For the past five decades, multicultural women have been driving forces in business and entrepreneurship. The United States Census Bureau only started including questions about women’s business ownership in 1972, when around 400,000 businesses were counted as having a female owner.
Throughout these years, a revolution has been brewing in all sectors of the U.S. economy. Multicultural women, in particular, have subverted gender norms and taken a more active role in managerial positions. This is something marketing firms need to understand.
They do it all.
Given the changes in gender power dynamics in the economy, more women than ever are key decision-makers. However, B2B (business-to-business) marketers are often unable or unwilling to recognize and speak to female consumers and corporate clients.
With multicultural women in business, the gap between what marketers think and what businesswomen want and need is even broader. The idea of white men in suits running the economy single handedly is still engrained in some sectors. It is a misconception that is both discriminatory and a terrible business strategy that isolates fundamental stakeholders in the U.S. economy.
Women are a growing force in the entrepreneurial and business sectors, and multicultural women are a vital segment.
According to NAWBO (The National Association of Women Business Owners), over 11.6 million firms are owned by women, which employ over 9 million people and generate $1.7 trillion a year. These figures speak of the critical role that female entrepreneurs play in the economy. Not listening to this key sector is risky regarding potential lost revenue and ill will against the brand.
When it comes to multicultural women, NAWBO’s figures are even more startling. According to their data, “5.4 million firms are majority-owned by women of color in the U.S.” These multicultural businesses employ 2.1 million people and have annual revenue of $361 billion. These firms range from small shops to service providers to multimillion-dollar companies.
A worldwide study by PWC also revealed that women are more successful in crowdfunding than men. Crowdfunding is an essential practice in entrepreneurial culture in which a project or venture is funded by small contributions from a large number of people, typically through digital platforms. Overall campaigns led by women were 32% more successful at reaching their funding target than those led by men across a wide range of sectors, geography, and cultures. This success was despite women being 26% less backed than their counterparts.