Now more than ever, people of color are actively looking for ways to become more financially independent and to empower our communities. Entrepreneurs are increasingly utilizing e-commerce to build brands and create niches in the global marketplace.
A routine scroll down your Instagram timeline more than likely reveal a few online businesses that have piqued your interest. At its core, the term e-commerce refers to the purchase and sale of goods and/or services through an electronic channel.
As noted by The Atlantic in 2016, Black buying power was expected to reach $1.2 trillion last year, and it is expected to reach $1.4 trillion by 2020, according to the University of Georgia’s Selig Center for Economic Growth. This combined spending power makes Black America the 15th largest economy in terms of gross domestic product. Sidenote: Gross domestic product is one of the primary indicators used to gauge the health of a country’s economy. It represents the total dollar value of all goods and services produced over a specific period of time. Essentially, it demonstrates the size of the economy. One of the two ways economists measure GDP is by adding up what everyone spent, in our case, economists have measured what Black Americans have spent.
Black millennials no longer need brick and mortar locations. Through e-commerce, entrepreneurs have the unique opportunity to participate in the global marketplace by simply using your smartphone more wisely. The more black millennials commit to entrepreneurship, the more effective our community will be with harnessing the spending power of the black community.