Singer and entrepreneur Rihanna saw an opening to create a brand centered on Black consumers’ needs. Just 15 months after her launch of Fenty Beauty, which offers 50 shades of foundation, the company was valued at $3 billion.
That’s just one example of the success companies can find when they better meet the needs of Black consumers.
A McKinsey analysis suggests that Black consumers are willing to shift approximately $260 billion—about 30 percent of their current aggregate spending—to companies that can better deliver what they actually want, write Michael Chui, Brian Gregg, Sajal Kohli, and Shelley Stewart.
In a four-part series, we dive into the critical gaps Black Americans face in their roles as entrepreneurs, workers, consumers, and residents. In this third collection, we look at how organizations can meet Black consumers’ needs, earn their trust and loyalty, and unleash economic value for historically marginalized communities. Be sure to bookmark this page for more insights from the McKinsey Institute for Black Economic Mobility throughout #BlackHistoryMonth.