While there is no single formula for growth, it remains at the top of every corporate agenda. Companies in 2018 are operating in markets where low hanging fruit is gone, and where any new source of growth should be fully explored. Yet, one of the most sustainable and unexploited sources of growth is hiding right in front of most businesses – multicultural engagement (MCE). While many companies engage in basic multicultural tactics (e.g. advertising in another language), our research has shown us there are specific key actions that separate companies’ whose efforts result in incremental growth, and those that result in substantial growth and deep engagement. (See PDF for figure 1.)
The Rise of Multicultural Marketing Initiatives
In times past, multicultural engagement programs were overlooked as a serious source of new growth. Over time, key change drivers such as shifting demographics, improving technologies, new sales/marketing channels, and elevated social awareness have given rise to more interest and focus on multicultural initiatives.
Among all of the changes, three were the most impactful to bring MCE to the forefront.
Demographics: The bulk of population growth over the next 40 years will be from minority groups. (See PDF for figure 2)
Emerging Multicultural Ecosystem: The 21st century has delivered a powerful set of channels, tools, and technologies to impact engagement within multicultural markets. Media companies like Univision and BET have risen to prominence by developing networks that explicitly cater to multicultural audiences. Today, any company looking to start MCE programs can begin by tapping into existing infrastructure for distribution.
Growth Anemia: Businesses today are hungry for growth sources to meet their financial and business objectives. A slowdown in world economies and the maturity of globalization has left businesses searching far and wide for new sources of growth. As a result, more and more executives are looking to growth areas like multicultural as a core tenant of their growth strategy.
Download our PDF, Hidden in Plain Sight : Growth Through Multicultural Engagement, to learn more.