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With up to 85% of women making household purchasing decisions in the US, the rise of the she-conomy is undeniable. Women are the decision-makers, the backbone of conscious consumerism, and the drivers of the economy.
Companies that recognize women’s economic power have the potential to reach new heights. Those that don’t risk getting left behind. And it’s not just our purchasing power that’s on the rise. Women are also rising in the workforce.
As the founder of Creative Noggin, an all-women advertising and marketing agency established in 2008, I’ve enjoyed witnessing women step into more leadership roles, voice their beliefs, and finally feel brave enough to take risks. In the past decade, I’ve especially noticed women entering the business world independently.
Clearly, the she-conomy is here to stay, and as business leaders, we need to adapt accordingly. Read on for more insights into the she-conomy and tips on how to navigate it!
Related: Why Respecting Women as Purchasers is Key to Business Growth
How women influence household purchasing decisions
According to Harvard Business Review, women make the purchasing decisions for:
- 94% of home furnishings
- 92% of vacations
- 91% of homes
- 60% of automobiles
- 51% of consumer electronics
I can’t say I’m surprised by these stats. We women are natural consumers. Back in the hunter-gatherer days, women were the ones responsible for doing the gathering.
Today, women are extremely discerning consumers. We research, collect all the facts and make informed decisions about our purchases. More often than not, our partners defer to us in their purchasing decisions, too.
For businesses, underestimating the female consumer is one of the biggest mistakes they can make. Just think about the record-breaking $1 billion Taylor Swift’s Eras Tour generated and how Barbie was the highest-grossing film of 2023!
Related: How to Unlock Success for Women-Owned Businesses
What the she-conomy means for market trends
As a marketer running a woman-empowered agency, I’ve observed several trends emerge due to our increasing purchasing power.
First and foremost, many brands that once catered to men have had to change their tune. The Home Depot is a great example of this.
In the ’80s, Home Depot primarily targeted male consumers who were DIY enthusiasts or professional contractors. By the end of the millennium, Lowe’s gained a significant market share largely because it marketed to females.
Another trend I’ve noticed is women’s increased demand for diverse representation. After Dove’s Campaign for Real Beauty launched, featuring regular women of different backgrounds, Dove’s revenues increased significantly while Victoria’s Secret’s market share dropped due to criticism about their lack of diversity.
Related: 12 Insights From A Decade Of Investing In Female Entrepreneurs
Business tips for navigating the she-comony
To navigate the she-conomy, lean into this new reality. Listen to what female consumers are asking for and deliver on it. At Creative Noggin, we appeal to female consumers through the brands we work with in three primary ways:
1. We prioritize authenticity
Whenever we work with a company, we build marketing efforts around their why and use original photography to convey authenticity.
2. We ensure everything aligns with a brand’s core messaging
Women value brands they can trust. We build trust by staying true to a brand’s core messaging in all marketing materials.
3. We always use a consistent tone and voice
A consistent tone and voice help women connect and relate to a brand more easily. We ensure consistency in all our communications.
Looking ahead, I hope the she-conomy continues to grow stronger. With our increasing purchasing power, I’d love to see more women recognized as leaders, especially in the marketing space.
As entrepreneurs, let’s appeal to women more in our business efforts and put initiatives in place to attract them. At Creative Noggin, we donate 5% of our profits to causes that empower women within our community. Women now hold significant purchasing power and contribute to the labor market meaningfully. We’re just getting started!
