Targeting Consumer Segments Based on Sexual Orientation: Can Advertisers Swing Both Ways?

Many marketers have begun to refer to the gay and lesbian consumer market as a “dream market,” attracted by promises of above-average disposable income and a willingness to spend. A study by Overlooked Opinions, a gay-focused market-research firm, estimates that the gay market consists of 18.5 million people with total annual income of $514 billion (Johnson, 1993). More conservative estimates, such as those of Nile Merton, publisher of The Advocate, put the number of gay and lesbian consumers in the United States at 5 million (Johnson, 1993), and gays’ and lesbians’ annual spending estimated at $450 billion (Garden, 2001).