Business

What Salon Owners Need to Know About The Black Pound Report

by chloe / last updated February 15, 2022

Black Pound Report Salon

On 31 January 2022, the Black Pound Report was released and has been heralded as the most comprehensive study and analysis of the UK’s Black, Asian and Multi-Ethnic consumers – could it affect the way you run your salon business? It reveals the economic power of Multi-Ethnic consumers and unveils the challenges they face when engaging with brands and businesses.

The Findings

The UK’s Black, Asian and Multi-Ethnic consumers have a disposable income of up to £4.5bn – but are being overlooked by big brands and British businesses. One in five Multi-Ethnic consumers report they cannot readily buy what they need on their high street, despite being more motivated to buy local whenever they can. Not only is there a missed opportunity to reach this growing audience through your salon, this research highlights the importance of treating all consumers with respect and equality.

Lydia Amoah, founder and CEO of BACKLIGHT, who created and published the Black Pound Report said: “For the first time, this report shows the untapped economic power of the Multi-Ethnic consumer and allows businesses to understand an audience that has rarely been researched in depth.”

Commenting on the findings, Lydia Amoah said: “When there is an audience spending £2.7 billion every year on Health and Beauty products, demonstrating that they want to spend their money with businesses on their high street, why on Earth would brands not want a slice of that pie? The Black Pound Report is helping businesses to understand the value of inclusion in the products they create, stock and market.”

The Facts

Multi-Ethnic consumers are around twice as likely as White consumers to favour and trust brands that are representative of different communities, have considered ethnic diversity in the creation of their products and services and have diverse staff in their stores and across the business as a whole. Salons should understand the motivators of Multi-Ethnic consumers and reflect these to tell their products and services and be truly inclusive, Lydia explains.

If a company or brand impressed them in some way, eight in ten (78%) of Multi-Ethnic consumers would make a point of telling their friends about it compared to 67% of White consumers, while 59% of Black, Asian and Multi-Ethnic people say they are more likely to purchase products from a brand with an inclusive product range. Your salon can not only gain traction, but the respect and loyalty of a diverse clientele by providing the products they want to buy.

The Black Pound Report has been created to evolve and change the way businesses treat their consumers so that everyone is treated with respect and served equally. Edward Enninful OBE, British Vogue’s European editorial director, said: “Congratulations to Lydia and the team behind the Black Pound Report for their work. There has been so much positive movement for Black and Multi-Ethnic consumers in the fashion and beauty sector in recent years, and it is brilliant to see the continued push for change happening in our industry.”

Read here about other ways the industry is tackling lack of diversity.

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