Asian-American Market Remains Largely Untapped

Small-business owners who don’t try to reach Asian-Americans are missing out on a chance to deal with the fastest-growing, most educated and most affluent ethnic group in the United States, according to advertising experts who specialize in this area.

“It’s a market up for grabs for businesses run by visionaries,” said Rafael Ungson, creative director for East-West Advertising in San Francisco. Asian Pacific Americans, who represent about 7.3 million people, or 3% of the U.S. population, outnumber blacks in 10 states and Latinos in three states, according to the 1990 census.

California, New York, Hawaii and Texas top the list of states with the most Asian-American residents. Illinois, New Jersey, Washington, Virginia and Florida also experienced an explosion in Asian-American population growth between 1980 and 1990, according to census figures.

“The problem is, nobody wants to be the guinea pig in approaching a new market,” said Len Fong, East-West’s director of client services. “But by being first, you will gain a loyalty that will pay off for years.”

Fong and other advertising executives say too many mainstream companies make the mistake of merely translating or repackaging existing ads to reach Asian-American consumers. In recent years, major advertisers, including Playboy magazine and Coors, have offended Asian consumers, rather than attracted them.

About four years ago, Playboy magazine, famous for its rabbit-eared logo, ran full-page newspaper ads wishing their Chinese-American readers a happy “Year of the Rabbit.” Unfortunately, the Chinese characters were out of order and made no sense.

In 1988, Coors published an ad in the defunct Rice magazine, featuring a nude Polynesian woman draped in the folds of a ceremonial dragon. The ad meant to honor the Chinese Year of the Dragon. Instead, it shocked and offended Rice’s readers.

“Some ads are done in very bad taste, but others happen out of ignorance--like the Playboy ad,” said David Chen, a principal in Muse Cordero Chen, a multi-ethnic advertising agency in Los Angeles.

Instead of trying to translate or subtitle your existing ads to reach Asian buyers, Chen advises business owners, establish a general marketing concept and then figure out which aspects might appeal to Asian consumers. Themes such as family togetherness, security and respect for elders cross many cultural lines.

One of his agency’s most effective Asian marketing campaigns was a public service ad designed to promote Asian participation in the U.S. census.

“We used an abacus, a counting device, and arranged the beads on the abacus to represent an American flag,” Chen said. Although the copy appeared in several languages, the image of the abacus-as-flag remained as the unifying element.

Chen and other advertising executives said American business owners are finally realizing the great, untapped buying power of Asian consumers.

Insurance companies and luxury car dealers were among the first to realize that Asians are concerned with providing security for their families and have money to spend on expensive cars, Chen said.

Suppose you would like to pursue the Asian-American market but don’t have a clue where to start?

If you can afford to hire a specialty advertising agency, the money will be well spent. If you can’t, help is available from the advertising department of the local newspapers, radio or television stations serving the people you want to reach.

If you devise your own sales campaign, it is essential to learn everything you can about the particular group you want to reach.

Even something as minor as choosing the wrong color ink for your ad can be disastrous.

For example, red is a good luck color for the Chinese but signifies bad luck to many Koreans. In Western societies, black is the color of mourning, yet Asians traditionally wear white to funerals because it is the color of sadness.

REACHING THE ASIAN MARKET Learn as much as you can about your potential customer’s traditions and beliefs.

Avoid translating English slogans into foreign languages. Hire someone who knows the language to express your message properly.

Create positive images that are meaningful to the consumers you want to serve.

Sponsor a cultural event or celebration honoring the consumers you want to reach.

Show great respect in your advertising for everyone’s holidays, ceremonies and values.