $100,000 or more. Nearly 60 percent of male respondents and 46 percent of female reported a combined annual income higher than $60,000. "Advertisers are taking notice," said Amy P. Falkner, an assistant professor at S.I. Newhouse School of Public Communications at Syracuse University, who helped write the survey and study the results. "Advertising in both gay and mainstream publications will become more gay-friendly as retailers and service providers target the gay and lesbian market." The survey was created in a partnership between SU, OpusComm and GSociety, the largest online gay entertainment site. The purpose was to gauge the education levels, jobs, spending power and practice and politics of the gay and lesbian population in the nation and around the world. The survey is limited in that it uses a self-selecting population. Respondents chose to take the survey online, rather than being randomly selected. "It's not projectable, but no other survey is," Falkner said. "We don't know how big the (gay) population is." The survey was large enough that the results can be taken as representative, but "it's still just a snapshot," Falkner said. The study concluded there is a strong tendency among gays and lesbians to buy products or services from companies that are viewed as gay-friendly. The survey is designed to show companies the potential of the market they may be missing. "Money talks - the same in politics as in business," Garber said. "As the gay and lesbian economic power base becomes more widely recognized, we are sure to see many subtle and not-so-subtle changes in the way the gay population is courted." © 2001 The Post-Standard. Used with permission. Back to Top |
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![]() Gay Purchasing Power A Significant Force, Major Study Reveals Press Release October 13, 2001 Syracuse, New York The median combined household income of gay couples is $65,000, nearly 60 percent fifty percent higher than the 1999 U.S. median income of $40,800, a first-of-its-kind study reveals. Advertisers are taking notice. Weve always surmised that gay purchasing power is a force to be reckoned with, says Jeffrey Garber, founder of the project study. What was needed was a yardstick to accurately measure the impact of gay and lesbian consumerism. Garber, president of OpusComm Group, Inc., in conjunction with the S.I. Newhouse School at Syracuse University and media/entertainment company GSociety, Inc., has developed the first comprehensive and in-depth census of the economics and buying habits of the gay and lesbian market. The Internet-based census was designed to poll gay men and lesbians about their education, jobs, spending practices, and politics, and make that information available to advertisers. Gay men and lesbians collectively are an important consumer constituency, according to Garber. The 2001 Gay/Lesbian Consumer Online Census will become one of the primary tools used to educate mainstream advertisers about this unique and widely ignored niche market. A few major corporations are beginning to reap the rewards as pioneers in this market, says Syracuse University Professor Amy Falkner, expert in targeted advertising and how different groups use the Internet. Gay and lesbian advertising is moving out of the closet and into the mainstream market. Nearly 6,000 U.S. respondents completed the 40 minute long census. The study reveals a significantly higher median income for gay households than the U.S. median. More than a fifth of respondents reported a total combined income of $100,000 or more. Nearly 60 percent of gay male households and 46 percent of lesbian households showed a combined income in excess of $60,000. This means well-heeled gay and lesbian couples, sharing two incomes and generally without the expense of raising children (13 percent of Gay/Lesbian couples have children under 18 years of age living at home), can plan to be actively courted in the near future by industry and services anxious to open up this new market, says Falkner. In findings destined to change the way advertisers cozy up to the affluent gay and lesbian market, the study reveals a strong tendency among this group to buy products or services from companies they know to be gay-friendly. Youll be seeing many more large corporations coming out as friendly to gays, once they see what a positive image in the gay community can do for sales, explains Cary Gilbert, president of gay entertainment/media company GSociety, Inc. It isnt being deceptive or devious on the companys part. Instead its a matter of taking the opportunity to be open and positive about their policies and goals concerning the gay population. That recognizing gay clients has a positive effect on the bottom line is a side benefit and a compelling one. Nearly 9 out of 10 census respondents are registered voters, and 79.8 percent of them voted in the 2000 presidential election, as compared to 49 percent of the general public who voted in the 1996 election, according to the Clerk of the U.S. Congress. The great majority 68.8 percent are registered Democrats. Money talks, the same in politics as in business, Garber says. As the gay and lesbian economic power base becomes more widely recognized, we are sure to see many subtle and not-so-subtle changes in the way the gay population is courted. Back to Top |
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Gay purchasing power reaches new high by Beth Shapiro 365Gay.com SYRACUSE, New York -- The median combined household income of American gay couples is $65,000, nearly 60 percent higher than the 1999 U.S. average income of $40,800, a first-of-its-kind study reveals. OpusComm Group, Inc., in conjunction with the S.I. Newhouse School at Syracuse University and media/entertainment company GSociety, Inc., has developed what it says is the first comprehensive and in-depth census of the economics and buying habits of the gay and lesbian market. Jeffrey Garber, president of OpusComm said, "We've always surmised that gay purchasing power is a force to be reckoned with. What was needed was a yardstick to accurately measure the impact of gay and lesbian consumerism." The survey, an Internet-based census was designed to poll gay men and lesbians about their education, jobs, spending practices and politics, and make that information available to advertisers. "Gay men and lesbians collectively are an important consumer constituency," according to Garber. "The 2001 Gay/Lesbian Consumer Online Census will become one of the primary tools used to educate mainstream advertisers about this unique and widely ignored niche market." "A few major corporations are beginning to reap the rewards as pioneers in this market," says Syracuse University Professor Amy Falkner, expert in targeted advertising and how different groups use the Internet. "Gay and lesbian advertising is moving 'out of the closet' and into the mainstream market." Nearly 6,000 U.S. respondents completed the 40-minute-long census. The study reveals a significantly higher median income for gay households than the U.S. median. More than a fifth of respondents reported a total combined income of $100,000 or more. Nearly 60 percent of gay male households and 46 percent of lesbian households showed a combined income in excess of $60,000. "This means well-heeled gay and lesbian couples, sharing two incomes and generally without the expense of raising children (13 percent of gay/lesbian couples have children under 18 years of age living at home), can plan to be actively courted in the near future by industry and services anxious to open up this new market," says Falkner. In findings destined to change the way advertisers cozy up to the affluent gay and lesbian market, the study reveals a strong tendency among this group to buy products or services from companies they know to be gay-friendly. "You'll be seeing many more large corporations 'coming out' as friendly to gays, once they see what a positive image in the gay community can do for sales," explains Cary Gilbert, president of GSociety, Inc. For more national, Canadian and international news, visit 365Gay.com. Back to Top |
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