July 31, 2007
Source: Atlanta Business Chronicle
Georgia is among the top 10 states for total buying power, black buying power and Hispanic buying power, according to the 2007 Minority Buying Power Report released Tuesday by The University of Georgia's Selig Center for Economic Growth.
Selig's report defines buying power as the total personal income of residents that is available, after taxes, for spending on virtually anything they buy. It does not include money borrowed or saved in previous years.
The Selig Center estimates the United States' total buying power will jump 134 percent from $4.3 trillion in 1990 to $10 trillion in 2007, far outstripping inflation. From 1990 to 2007, Georgia's total buying power will rise 176 percent from $101 billion to $278 billion -- this puts Georgia at No. 10 among the states in terms of total buying power. Metro Atlanta's buying power will jump 209.3 percent from $56 billion in 1990 to $173.1 billion in 2007.
National black buying power will rise 166 percent from $318 billion in 1990 to $845 billion in 2007. Selig's study said blacks spend more on phone services, utilities, apparel, footwear and groceries. Also in 2007, the nation's share of total buying power that is black will be 8.4 percent compared with 7.4 percent in 1990.
Georgia blacks' buying power will increase from $16.1 billion in 1990 to $58 billion in 2007, making Georgia the third-largest black market in the nation. In Georgia, blacks now represent 20.8 percent of the market, compared with 16 percent in 1990.
Blacks represent 21.7 percent of the metro Atlanta market, up from 15.5 percent in 1990. Metro blacks' buying power from 1990 to 2007 rose 334.6 percent to $37.6 billion.
National Hispanic buying power will jump 307 percent from $212 billion in 1990 to $862 billion in 2007, the study said. Hispanics spend more money on groceries, phone services, furniture, gasoline, children's clothing and footwear. Hispanics represent 8.6 percent of U.S. buying power.
In Georgia, Hispanic buying power will soar from $1.3 billion in 1990 to $13.6 billion in 2007, making the state the 10th-largest Hispanic market in the United States. Hispanics make up 4.9 percent of the state market now, compared with 1.3 percent in 1990.
Hispanics' buying power in the metro area from 1990 to 2007 skyrocketed almost 1,100 percent to $9.8 billion. The group has 5.7 percent share of the metro market, compared with 1.5 percent in 1990.
National Asian buying power will spike 294 percent from $116 billion in 1990 to $459 billion in 2007. Asians spend more money on food, housing, major appliances, telecom services, education and personal insurance, according to the study. Asians make up 4.6 percent of the U.S. market, compared with 2.7 percent in 1990.
Georgia is home to the country's third-fastest growing Asian consumer market. Asians in the state will see their buying power increase from $1.1 billion in 1990 to $8.1 billion in 2007. The group is now 2.9 percent of the state market, compared with 1.1 percent in 1990.
Asians hold a 3.9 percent share of the Atlanta market, up from 1.4 percent in 1990. Over the past 17 years, the group's buying power in the metro area spiked 755.1 percent to $6.7 billion.