BOBSA is creating a direct link to China to cut costs for Black hair care store owners and businesses
(Beijing-CHINA) – Whether it’s natural or relaxed, the haircare industry amongst US Black consumers has a predominance in spending habits more than any other US consumer group.
In fact, according to a consumer market analysis from Mintel Reports, 51% of Black consumers use styling products compared to 34% of US consumers overall.
Then, it is also no wonder that the sales of the overall Black haircare market in 2015 were an estimated $2.7 billion…and according to Black Owned Beauty Supply Association, (BOBSA) the Black haircare & cosmetic industry nationwide and internationally is a $9 billion industry that serves millions of African-Americans.
So what is the biggest issue with high black consumerism in this market?
Unfortunately the Black haircare industry is predominately controlled by a conglomerate of Korean store owners and suppliers, who are able to drive down prices, collectively buy in bulk and be middlemen, and buy out non-Korean store owners.
BOBSA, who provides African-American businesses and professionals a platform to compete by advocating for Black institutions that depend on beauty supply stores, has helped over the last 13 years open up 150+ stores, but with 10 to 15 percent closing within one year after they have opened due to the monopoly of the Korean store owners in this industry.
BOBSA founder, Sam Ennon, who was invited to China this past October by the Chinese government and their hair manufacturers, has found a way to change all the odds for Black haircare store owners.
“I have just made an agreement with the Chinese government and manufacturers of hair,” said Ennon. “We have created an alliance named
Enterprise of Black Hair Alliance (EBHA) to change the distribution of hair in the U.S.”
Welcomed with banners, balloons, a singing choir, and a ribbon-cutting ceremony by the town’s mayor and the workers of the plant, Ennon and his US BOBSA crew were overwhelmed with the positive responses from the Chinese community during the 10-day visit.
“We got to visit Beijing, Taihe (the hair factory hub), and Shanghai,” explained Ennon. “We experienced the greatest welcome and hospitality on behalf of BOBSA. However, it was not the nice hotels and fancy meals every day that impressed me; it was their determination that really moved me.”