U.S. Gays and Lesbians Continue to Travel Despite
Economic Downturn
Strong consumer insight and understanding remain critical for tapping
this $712 billion market.
According to survey research
released by Harris Interactive
in late 2008, a majority (55%)
of all U.S. adults believe that
they will be adversely affected
by the current economic downturn.
However, as many
Americans react to the economic
forecast by reprioritizing
costs and altering spending
habits, the study also suggests
that U.S. gay, lesbian, bisexual
and transgender (GLBT) consumers
appear to cut back
less in their personal travel
budgets than heterosexuals –
a trend that underscores the
importance for tourism industry
professionals to build
strong connections with this
characteristically brand loyal
market.
Today, it is estimated that –with approximately 16 million
American adults self identifying
as part of this still-emerging
segment– the U.S. GLBT
market wields over $712 billion in aggregate buying power
(2008 projection). However, because three out of four GLBT
Americans live in households without children under the age
of 18, consumers in this segment typically have more discretionary
income to spend than the average U.S. household.
In a national online survey conducted in May 2008, Harris Interactive found that – despite sluggish economic conditions – 38% of U.S. gay and lesbian adults planned to vacation as planned, compared with 34% of heterosexuals. Additionally, one quarter (25%) of GLBT respondents indicated that they were either “absolutely certain” or “very likely” to vacation by air, while only 19% of heterosexuals indicated that they would do the same.
“These findings help confirm what market research has been telling us for several years now: America's GLBT market represents a resilient and distinct growth opportunity for tourism professionals,” said Bob Witeck, founder and CEO of Witeck- Combs Communications, a Washington, D.C.-based marketing consulting firm that partners with Harris Interactive to profile America's GLBT households. “Different market segments respond to fluctuations in the economy in different ways.
Though U.S. GLBT consumers are in no way exempt from the downturn, several factors – such as higher than average per capita buying power –are keeping them on the road and in the air for vacation.”
Another demographic further differentiating American GLBT consumers in today's marketplace is the degree to which they choose to do business with allies of their community that make a concerted effort to understand their lives.
“Many tourism and hospitality leaders have learned that American GLBT consumers do not merely respond to same-sex images in an advertisement,” said John Tanzella, executive director of the International Gay & Lesbian Travel Association (IGLTA). “Even in difficult financial times, this is a sophisticated market that identifies a genuine connection between your product and their needs. This is, among many reasons, why IGLTA has thrived in its 26 years. People come to us to when they really want to understand and engage with GLBT travelers.”
Tanzella cites Kimpton Hotels & Restaurants as a company that has not only recognized these traits in GLBT customers, but has built a groundbreaking marketing campaign that has resulted in over 13,000 GLBT travelers joining its guest loyalty program. In 2004, Kimpton became the first hotel group to achieve a 100% Human Rights Campaign Corporate Equality Index score, and for the past two years, it has won the PlanetOut Hotel Group of the Year Award at IGLTA's annual convention. Kimpton was also the first lodging company to join forces with IGLTA on a property- wide level, with each of its 45+ hotels in Canada and the U.S. becoming active members of the organization.
“Kimpton continues to not only set the industry standard for what it means to be truly inclusive of all travelers, but to demonstrate what that inclusiveness can do for a company's bottom line, ” Tanzella said. “Success stories like theirs show that nothing is more valuable in this industry than consumer insight.”
Source: News Highlights | GAY BUSINESS REPORT | February 2008
Matt Skallerud :: PINK BANANA MEDIA
Photo by: Johnnie Arraiz
