Thursday, September 16, 2010

The Gay and Lesbian Demographic

The visibility of gay and lesbian consumers along with accurate research on their households and economic behavior, have grown dramatically in the past few years. Increased competition among companies for this market has also transformed a cultural trend into solid marketing and partnering opportunities. Without question, the gay and lesbian market offers brand loyalty and a consumer demographic whose value makes this segment too promising to overlook or mishandle. The gay market has more disposable income, and has a propensity for travel. There is a trend toward more diversified travel experiences, and this combined with discretionary income and a greater variety of options, puts the "gay market" in a league of its own.
Based on national population figures, the American gay and lesbian community represents a US $47.3 billion travel market, or about 10% of the U.S. travel industry. But it represents an even larger percentage of the overall travel market in terms of actual gay and lesbian dollars invested in travel.

The CVBs of Miami Beach, Key West, West Hollywood and San Francisco are reaching out to the gay market for groups and conventions. Perhaps this could be expected, but so are Philadelphia, Washington, D.C. and Minneapolis. The British Tourist Authority and the Australia Tourism Commission have participated in the advertising efforts of gay tour operators. The government tourism boards of France, Germany, Holland, Belgium, Canada, Puerto Rico and California exhibit at the International Gay & Lesbian World Travel Expo.

Tourism Québec has stepped forth to sponsor an ongoing "Visit Gay-Friendly Quebec" campaign to increase gay and lesbian arrivals to the province. This comprehensive promotion also involves the sponsorship of Air Canada and VIA Rail, as well as the participation of the tourist offices of Montréal and Québec City.

Why would all of these destinations encourage gay tourism? Because of the economically strong demographic profile of the gay community, but also because these governments want to encourage the rising popularity of their destinations among gay travelers recognizing the potential of increasing gay tourism market share through the implementation of effective promotional efforts. A recent focus group of leading travel agents serving the gay community agreed that the involvement of government tourism entities definitely helps support their sales efforts to reach the gay market, and makes a difference when a client is considering destination options.

When considering whether to market to the gay community, some mainstream tour operators have said "but we don't have a gay tour product..." However, gay and lesbian travel represents every 'shade of gray,' in terms of preference. Indeed, many gay travelers do prefer to travel only in large gay groups, or on gay-chartered cruise ships. Others prefer smaller group travel, identifying a desired destination and class of service first, and then seeking out a group tour operator. But the vast majority is traveling alone or with a partner or friends, looking for a "gay-friendly" environment and gay-friendly carriers, operators and accommodations. This is where mainstream suppliers will identify the greatest opportunity.

Many businesses serving the gay and lesbian market have ongoing community involvement programs. These businesses almost universally report that "being involved" leads to bigger profits and better morale among employees. Ultimately, profit comes from increased business. But business grows through increased customer loyalty and new clients, both of which result from an effective Community Involvement Program.

2 comments:

  1. Hi all,

    The demographics of sexual orientation are difficult to establish for a variety of reasons. One of the major reasons for the difference in statistical findings regarding homosexuality and bisexuality has to do with the nature of the research questions. Several studies of sexual orientation in various countries provide comparative perspectives. Thanks for sharing it.....

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  2. Good point which can be applied to any demographic such as heterosexual, sport fans, cooks, etc.

    ReplyDelete