Thursday, February 24, 2011

The Young Urban Consumer: How Hip-Hop Culture Affects the Lifestyle and Buying Decisions of 12- to 34- Year Olds


Hip-hop culture continues to influence the lifestyle and buying decisions of Young Urban Consumers as young as 12 and as old as 34. Thirty seven million Young Urban Consumers live in all parts of the country and have an urban mindset, regardless of whether they live in a city, a suburb or a small town. Young Urban Consumers enjoy an aggregate income of $600 billion, and they love to shop and spend. These trendsetters and influencers who affiliate with hip-hop culture exercise a powerful impact on the direction of the fashion, media, entertainment and other key consumer-focused industries.

Hip-hop is a huge lifestyle segment that stretches from urban areas to suburban areas and involves an active lifestyle. More than half, or 57%, of Urban Youth, age 12 to 34, are white, although the proportion of African Americans and Hispanics who are Young Urban Consumers is greater within their own ethnic segments than is the case for non-Hispanic Whites.

Young Urban Consumers have a more favorable economic profile compared to other consumers their age. They are spenders, not savers -they prefer to enjoy their money now. Core Urban males in particular are consumers who prefer to discover the undiscovered. This group is important to the U.S. economy because the aggregate income of these 37 million young urbanites will grow from $594 billion in 2007 to $684 billion in 2012, much of which will be spent on luxury items. At the core of the trendsetting power of Young Urban Consumers is their ability to influence the consumer choices of their friends. This demographic is among the first to try new things and spend their income on favorite product brands.

Urban Youth shoppers put a high priority on brand loyalty, and brands achieving the greatest success have formed a connection with hip-hop artists. Significant sales can be attributed to products prominently featured in lyrics, spontaneously embraced by the hip-hop world and products that appear to be genuinely used by an artist prior to the relationship.

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