Asian American buying power is projected to be $1.3 trillion by 2022
Asian American consumers are growing faster than the general population in terms of buying power.
According to Nielson’s Asian-Americans: Digital Lives and Growing Influence, Asian American consumers are the fastest growing ethnic group since 2000 in terms of buying power.
In 2017, Asian American buying power reached $986 billion and it is expected to reach $1.3 trillion by 2022.
Nielson’s report believes that Asian American consumers are spending more due to the group embracing new apps, new devices and content creation on new platforms. New technology allows for easier communication between Asia and America, “making Asian-American consumers the true bridge between the East and the West”.
Asian American millennials are adopting different spending patterns to their elders and other races. According to Nielson, “Asian Americans are also capturing the spotlight and becoming influencers as food bloggers, social media personalities, and sports stars.”
Consumers from the Asian American community spent an average of $1,151 on internet purchases in the last 12 months – 20% higher than that of non-Hispanic Whites. Skin care and cosmetics purchases grew 40% and 47% respectively in Asian American communities.
There are 21.8 million Asian Americans, representing 7% of the total US population. The group is also the most affluent and most educated of any US racial and ethnic group with an average household income 0f $110,523. 52% have a bachelor’s degree or higher.