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Gay-friendly businesses growing trend nationally, locally

By Donna Talarico

“We brought the power to pride!” -electrician
“We offer domestic partner benefits to our employees.” -insurance company
“Are you and your partner thinking of moving?” -realtor
“We offer domestic partner financial planning.” -financial planner

These are just a few of the taglines from ads targeting a rapidly growing market: the LGBT (Lesbian, Gay, Bisexual, Transgender) community. John Dawe, executive director of the Rainbow Alliance, says the LGBT community is alive and thriving in the region– and has money to spend. That is, on businesses that are welcoming.

“The gay and lesbian community is the largest ‘minority’ community in the region, and often the most disenfranchised. One bad experience because a salesperson, waiter, receptionist makes a not-so-gay-friendly comment, and it doesn’t take long for the rest of the community to proverbially boycott that establishment,” he said. “On the other hand, when LGBT consumers are clearly supported by business, the reverse is often the case.”

Being gay-friendly is not just a way for companies to be more open to social change, but also a way to cash in. PlanetOut Inc., a media company which publishes several LGBT magazines and websites, explains in its media kit that the gay community has higher spending power and more brand loyalty than their heterosexual counterparts. They cite that gay people are twice as likely to be in management positions, twice as likely to have household income over $250,000 and that gay adults are less likely to be parents (meaning more discretionary income and more leisure time.) Also, PlanetOut states that 94% of gays and lesbians go out of their way to purchases products and services marketed directly toward them.

Advertisers have taken notice to those numbers. The Commercial Closet Association, an organization which educates and influences corporations to understand and respect the LGBT community, says that nearly a third of all Fortune 500 companies have developed marketing and advertising geared toward the gay community. The Gay Financial Network touts IBM, Subaru and American Airlines as some of the top companies reaching out to LGBT consumers. According to the Commercial Closet Association, a quarter of a billion dollars was spent last year advertising 800 brands to the gay market. And, several of those companies feature gay themes in their ads including the Greater Philadelphia Marketing Companies, which features a travel ad with a gay couple, hand-in-hand visiting the Liberty Bell. In fact, one of the hottest submarkets is gay travel, for which San Francisco-based Community Marketing reveals $65 billon was spent last year.

Online travel agencies like Orbitz.com, which offers a Gay Rewards program, are catering to the community with sections dedicated to gay-friendly cruises, resorts and destinations. “Gay-only” travel company RSVP’s website touts that they, “create an atmosphere where differences become insignificant and camaraderie prevails.”

Local travel agents are reaching out, too. Lehigh Valley-based VIP Vacations, Inc. is opening an office in the Wilkes-Barre area this summer. While not exclusively catering the LGBT market, vice president Lailani Augustine says that about two and a half years ago, they began marketing their services to the gay community in what she describes as an effort to bring a level of comfort to those who often feel slighted by the travel industry.

“I was truly inspired by some friends,” she said of gay friends who confided in her their travel concerns. “Unfortunately, many members of the gay and lesbian community turn to the internet [for travel needs] because they don’t feel comfortable talking to an agent. But then who do you turn to when you have a problem? ”

Augustine says that without an agent to fall back on, if there is a transfer issue or a problem with a room, travelers could be stuck. And, if travel agents are judging gay and lesbian travels, that awkwardness could make or break a vacation as an integral part of the problem-free travel experience– an agent — is gone.

“Everybody should have the chance to travel and to travel safely. Everyone should feel comfortable speaking to a travel agent,” she said.

Augustine explained she had a lesbian couple who were at first a bit hesitant, but when she suggested a couple’s massage, the couple realized her openness to help plan a romantic getaway.

“I called the resort’s GM to make sure they would not be judged in any way at the spa,” said Augustine. “We do that leg work for our clients to make sure. It’s a trust exchange between an agent and the gay community. You want to give them that level of comfort, and that openness.”

As a travel wholesaler, her company can make sure all vendors and destinations booked for her LGBT clients are indeed friendly to the community. She names Boston and Vermont as hot destinations in the United States, Curacal in the Caribbean and overseas its Amsterdam, Iceland and Spain.

Augustine says VIP has sponsored Pride events in the Lehigh Valley area and has advertised in publications targeting the LGBT community. In fact, many local business are trying to attract LGBT customers through such mediums. The Rainbow Journal, released by the Rainbow Alliance, attracts advertisers like Barnes and Noble, The Tudor Book Shoppe, Marquiw Art and Frames, Saturn of Wyoming Valley and Wilkes University.

“The Rainbow Alliance competes for advertising dollars in a fairly saturated market. Those who have advertised have seen varied success from very limited to 300 to 400% returns,” said Dawe.

Also, the Rainbow Alliance, along with a similar organization in the Lehigh Valley, in 2005 published a 64-page Pride Guide highlighting gay-friendly businesses in Eastern PA. The publication explains to readers in a statement: “Saying yes to our request for advertising is a tribute to their respect for our community and organizations.”

Additionally, as a fundraiser members of the LGBT community can purchase the Pride Pass, a discount card offering savings at places like the Woodlands, Gelpia’z, Outrageous and Uno Chicago Grill. Uno has also played host to many Rainbow Alliance meetings.

Dawe says a gay-friendly business can be defined many ways.

“The Rainbow Alliance can identify them through self-identification, meaning they come to us or ask us for information….Two, consumer-identified. An LGBT person or couple refers us to contact them to join our directory. Three, marketing to LGBT. Those companies with specific marketing campaigns targeting LGBT consumers or, four, LGBT owned or managed,” he said.

But what about offending people who aren’t approving of gay rights? Dawe explains that in some cases this could occur.

“There have been some cases of this, but none that we are aware of locally. The businesses ask themselves, ‘Would we rather lose one or two anti-gay customers, or gain hundreds of gay and gay-supportive ones?’” said Dawe.

He adds that some types of gay-friendly businesses in demand locally are healthcare, financial services, legal services and communities of faith.

Posted by Rainbow Alliance on Mon (1/29/07) in Rainbow Alliance News

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