CMI’s&4 Surveyon& LGBTBusiness &Commerce& · CMI’s&4thSurveyon& LGBTBusiness &Commerce& Research&Updates&& June2014! En#re&contents&©&Community&Marke#ng,&Inc.&Use&or&distribu#on&by&permission&only.&

CMI’s 4th Survey on LGBT Business & Commerce

Research Updates June 2014

En#re contents © Community Marke#ng, Inc. Use or distribu#on by permission only.

Community MarkeDng & Insights in partnership with NaDonal Gay & Lesbian Chamber of Commerce (NGLCC)

Community MarkeDng, Inc. is an NGLCC CerDfied LGBT Owned Business Enterprise.

2

CMI-‐NGLCC 4th Survey on LGBT Business & Commerce Overview Report | 4th Edi#on

ABOUT US OVER 20 YEARS OF LGBT INSIGHTS

›  Community Marke#ng & Insights (CMI) has been conduc#ng LGBT consumer research for over 20 years. Our prac#ce includes online surveys, telephone interviews, intercepts, focus groups (on-‐site and online), and advisory boards in North America and Europe. Industry leaders around the world depend on CMI’s research and analysis as a basis for feasibility evalua#ons, posi#oning, economic impact, crea#ve tes#ng, informed forecas#ng, measurable marke#ng planning and assessment of return on investment.

›  Key findings have been published in the New York Times, Washington Post, Chicago Tribune, Los Angeles Times, Wall Street Journal, Forbes, USA Today, Chicago Tribune, Miami Herald, CBS News, NPR, Associated Press and many other interna#onal, na#onal and regional media.

›  CMI’s research clients include leaders from a wide range of industries. In the past few years, studies have been produced for these and many other clients: Pruden#al, Wells Fargo Bank, Aetna, Target Brands, Johnson & Johnson, WNBA, Esurance, Absolut Vodka, Travel Philadelphia, Fort Lauderdale, NYC & Co., Hya], Tourism Toronto, Tourism Office of Spain, Hawaiian Airlines, United States Census Bureau, American Cancer Society, Kaiser Family Founda#on and numerous other corpora#ons and organiza#ons across North America and around the world.

3


CMI produces custom LGBT research projects every year for brands like…

4


Who Did We Survey? What Was the Methodology?

CMI screened our proprietary LGBT panel members seeking par#cipants who either owned their business, or are employed by a company and had decision-‐making authority for purchasing on behalf of the employer.

Panelists mee#ng these criteria completed the online survey:

•  LGBT business owners N=426

•  LGBT employees with decision-‐making authority for purchasing on behalf of the employer N=832

›  completed the survey. This report focuses on U.S. data for LGBT Business Owners and LGBT Employee Decisions Makers.

›  Importantly, our sample reflects the readership/membership of this broad range of LGBT focused media outlets, organiza#ons and events. This means that the results summarized here are highly representa#ve of LGBTs interac#ng with LGBT media and organiza#ons in the United States.

›  10 minute online survey conducted in June 2014.

›  Respondents were entered into a drawing for one of five $100 prizes (in cash, or donated to the charity of their choice) in recogni#on of their #me to par#cipate in the study.

RESEARCH DESIGN OVER 20 YEARS OF LGBT INSIGHTS

Part 1: LGBT Business Owners

6


LGBT Business Owners Panel • N=426

IDENTIFIES AS…

Gay and Bisexual Men

Lesbians and Bisexual Women

71% 25%

Total exceeds 100% as respondents were able to check mul8ple iden88es.

Transgender 2% Queer 4% Other 1%

Base: Total Business Owners n=426

INCOME

6% 15%

11% 12%

16% 16% 15%

9%

Under 25K 25K-‐49.9K 50K-‐74.9K 75K-‐99.9K

100K-‐149.9K 150K-‐249.9K

250K+ Prefer not to

AGE

PRIMARY BUSINESS (2% of higher)

0.5% 6% 15%

32%

34%

12%

65+ 55-‐64 45-‐54 35-‐44 25-‐34 18-‐24

Arts / Design / Crea#ve 16% Consul#ng 12% Real Estate 8%

Healthcare / Hospital / Medical 7% Adver#sing / Marke#ng / Public Rela#ons 6%

Retail 6% Informa#on Technology 4%

Finance / Banking / Insurance 3% Hospitality / Tourism / Travel Services 3%

Educa#on and Training 3% Legal 3%

Human Resources 2% Construc#on / Trade / Skilled Labor 2%

Food Services / Restaurants 2% Sonware / Database / Programming 2%

7



68%

›  Small business / consultant ›  0 to 2 employees ›  Primary source of income

›  Small business owner ›  3+ employees ›  Primary source of income

›  Primary income is from another full or part-‐#me job

›  This is a side business for addi#onal income

›  Not currently employed

›  This is a side business for addi#onal income

EMPLOYEES ANNUAL REVENUE

Under $500,000 79% $500,000 to $1 million 8% $1-‐2.4 million 7% $2.5-‐4.9 million 3% $5 million + 4%

No Employees 51% 1-‐5 33% 6-‐10 7% 11-‐20 6% 21+ 3%

21% 9%

9% of LGBT owned businesses have 10 or more employees, which is comparable to the percentage for all US employers and similar to the 2013 study. Of note, since last year’s update, there was a considerable drop in the number of business owners by necessity, presumably because these people went back to work with employers.

LGBT Business Owners

8



General popula#on customers

Small businesses

LGBT consumers

Medium-‐sized businesses

Large corpora#ons

Federal government

State government

Local government

58%

39% 33% 29% 25%

7% 7% 7%

A surprisingly high number of LGBT-‐owned businesses (33%) view LGBT consumers as their primary customer base, with the remaining selling to the general populaDon, other businesses and government.

Primary Customers of LGBT-‐owned Business Who are the primary customers of your business (i.e. sources of revenue for your

business)? Mark all that you consider significant to the business.


9


In a sentence or two… Are there any LGBT-‐specific reasons that you decided to become a business owner?

Base: Total Business Owners n=238; LGBT Reasons for Star8ng a Business n=71

70%

30% Yes

No

To provide a product or service to the LGBT community 48%

To avoid discrimina#on or create a workplace where LGBTs are welcome and policies are

LGBT-‐inclusive 38%

Other 14%

30% of LGBT business owners had some “LGBT reason” for their formaDon, mostly to serve LGBT clients and/or because of perceived discriminaDon in the workplace.


10


How would you describe your current personal financial situa#on? (Select all that apply to you)

36% of LGBT business owners feel confident about their economic futures, while about 20% are struggling. Less than half feel more neutral about their financial situaDon.

Base: Business Owners n=426

I am confident in my economic future 36%

My financial situaDon improved over last year 32%

I’m doing alright financially but just breaking even 25%

I’m holding my own financially and saving money 24%

Right now I’m doing great financially 18%

It is a struggle to make financial ends meet 16%

I’m falling behind financially and going into debt 4%

My financial situaDon is a disaster 3%


11


How concerned are you about the following financial issues affec#ng the financial life of your business? (If not applicable, check not concerned)

The three biggest concerns for LGBT business owners are high cost of health insurance, government taxes and fees, and entering into another recession.


(1) Not Concerned (2-‐3) Somewhat Concerned (4-‐5) Very Concerned

High cost of health insurance

High business taxes and fees

High personal taxes

Another recession

Raising interest rates

High cost of business rental space

Large deficit in my country

High cost of maintaining employees My business taking on too much

debt Lack of qualified employees

My business going bankrupt

14%

13%

11%

14%

17%

34%

23%

40%

38%

43%

41%

35%

38%

43%

44%

52%

38%

50%

36%

38%

40%

42%

51%

49%

46%

42%

31%

28%

27%

24%

23%

17%

17%


12


How concerned are you about the following financial issues affec#ng your own personal financial life? (If not applicable to your life, check not concerned)

When LGBT business owners are asked about how these issues affect their personal financial life, the same three issues are top-‐of-‐mind.




High taxes

Another recession


Too much personal debt

High cost of purchasing a home

Large deficit

Becoming unemployed

Mortgage too high

Too many student loans

31%

31%

32%

40%

54%

57%

55%

70%

71%

82%

18%

24%

23%

26%

18%

16%

22%

13%

16%

7%

51%

45%

45%

34%

29%

27%

23%

18%

13%

11%


13


On a 5-‐point scale, which of the following poliDcal and social issues are you most concerned about? (If not applicable to your life, check not concerned)

When LGBT business owners were asked about poliDcal and social issues, affordable healthcare and LGBT discriminaDon were most pressing. Government regulaDon was of least concern.



Affordable Healthcare

LGBTQ discriminaDon

Marriage Equality

Foreign wars or military conflicts

Poverty

Racial discriminaDon

High taxes

Unemployment

InflaDon

Street / neighborhood violence

Government regulaDon

8%

7%

14%

17%

21%

21%

24%

28%

34%

34%

37%

18%

20%

17%

25%

26%

25%

27%

28%

28%

29%

28%

74%

73%

69%

58%

53%

53%

49%

44%

39%

37%

34%


14


45% LGBT employers with 1 or more

employees provide health Insurance

88% LGBT employers with 11 or more

employees provide health Insurance

Of those LGBT-‐owned businesses with at least one employee, 45% provide health insurance to their employees. That percentage nearly doubles to 88% for LGBT employers with 11 or more employees.

Base: Total Business Owners with Employees n=185

63%

49%

22%

12%

6%

Health insurance provided to full-‐#me employees

Pay 100% of health insurance premium for full-‐#me employees

Pay 51% or more of health insurance premium for employees

Pay 50% or less of health insurance premium for employees

Health insurance provided to part-‐#me employees

Employee Coverage and Benefits Do you provide health insurance to any of your employees?

What best describes your health insurance benefits? (Check all that apply)


15


50% of LGBT-‐owned businesses did not know

that major corpora#ons are looking to buy products

and services from cer#fied LGBT-‐owned companies.

How likely is your business to seek cer#fica#on as an LGBT-‐Owned Business Enterprise, knowing that major corpora#ons are interested in buying products and services from LGBT-‐owned companies?


Half of LGBT business owners did not know that major corporaDons are looking to buy products and services from cerDfied LGBT-‐owned businesses. About two thirds of the LGBT business owners are not likely to seek cerDficaDon, or need more informaDon about the program. The biggest concerns from these business owners are a lack of specific informaDon and concerns about costs.

21% Already NGLCC-‐CerDfied

8% Very Likely •  Currently looking into NGLCC cer#fica#on •  New business or start-‐up and will likely look into it

for the future to help expand client base

35% Need More Informa#on to Decide

•  Haven’t heard of it previously •  Concerned about value of cer#fica#on-‐ROI •  Not sure of benefits for sole proprietors •  How does the NGLCC cer#fica#on compare or

work with other cer#fica#ons a business may have (personal training cer#ficates, cer#fied organic foods, etc.)?

•  Need to know the cost and #me to become cer#fied

36% Not Likely

•  Not relevant to the business type (industry or company type-‐consultant)

•  Concerned about cost and process of cer#fica#on

16


Is your business a member of a local or regional LGBT Chamber of Commerce or LGBT Business Associa#on?

Yes 32%

No, not current member but have been a member in the past 11%

No, never a member 56%

Not Sure 1%


43% of LGBT-‐small businesses indicated that they are or have been members of their regional LGBT Chamber of Commerce or LGBT Business AssociaDon.


17


Exports

Yes 21%

Would your company be interested in exporDng if you had the right assistance?

(Among those who currently do not export)

77%

23% Yes

No

Would your company be interes#ng in par#cipa#ng in NGLCC-‐led trade missions to find importers, partners, and customers for your product or service in other countries?

(Among those who currently do not export)

14%

25%

61%

Yes

Not sure, need more informaDon

No


21% of LGBT-‐owned businesses indicated that they work with customers outside of the United States. 23% of those that do not export are interested in learning more about exporDng.

Has your company ever exported its product or service outside of the United States?


18


Would you be interested in contracDng with the Federal Government if you had the right

knowledge of how to do so?

Would you be interested in apending the NGLCC Policy and Procurement Forum on November 20-‐21 in Washington, DC?

Are you familiar with the Federal GSA Schedule for becoming a federal contractor?

41%

54%

6%

16%

25%

59%

25%

75%

Yes

No

My company already has a contract with the Federal Government

Yes

Not sure, need more informa#on

No

Yes

No



Doing Business with the Federal Government

Part 2: LGBT Employee Decision-‐Makers

20


Base: Decision-‐Makers n=832

AGE

Gay and Bisexual Men

Lesbians and Bisexual Women

78% 19%

Total exceeds 100% as respondents were able to check mul8ple iden88es.

Transgender 1% Queer 8% Other 1%

INCOME

1% 21%

22%

33%

19% 4%

65+ 55-‐64 45-‐54 35-‐44 25-‐34 18-‐24

2% 13%

16% 16%

22% 18%

9% 5%

Under 25K 25K-‐49.9K 50K-‐74.9K 75K-‐99.9K

100K-‐149.9K 150K-‐249.9K

250K+ Prefer not to

PRIMARY BUSINESS (2% or higher)

Educa#on and Training 17%

Non-‐profit / Human Services 12%

Healthcare / Hospital / Medical 10%

Government / Public Administra#on 7%

Retail 6%

Finance / banking / Insurance 5%

Adver#sing / Marke#ng / Public Rela#ons 4%

Manufacturing 4%

Arts / Design / Crea#ve 4%

Consul#ng 3%

Food Services / Restaurants 3%

Hospitality / Tourism / Travel Services 3%

Legal 3%

Real Estate 3%

Transporta#on 2%

Informa#on technology 2%

Construc#on / Trade / Skilled Labor 2%

IDENTIFIES AS…

LGBT Employee Decision-‐Makers Panel • N=832 Answered yes to the quesDon, In your posiDon at your place of work, do you influence and/or have decision-‐making

authority for purchasing on behalf of the employer?

21


Manager, Senior 18% Manager, Middle 16%

Director 15% Administrator 12%

General Employee / Staff 10% Other 9%

Manager, Junior 6%

Supervisor 4% Assistant / Aide / Clerk 4%

Technician 4% Engineer 2%

Representa#ve 1% Broker 1%

22% 19% 18% 16% 13% 10% 2% 1%

Small business Large corpora#on

Non-‐profit Medium size company

Educa#onal facility

Government Medical Facility

Other

Annual budget under your

control

Base: Decision-‐Makers n=832 (38% of all employed.)

26%

17%

12%

16%

6% 11%

Over $1 million

$500,000 to $999,999

$100,000 to $499,999

$50,000 to $99,999

$10,000 to $49,999

Under $10,000

12% Prefer not to answer

COMPANY TYPE

Current PosiGon

LGBT Employee Decision-‐Makers Profile

22


How would you describe your current personal financial situa#on? (Select all that apply to you)

Base: Decision-‐Makers n=832

I am confident in my economic future 32%

My financial situaDon improved over last year 30%

I’m holding my own financially and saving money 30%

I’m doing alright financially but just breaking even 23%

Right now I’m doing great financially 17%

It is a struggle to make financial ends meet 9%

I’m falling behind financially and going into debt 3%

My financial situaDon is a disaster 1%

Similar to the LGBT business owners, about a third of the LGBT employee decision-‐ makers are confident in their economic futures, while most feel neutral.

LGBT Employee Decision-‐Makers Profile

23


How concerned are you about the following financial issues affecDng your own personal financial life? (If not applicable to your life, check not concerned)

Base: Decision Makers n=832



Another recession

High taxes

Too much personal debt


High cost of purchasing a home

Becoming unemployed

Large deficit

Too many student loans

Mortgage too high

31%

27%

31%

43%

38%

47%

47%

48%

72%

68%

22%

27%

27%

19%

27%

19%

23%

26%

6%

17%

47%

47%

43%

38%

36%

34%

30%

27%

22%

15%

Like the business owners, LGBT employee decision-‐makers are most concerned about health insurance, another recession and high taxes.

LGBT Employee Decision-‐Makers

24


On a 5-‐point scale, which of the following poliDcal and social issues are you most concerned about? (If not applicable to your life, check not concerned)

Base: Decision Makers n=832


LGBTQ discrimina#on

Affordable Healthcare

Marriage Equality

Foreign wars or military conflicts

Racial discrimina#on

Poverty

Unemployment

Street / neighborhood violence

High taxes

Infla#on

Government regula#on

6%

8%

11%

15%

21%

17%

19%

25%

29%

28%

38%

16%

20%

17%

27%

22%

27%

30%

31%

27%

34%

29%

79%

72%

72%

58%

57%

56%

51%

44%

44%

38%

33%

Similar to the business owners, LGBT employee decision-‐makers are most concerned about affordable healthcare and LGBTQ discriminaDon.

LGBT Employee Decisions Makers

25


12% 34% 38% 7% 9%

5% 20% 42% 12% 20%

LGBT-‐friendly Purchasing Priority RaDngs

Base: Decision-‐Makers n=832 (38%)

When purchasing at work, how much of a priority do you make researching LGBT-‐owned and/or LGBT-‐friendly vendors for your company?

Once you have idenDfied LGBT-‐owned and/or LGBT-‐friendly vendors, how much of a priority do you make to purchase products/services from LGBT-‐owned and/or LGBT-‐friendly vendors for your company?

1 -‐ Very High

Priority

2 3 Neutral

4 5 -‐ Very Low

Priority

1 -‐ Very High

Priority

2 3 Neutral

4 5 -‐ Very Low

Priority


About a quarter of the LGBT employee decision-‐makers are acDvely researching LGBT-‐owned and LGBT-‐friendly companies. However, a much higher percentage (45%) of LGBT Employee Decision-‐Makers indicated that they have made it a priority to purchase products/services from LGBT-‐owned and/or LGBT-‐friendly vendors for their company. Presumably, this higher percentage is based on the employee determining if a company is LGBT-‐friendly from the company’s LGBT consumer adverDsing, sponsorship and outreach acDviDes.

26


LGBT Purchasing Priority RaDngs


The study also indicates that greater educaDon and easier access to informaDon could increase the percentages of LGBT employee decision-‐makers who make it a priority to purchase products/services from LGBT-‐owned and/or LGBT-‐friendly vendors. 69% might make it a priority if they had more informaDon.

33%

36%

22%

7%

3%

1 -‐ Extremely likely

2

3-‐ Neutral

4

5 -‐ Extremely unlikely

If you had access to, or were aware of, a resource for finding LGBT-‐owned and LGBT-‐friendly companies, would you use it when making purchasing decisions at work? (i.e. equal employment policies including LGBT, provides equal benefits to same-‐

sex couples, etc.)

27


For the purchases you personally control, what products and services has your company done business with and/or sourced from LGBT-‐owned or LGBT-‐friendly vendors in the past year?

Slide 1 of 2


24%

21%

20%

16%

16%

15%

14%

13%

12%

12%

12%

11%

10%

10%

10%

3%

6%

3%

6%

4%

6%

4%

9%

5%

9%

4%

4%

8%

6%

8%

Hotels

Airline

Event planning/catering

Adver#sing

Travel -‐ Individual

Banking

Graphic design

Computers

Legal services

Office supplies

Photography

Travel – Agency

Accoun#ng / Tax services

Insurance – Health / Benefits

IT Services / Sonware

Sourced from LGBT or LGBT-‐friendly Company

Tried, but could not find LGBT-‐friendly op#on


28


For the purchases you personally control, what products and services has your company done business with and/or sourced from LGBT-‐owned or LGBT-‐friendly vendors in the past year?

Slide 2 of 2


Sourced from LGBT or LGBT-‐friendly Company

Tried, but could not find LGBT-‐friendly op#on

9%

9%

8%

8%

7%

7%

7%

6%

6%

6%

5%

5%

5%

3%

5%

6%

6%

4%

8%

6%

5%

6%

6%

7%

6%

6%

6%

7%

Marke#ng consul#ng

Promo#onal products

Insurance Agent

Interior design

Employment or temp services

Insurance – Life

Real estate / lease / rentals

Insurance – Property Casualty

Shipping / Logis#cs

Telecommunica#ons

HR consul#ng

Landscaping

Re#rement fund

Janitorial services


LGBT Community Survey is a trademark of Community Marke8ng, Inc. En8re contents © Community Marke8ng, Inc. Use or distribu8on by permission only.

CMI’s 8th Annual LGBT Community Survey®

2014

30

8th Annual LGBT Community Survey®

Key Findings from the LGBT Community Survey

Select QuesDons 8th Annual LGBT Community Survey®

31


12%

12%

10%

9%

7%

6%

6%

6%

5%

5%

5%

4%

Over the past 12 months, which companies or brands have you made a conscious decision to purchase from because of their pro-‐LGBT policies or pracDces? Write up to 3. (if none, leave blank)

Top 12

14%

14%

12%

11%

6%

5%

4%

4%

3%

3%

3%

3% Bases: Gay and Bisexual Men n=2,624; Lesbians and Bisexual Women n=1,018

Among Lesbians / Bi Women Among Gay / Bi Men

*

*

MoDvaDon to Purchase: Pro-‐LGBT policies mo#vate the LGBT community to purchase products from many brands.

*Nabisco includes Oreo and Honey Maid. Amazon includes Kindle.

* *

32


28%

27%

13%

12%

11%

10%

6%

6%

6%

5%

5%

5% Bases: Gay and Bisexual Men n=4,110; Lesbians and Bisexual Women n=1,670

20%

17%

12%

10%

8%

7%

7%

7%

6%

6%

6%

6%

Gay / Bi Men Lesbians / Bi

*

*

*

*

*Nabisco includes Oreo and Honey Maid. General Mills includes Cheerios. Gap includes Gap, Old Navy and Banana Republic Amazon includes Kindle

*

*

In the past 12 months, which major corpora#ons have you no#ced including LGBT imagery or messages in their general market adverDsing or communicaDons, such as in mainstream media, TV, etc.? (List up to five corpora#ons)

Top 12

LGBT Inclusion in General Market AdverDsing or CommunicaDon: As a write in ques#on, these brands were top-‐of-‐mind to the LGBT community over the past year due to their LGBT-‐inclusive general market adver#sing and outreach efforts.

33


Do you have children under the age of 18?

18-‐29 30-‐44 45-‐59

Yes 1% 8% 7%

18-‐29 30-‐44 45-‐59

Yes 3% 27% 15%

Gay / Bi Men

Lesbians / Bi

Bases: Lesbians /Bi Women: 18-‐29 n=1,030; 30-‐44 n=1,029; 45-‐59 n=4,941; Gay / Bi Men: 18-‐29 n=973; 30-‐44 n=2,208; 45-‐59 n=4,037

LGBT Baby Boom: More and more same-‐sex couples are having children. However, the concentra#on is especially high among lesbians age 30-‐44.

34


What type of environment best describes the place in which you live?

Bases: Gay and Bisexual Men n=9,376; Lesbians and Bisexual Women n=3,513; Urban Gay / Bi Men n=3,704 (40%); Urban Lesbians / Bi Women n=1,107 (32%)

40%

23%

13%

17%

6%

2%

32%

26%

15%

20%

7%

1%

Urban / big city

Medium sized city

Small city / small town

Suburb

Rural area

Resort community

You said that you live in an urban area / big city. Do you have a desire to move out of the urban center to the suburbs or a rural community?

Gay / Bi Men

Lesbians / Bi Women

Gay / Bi Men Lesbians / Bi

Yes 13% 16% No 73% 63%

Not Sure 14% 21%

Where LGBTs Live: More and more, LGBTs are living in all types of communi#es big and small. Gay men are more likely to live in big ci#es, while lesbians are more likely to live in medium / smaller ci#es and the suburbs. Some LGBTs living in big ci#es are considering a move to the suburbs. Wells Fargo must include outreach to many types of communi#es to capture the majority of LGBTs.

35


In the past 7 days, have you read, viewed, or listened to...? (Please select all that apply.)

Bases: All LGBT: 18-‐34 n=3,371; 35-‐44 n=2,244; 45-‐64 n=6,403

LGBTs 18-‐34

LGBTs 35-‐44

LGBTs 45-‐64

LGBT websites / blogs 74% 63% 56% Streaming video (TV or movies) on your computer 64% 50% 35%

Mainstream websites / blogs 62% 57% 51% Network / cable television 50% 60% 64%

Mainstream radio 41% 42% 40% Mainstream general newspapers 38% 43% 51%

LGBT publica#on(s) for my city or region 36% 45% 45% LGBT email newsle]ers 35% 38% 38% Mainstream magazines 28% 38% 39%

LGBT mobile apps (Grindr, GayCi#es, etc.) 27% 29% 19% LGBT-‐dedicated TV programming (i.e. on Logo and/or other networks) 25% 25% 20%

Alterna#ve newspapers 23% 24% 26% LGBT na#onal magazine(s) 22% 32% 32%

Mainstream email newsle]ers 21% 23% 23% Podcasts 21% 16% 10%

Satellite radio 13% 24% 24% LGBT radio (on the air or streaming online) 7% 11% 10%

None of the above 3% 3% 4%

Media ConsumpDon: LGBTs, especially those under age 35, are engaged with websites and blogs dedicated to the LGBT community. Older LGBTs are far more engaged with the LGBT print media than younger LGBTs. Streaming video has become very popular with young LGBTs.

36


In the past 7 days have you...? (Please select all that apply.)

Bases: All LGBT: 18-‐34 n=2,691; 35-‐44 n=1,816; 45-‐64 n=4,941

LGBTs 18-‐34

LGBTs 35-‐44

LGBTs 45-‐64

"Liked" a business on Facebook 57% 62% 50%

Used social media to voice a posi#ve experience with a brand or product 41% 39% 31%

Clicked on a Facebook ad 40% 43% 43%

Clicked on a website banner ad 36% 32% 37%

Used social media to voice a nega#ve experience with a brand or product 30% 28% 21%

Clicked on a mobile app ad 25% 26% 23%

"Checked-‐in" at a business to get deals / discounts 24% 32% 34%

Forwarded an adver#sement to a friend 22% 23% 20%

Shared or retweeted a commercial ad or announcement 19% 17% 12%

Purchased a deal from Groupon, Living Social, etc. 18% 20% 15%

Tweeted during a television show using a recommended #hashtag 16% 12% 5%

Tuned into a television show aner seeing related tweets 15% 11% 6%

Scanned a QR "tag" with your smartphone 13% 19% 14%

Social Media Engagement: LGBTs, especially those 35-‐44, are very engaged with Facebook. About a third of LGBTs are engaged in social media marke#ng op#ons beyond Facebook. Strong engagement with social media is common for LGBTs of all ages.

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THANK YOU!

For more informaDon: Thomas Roth, President David Paisley, Senior Research Director 584 Castro St. #834 San Francisco, CA 94114 Tel +1 415/437-‐3800 Fax +1 415/552-‐5104 david@CommunityMarke#ngInc.com www.CommunityMarke#ngInc.com Community Marke8ng, Inc. is an NGLCC Cer8fied LGBT Owned Business Enterprise.

Community Marketing, Inc., 584 Castro St. #834, San Francisco CA 94114 USA • +1 415/437-3800 • www.CommunityMarketingInc.com

The LGBT community is dynamic and diverse, reflecting the spectrum of the general population: From young to old, ethnicities, gender identities, relationship status, income, etc. Narrow marketing strategies viewed LGBT as one community, one market. However, with the sophistication of LGBT consumer research today, market leaders can identify the “segments” of the LGBT community best matched to their products and services. With our representative panel of over 70,000 LGBTs who actively engage with LGBT media, events and organizations, Community Marketing & Insights can identify and deliver the best-matched panel for your research initiative and marketing goals. Community Marketing, Inc. (CMI) is an NGLCC-Certified LGBT-Owned Business Enterprise. We’ve been helping a wide variety of industry leaders master the subtleties of this market since 1992. Our unique and specialized services are based on 20+ years of experience and industry leading case studies, and include market research (online surveys, focus groups, intercepts, interviews, advisory boards, etc.), strategic consulting and corporate training. Whether your organization is just learning about the market, or is updating its strategy, Community Marketing & Insights can accelerate your plans, reduce your risks and deliver measurable results. CMI’s proven, powerful portfolio of services helps deliver your targeted markets. Community Marketing & Insights has earned its position as the global leader in LGBT market research and development. Through the company’s tireless efforts, “doors have opened” around the world for the spectrum of LGBT consumers. We have helped grow LGBT market recognition through research, media relations and education; and have brought opportunities to many of the world’s leading marketers. Community Marketing & Insights projects include these and many other market leaders: • ABSOLUT Vodka (Pernod Ricard) • Aetna Insurance • American Cancer Society • Chicago History Museum • Credit Suisse • E. & J. Gallo Winery • Esurance (an Allstate Company) • Gilead Pharmaceuticals • Hawaiian Airlines • Hyatt Hotels & Resorts • Japan National Tourism Organization • Kaiser Family Foundation • Kimpton Hotels & Restaurants • Las Vegas CVA • Merz Radiesse • MetLife • MillerCoors Brewing Company • NYC & Co. • OraSure Technologies • Prudential Financial • Tourism Office of Spain • Target Brands • U.S. Government: Census Bureau and HUD (Housing & Urban Development) • Wells Fargo Bank And many more…

LGBT Market Research:There is a difference!

Market research studies and resulting statistics are meant to help marketers understand the LGBTcommunities, and influence educated decisions about their strategies and tactics. However, not allresearch is the same. Community Marketing & Insights methodologies and experience are distinct fromthose of others when considering approaches, respondent panels—and ultimately—the validity andutility of sought-after results.

WHO ARE YOU TALKING TO?Community Marketing & Insights (CMI) has developed our proprietary consumer panel over the past 20+ years by cir-

culating field surveys at leading LGBT events, and by partnering with LGBT organizations and media across the USA,Canada, the UK, and around the world. These partners distribute our survey invitations via print ads, web banners, emailbroadcasts and social networks to their memberships and/or readers. The resulting panels are highly representative ofLGBT consumers who interact with the LGBT community and media. This is important: If your communications channelsare via the LGBT media, you’ll want to depend on research that represents these consumers’ interests, preferences, sensi-tivities and motivations. CMI research is trusted by—and frequently quoted in—the New York Times, USA Today, the WallStreet Journal, Forbes, Chicago Tribune, Los Angeles Times, Miami Herald, Ad Week, NPR, CBS News, Associated Press, etc.

Other providers typically send out widely distributed panel invitations (via Yahoo, etc.), and then sort for those who trust theresearcher enough to indicate that they are gay or lesbian in the context of a survey. This approach, attempting to “represent the gaycommunity at large,” may be appropriate for direction in sociological or academic studies, but not for developing clear, representativeadvertising or marketing related strategies. Other researchers use lists from one or two LGBT publishers, which may skew results. Formarketers desiring valid LGBT consumer insights about products, services, advertising creative and marketing strategies, these paneldevelopment approaches are not likely to yield LGBT community members who are interacting with the media where you are placing ads.

IN RESEARCH, SIZE DOES MATTER.CMI has conducted over a hundred LGBT-dedicated research studies since the early ‘90s, covering a wide variety

of topics, industries and interests. Through our work, we both observe and influence the trends of this market. Size doesmatter in the case of research. Our research panel has grown to over 70,000 qualified LGBT consumers, the largest of itskind, by far. Our 6th Annual LGBT Community Survey® study attracted over 45,000 survey participants, representing 148countries, making it the largest such study in history. We leverage our long history/experience/expertise for your benefit,and fine-tune our portfolio of research panels, methodologies and approaches to best match your market intelligence goals.

Without access to this enormous resource of qualified LGBT consumer panelists, other companies have to compromise on thequality and demographic representation of the panel, or “reinvent the wheel” at your expense. One cannot fathom the diversity andcomplexities within LGBT (see below) on a small sample. And with small samples, you loose the opportunity to derive statistically-sig-nificant cross tabs on gender, geographical location, age, income, experience, product choice, etc. Can you really make the assumptionthat a 28 year old lesbian in Seattle has the same purchasing motivations and behaviors as a 67 year old gay man in Atlanta?Generalities and sweeping statements about “the gay market” based on comparatively small samples can distort the results of researchfindings, potentially wasting your investment of time and resources.

DIVERSITY: THERE IS NO “LGBT MARKET”Community Marketing & Insights emphasizes that there is no “gay market,” just as there is no singular “Asian mar-

ket.” The LGBT communities represent a broad and dynamic spectrum of interests, sensitivities, preferences and priorities.Those, plus variations in geographical location, age, income, relationship status, gender identity and more, make it evenmore important to discover which opportunities within LGBTwill help you achieve your goals. Fine tuning your approach-es based on highly refined and well-targeted matches within LGBT will make your outreach initiatives more efficient andcost-effective, and will significantly improve your marketing ROI.

General surveys on “the gay market” are likely to only scratch the surface of the diversity and varieties of opportunities mar-keters can enjoy if properly explored and understood.

continues...

TWO SIDES OF THE COIN: QUANTITATIVE AND QUALITATIVESince 1994, CMI has taken pride in operating the most consistent, longest-running series of LGBT community sur-

veys in the world. But we don’t stop there. Quantitative (data) research is one important side of a coin, but only tells half ofthe story. The other side of a comprehensive research initiative involves qualitative research, most notably derived fromfocus groups. We pre-qualify our focus group participants from among our survey panelists, identifying the best candi-dates based on characteristics such as age, gender, relationship status, geographical location, and even a propensity or his-tory of using the client’s products or services. We maintain sufficient numbers of panelists to conduct groups in most majormetro areas across the USA, Canada, UK, Germany and Australia, as well as many secondary markets. We’ve found thatthe same creative, tested in different regions, often yields substantially differing results. Isn’t it wise to know that—andadjust your plans—before investing in marketing campaigns? CMI is the only LGBT-dedicated research provider that pro-duces and facilitates LGBT focus group studies and other qualitative research options. We have developed and reported onfocus groups covering a wide variety of topics, plus we have operated telephone interviews, field surveys, advisory boardseries and multi-year customer satisfaction survey projects which can round out a comprehensive market intelligence plan.

Producing only online surveys, other research companies are telling half of the story (at best). Without actual consumer inter-action, they cannot fathom the deeper insights hiding behind the bar graphs and pie charts, nor can they adequately advise you on thesensitivities and complexities that are only uncovered in qualitative research... extremely important considerations that averages andextrapolated assumptions based only on survey statistics are likely to miss.

WE DON’T OUTSOURCE!Community Marketing & Insights maintains our own research panels and utilizes advanced, sophisticated research

software. We do all of our research in-house, because nobody knows this market segment as well as we do. We never sellor rep another company’s services, nor will we outsource your project to a 3rd party.

Some firms work as reps of research companies, or outsource clients’ projects, and report on the results of the 3rd party’s work.But without being intimately involved in every aspect of the project, from discussing the client’s goals and designing the study, to build-ing the survey, implementing it and writing the report, and without engaging directly with consumers in focus groups, it is difficultto gain the insights that can only come from CMI’s hands-on LGBT research specialization spanning nearly two decades.

TRUSTEDCommunity Marketing, Inc., founded in 1992, pioneered LGBT consumer research. Because we are LGBT-owned

and -operated and well known in the community, we have earned the recognition and trust of our survey panelists. LGBTconsumers recognize that we use research data to build corporate relationships, which ultimately lead to better conditionsfor LGBT employees, social progress, and sensitive communications.

PROUDLY LGBT-OWNED AND -OPERATEDOne of the questions in HRC’s Corporate Equality Index application is whether the applicant company includes

LGBT-owned suppliers when sourcing products and services. When you contract with Community Marketing, you notonly gain the benefit of our long-standing leadership in this field, you are working with one of the only LGBT-owned mar-ket research providers. Community Marketing, Inc. is an NGLCC Certified LGBT-Owned Business Enterprise.

COMMUNITY CITIZENSHIPCMI is involved in the LGBT community: We volunteer time, donate resources and raise funds for numerous com-

munity-based organizations. We also participate in the community’s leading business and advocacy organizations, eventsand conferences, such as Out & Equal, HRC, National Gay & Lesbian Chamber of Commerce, GLAAD, NCLR,International Gay & Lesbian Travel Association, National Lesbian & Gay Journalists Association, etc. This community con-nection is not only the right thing to do, it is essential for initiating appropriate relationships for our clients.

VALUEYou’d think that with this kind of specialization and experience, you’d be investing considerably more for

Community Marketing & Insights services than for research from other companies. But it is due to our specific focus on LGBTmarket intelligence, and the cumulative 60+ years of dedicated LGBT research among the CMI team, that we can actuallykeep your costs low. We are not spending your money to locate qualified survey or focus group participants, nor are wespending our time (or your money) trying to source comparative data or case studies. We’ve done all that over the past 20years for your benefit. And we are not running a large operation that juggles many accounts and projects of differing scopeand focus. CMI’s client dedication and market specialization delivers you superior intelligence at a fraction of the cost ofother firms.

584 Castro St. #834 • San Francisco, CA 94114 USA • Tel 415/437-3800 • Fax 415/552-5104info@CommunityMarket ingInc.com • www.CommunityMarket ingInc.com

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