Market Opportunity: Helping the LGBT Community Prepare For Tomorrow
By OneAmerica - October 11, 2019
October 11 is National Coming Out Day, where members of the LGBTQ community are encouraged to live their lives as their true selves. However, The LGBTQ community is often under-served in terms of healthcare, insurance and financial services. This Market Opportunity to can help explain the fact that regardless of sexual orientation, American couples have similar concerns about their finances and their future.
The buying power of lesbian, gay, bisexual and transgender (LGBT) adults has reached $917 billion, reflecting tremendous economic impact. And households run by same-sex couples tend to have a higher income and higher education level than opposite-sex couples, according to the U.S. Census Bureau.
More disposable income
Many same-sex couples — along with a large number of opposite-sex households — have two incomes and no children, which tends to afford them more disposable income than the average household. Overall, more women in their mid-40s have never had children than at any other point in the last 20 years. Among all LGBT adults in particular, 75 percent live in two-income households with no children.How does this impact their wealth and future prospects?
Alleviating real concerns
Regardless of sexual orientation, U.S. couples have similar concerns about their finances and the future. Same-sex married couples are entitled to the same spousal benefits as opposite-sex spouses, presenting a major opportunity to prepare for the future and protect the ones they love. At the same time, agents of the OneAmerica companies have a significant opportunity to reach and serve LGBT couples and families.
Engaging your audience
As with any diverse group of people, we shouldn’t assume all members of the LGBT community share a single set of beliefs and values. In the same way you reach targeted customer groups today — e.g., high net worth retiring professionals — you can do the same within the LGBT market. Consider these smart yet simple practices when you engage with a new market.
Who do you want to reach?
Do you have solutions for aging LGBT adults who need long-term care solutions? Single LGBT parents who need help with estate preservation planning? Be specific before you begin. By tailoring your message to a particular audience or regarding a particular cause or issue (like life insurance or long-term care), you can reach individuals who may have felt overlooked in the past. Be sure to use language that is more inclusive and consistent with today’s environment.
How do you stand out?
Due to growing awareness of the LGBT community’s strength and economic impact more financial professionals, lawyers and advisors are specifically looking to reach this market. Be clear in your competitive strengths so you can articulate them to prospective clients. When you articulate your professional strengths, potential clients will understand how you can help them specifically. In addition, promoting a non-judgmental atmosphere will go a long way in easing any concerns or fears before your first meeting ever begins. Make sure people in your office are aware of your outreach to this community so that they can respond appropriately to any inquires.
Where to begin?
A good place to start is your nearest LGBT Chamber of Commerce or a professional or social networking organization geared toward the LGBT community. The LGBT Chamber of Commerce works to foster economic growth for LGBT community. By providing educational, networking and community-building events, the organization promotes fairness, equality and equal access to financial service opportunities. Schedule open informational sessions geared at the LGBT community, identify yourself as an ally and begin building your customer base. You can promote these in your local paper or alternative newsweekly.
What’s your plan?
What’s your plan? Develop a step-by-step marketing plan for making contacts, placing ads, sending communications, making calls, having conversations, scheduling presentations, following through and tracking results. Remember, sales are built on relationships. Focus on the unique individual and his or her needs, and offer up yourself as a helpful problem-solver.
A national leader in the insurance and financial services marketplace for 140 years, the companies of OneAmerica help customers build and protect their financial futures.OneAmerica offers a variety of products and services to serve the financial needs of their policyholders and customers. These products include retirement plan products and recordkeeping services, individual life insurance, annuities, asset-based long-term care solutions and employee benefit plan products.Products are issued and underwritten by the companies of OneAmerica and distributed through a nationwide network of employees, agents, brokers and other sources that are committed to providing value to our customers. To learn more about our products, services and the companies of OneAmerica, visit OneAmerica.com/companies
NAIFA’s Limited & Extended Care Planning Center is from the collaboration of NAIFA and its sponsors. The site adheres to NAIFA’s anti-proselytizing policy and NAIFA code of ethics to which all members ascribe. To learn more about NAIFA, visit NAIFA National’s website