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  • Writer's pictureSarah Irizarry

What is Multicultural Market Research and Why is it Important?

Multicultural Market Research

How is the US population changing and should companies adapt?

Businesses that want to succeed in today’s market need to understand the importance of multicultural market research. The 2020 US Census reported: “As the US population ages and grows more slowly in coming decades, the United States is projected to continue becoming a more racially and ethnically pluralistic society. The fastest-growing racial or ethnic group in the United States is people who are two or more races, (and is) projected to grow some 200 percent by 2060. The next fastest is the Asian population, which is projected to double, followed by Latinos whose population will nearly double within the next four decades. In contrast, the only group projected to shrink is the non-Latino White population.” By 2030, the Census is projecting that 53% of the population under 18 in the US will be multicultural.

In other words, lacking the multicultural customer perspective and business insights will make brands and companies irrelevant to the new rising consumer base. Conducting multicultural research allows businesses to see things from different perspectives, and discover key needs and insights that will allow them to cater their products/services accordingly. Those who incorporate these insights into their business strategy will reap the benefits, enjoy a competitive advantage, and be more responsive to the needs of their customer base.

Why should we do multicultural market research?

Conducting multicultural research is highly beneficial in today's globalized world. Researching different cultures allows us to understand how to connect with people with different needs, values, and beliefs. Additionally, such research helps promote the ideals of inclusion and respect, enabling an appreciation and celebration of cultural diversity. Multicultural market research can also help increase our knowledge of how societies navigate and resolve conflict, creating opportunities for conflict mitigation strategies within governments, corporations, and communities. From a business perspective, researching multicultural markets can provide insights into what products and services appeal to diverse populations as well as enable companies to effectively engage diverse groups through marketing campaigns. Ultimately, engaging in multicultural market research provides a strong foundation for building bridges between communities and forging positive change within society.

While diverse markets exist and generate massive profits, unfortunately, there is still a lack of dedicated "multicultural market research" that serves to accurately inform key decisions in this area. Because there are typically limited resources allocated to diverse market research, many times there is a deficit of the kind of data needed for marketing directors and executives to make informed decisions about diverse customer segments. Additionally, many market research companies do not have the expertise in recruiting and reaching diverse segments and, even more, sometimes, data and methods may not be structured in a way that provides the most accurate picture of diverse market trends, thus leaving resources available but underutilized. Also, it’s important to note that just a few market research companies have multicultural expertise.

Why is diversity important in market research?

Diversity is integral to conducting successful market research. Considering the view of multiple cultures and demographic trends enables researchers to gain a wider understanding and insight that can lead to more accurate results. Without considering key demographic trends, such as age, gender, ethnicity, or even attitudes in different parts of the world, some key insights may be missed - potentially skewing the results. A multicultural approach allows for a better perspective on who is buying what and why. Furthermore, it encourages experimentation with "unconventional" audiences whose opinions could add greater depth and appeal to the findings. Thus, diversity should be at the forefront of any researcher's agenda when conducting market research.

How can businesses integrate multicultural research?

In order to better reach and engage a multicultural demographic, it is important to consider conducting multicultural research in your business. This research will typically involve factoring in cultural preferences within the target audience while also considering more traditional data such as the needs and wants of those from different backgrounds. To conduct multicultural research, you can consider engaging with qualified professionals who are knowledgeable about various cultures, leveraging surveys for opinions and perceptions, or making use of focus groups with individuals from diverse racial and ethnic backgrounds. Additionally, qualitative methods such as in-depth interviews and shop-alongs may provide additional insights that can be used to inform your marketing strategy. Integrating multicultural market research into your business will ultimately help you gain valuable insights that will positively impact customer relations, provide better service and develop a stronger brand identity.

5 tips to get the most out of multicultural market research

Conducting multicultural research is essential for small businesses that are looking to reach global audiences. To gain the most from your efforts, here are five tips that can help:

  1. Understand the basics of cultural sensitivity. Doing so will ensure that you interact and communicate in a way that is appropriate and relevant across audiences.

  2. Build relationships with experts among the audiences you are researching. Their insight into culture and customs can give you valuable information that would otherwise not be available.

  3. Make sure to explore technologies or methods specific to the target cultural group. These will often give greater accuracy and detail than generic research tools.

  4. Never assume anything when it comes to cultural preferences - always look to verify your assumptions through additional sources.

  5. Within global markets, focus on fewer groups rather than trying to include too much at once; this will provide more accurate results and help you identify key consumer trends faster.

Following these five tips can help any business experience success in its multicultural market efforts and cater products and services to them accordingly!


Businesses that want to experience success in today’s market need to understand the importance of multicultural market research. By definition, multicultural market research is the “examination of differences in purchases, media usage, attitudes and/or beliefs between people of different racial or ethnic groups.” Diversity is critical to businesses because it allows them to see things from different perspectives and cater their products/services accordingly. Not only does this give them a competitive advantage, but it also helps build trust and relevancy with potential customers. Despite its many benefits, multicultural research is not happening as much as it should be. This could be due to a lack of understanding about its importance or how to properly integrate it into a business. However, there are steps businesses can take to change this and make it a budget priority. Business leaders should consider ways to increase communication and collaboration among employees from different backgrounds, break down silos within their organization, and collect data that includes insights from people of all cultures. Additionally, they can partner with a reliable marketing research firm (like Driven to Succeed, LLC) that specializes in conducting successful multicultural studies. Finally, businesses need to remember that implementing these changes will require time and patience – but the results will be worth it in the end!

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Driven to Succeed is an award-winning global market research and consulting firm that compliments data (the “what”) with empathetic research and conversations (the “why”) to help Fortune 500 companies and high-growth brands uncover insights to innovate and grow. Our team has walked a mile in your shoes with over 100 years of experience in Market Research, Marketing, and P&L Management for global iconic brands and startup companies across diverse B2B and B2C industries. Learn more at

Answers to Your Multicultural Market Research Questions


Multiculturalism is a concept that refers to the presence and visibility of people who have diverse backgrounds, experiences, beliefs, and worldviews. It is mostly used in the business context to signify multicultural markets - distinct populations or audiences with a shared heritage that can be leveraged for research and marketing efforts. Multiculturalism has grown to encompass more than just race or ethnicity; organizations recognize multiculturalism by carrying out initiatives to promote gender diversity, age diversity, and religious diversity. In all types of multicultural research, organizations strive for inclusion, relevancy, and equality to foster a dynamic workplace where individual and social needs are met.


Multicultural market research is a process used by companies to better understand the needs and preferences of their consumers who come from diverse backgrounds. With advances in technology and growing multicultural populations, it has become increasingly important for businesses to stay ahead of customer trends. By performing multicultural market research, businesses can gain insight that will help shape their messaging and product marketing initiatives, allowing them to reach multicultural audiences more effectively. Through multicultural market research, companies can foster diversity while creating marketing strategies that have the power to break down barriers, build relationships, and ultimately drive profitability.


Diversity is important in market research because multicultural insights are essential to understanding how a product or service appeals to its intended customers. Companies that prioritize including perspectives of different genders, ethnicities, and age groups have an advantage over those who do not. Multicultural market research techniques such as focus groups, surveys, and interviews are invaluable for gaining diverse perspectives, which cannot be received through traditional methods alone. Most companies today recognize the value of multicultural market research and utilize it to gain comprehensive insights into understanding their target audience. Diversity is at the core of many successful companies’ strategies for gaining valuable consumer insights.

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