Posts belonging to Category Race Relations



Customer’s Racial Preferences – And the Affect on Decisions!

Racial preference is an amazing natural phenomenon.  It can also be a difficult force to overcome.  The most important thing is to understand racial preference, because if you understand it, you can strategize how to work around it.  It may seem natural and you may posses some racially preferential attitudes as well. Think about it!

_________________________________________

Customer preference in any forum is powerful! Preference in sales is powerful, and manifests itself by creating unfair advantages for one option or another.  Racial preference in sales is powerful, and can even be damning against the sales professional that never gets an opportunity because they are the wrong color (regardless of what color they are).

You will remember reading about racial preference in sales and its effects in Black Journal before.  This depiction of racial preference in the buying process makes more clear the effect that race has on the decision of who a buyer will potentially work with.

I will define Racial Preference in sales as simple definition that I will give as follows:

The customer choosing to work with a sales professional who is of a particular race or skin color.

That’s it.  Simple preference to work with someone on the basis of his or her color or race.  It happens every day in one way or another.  This is not the most insidious type of discrimination, just the most pervasive.  It is also more ‘natural’, and does not seem wrong to many who do it.

There are also opportunities for preference to have minor versus major effects so this one is on the basis of degrees.

We will use an example of “true” racial preference, meaning control of all other externalities.  This study was done by Stanford University News, July 19th, 2010 (see the whole article).  This story was well done by Louis Bergeron and is essentially a clinical example of what happens when race gets in the way.

A Strong Example of Racial Preference

This example is as clinical as it can be, done by researchers at Stanford.  I will use some clips of the dialog, and you will understand the design and results of their tests.

_____________________________

Online shoppers more likely to buy from white sellers than black, Stanford researchers say

When a seller’s race is evident in an online classified ad for an iPod nano, black sellers receive fewer offers and less money than white sellers, says a new Stanford study.

Online shoppers are more likely to buy from a white seller than a black one, according to a study by two Stanford researchers who posted ads on local classified advertising websites across the United States.

Courtesy of Jennifer Doleac and Luke Stein

Classified ads featuring a black person’s hand holding an iPod being advertised for sale received 13 percent fewer responses and 17 percent fewer offers than ads showing the iPod held by a white hand.

The ads offered the latest version of the iPod nano for sale, with each ad containing a photo of either a dark- or light-skinned hand holding the popular digital music player. The ads with a black hand received 13 percent fewer responses and 17 percent fewer offers than ads showing a white hand. Black sellers were also offered less money for the iPods than white sellers.

“We were really struck to find as much racial discrimination as we did,” said Jennifer Doleac, one of the researchers and a doctoral candidate in economics. “On average it’s a younger, more educated group of people shopping online and if anything they probably discriminate less than the population as a whole.”

“We suspect that the negative effect of race would be even larger in the general population,” she said.

Doleac and fellow researcher Luke Stein, also a doctoral candidate in economics, ran ads in more than 300 locales, ranging from small towns to major cities, during the course of a year.

The study showed that black sellers were at the greatest disadvantage in the Northeast, where they received 32 percent fewer offers than whites. In the Midwest, black sellers got 23 percent fewer offers, and they got 15 percent fewer in the South. The West was the only region where the difference in the number of offers received by black and white sellers was not statistically significant.

The amount of money offered black sellers was between 2 percent and 4 percent less than the offers white sellers received. The disparity was most pronounced when the ads were posted in locales with high crime rates or where blacks and whites were geographically isolated from each other.

Buyers responding to classified ads of an iPod for sale made offers 2 percent to 4 percent lower when the iPod was shown being held by a black hand instead of a white hand.

In general, black sellers were at much less of a disadvantage when the ads were posted in more competitive markets, where larger numbers of iPods were for sale, Doleac said.

The iPod listed in the ads was always a silver, 8-gigabyte version of the most recent edition of the nano, which also plays videos. Each ad stated that the box had never been opened and the iPod was for sale because the seller did not need it.

Doleac and Stein never met with the buyers in person. Instead, when it came time to set up a meeting, the researchers said they were out of town and offered to ship the iPod to a buyer’s home, which produced another striking disparity.

Potential buyers corresponding with black sellers were 44 percent less likely to agree to have the iPod shipped to them and were 56 percent more likely to express concern about sending payment to the seller by PayPal.

Doleac and Stein interpreted the buyers’ reluctance as indicating a lack of trust in the sellers. The would-be buyers were also 17 percent less likely to include their name in emails when they responded to ads placed by black sellers.

“The results were obviously disappointing in terms of what they said about the state of society,” Stein said.

Because they never met with any of the buyers, Doleac and Stein have no information on the race of the respondents.

Stanford University News, July 19th, 2010
Study Conducted by Jennifer Doleac and Luke Stein
Article By Louis Bergeron

__________________________

Why This Example? Draw the Parallel!

I chose this as an example because of the simplicity of this display of preference.  The difference in the offers on the iPods was simply the color of the hand.   There are those who suggest that my characterization of preference might be flawed.  I would suggest that there is no clearer and simpler example of racial preference that can be

You need to draw the parallel from this P2P (Personal to Personal) activity to the B2B (Business to Business) and B2P (Business to Personal) sales that most of you undertake every day.  The bridge on all of these is simple:  In B2B and B2P sales, you always are selling to a person.  There is no doubt about that…you are selling to a person and not a company.

Practical Applications

Job Hunt and Resume - The practical aspect of this is that unless you are aware that an organization you are applying to be looking for a minority candidate, you should ‘scrub’ your resume of racial indicators.  I discussed this in depth in Black Sales Journal 11/21, Is Your Resume Race Neutral?

Business Cards - Another practical application is that I feel it is important to keep your picture off of your business card.  The business card is not an ID, it is your business information in a quick and familiar format.  Keep the picture off unless you want it well known as might be the case in some real estate and B2P positions.  This was specifically mentioned in Black Sales Journal 2/10/2010 9 Prospecting Tips for the Black Sales Professional.

You want to show that you are the professional looking for the opportunity to solve a customer’s problems.  Once you crest the hill we call preference, you can begin to show your true talents.

Always be the best.

Your comments are welcome.

The ‘Race Neutral’ Resume – A Tool for Success!

Resume

If you are like many sales professionals you may be looking for a new ‘home’ as a result of a number of reasons.  You may also be considering finding a job after the turn of the year, as it may be time.  If so, you undoubtedly recognize that the resume’ is the window to your qualifications, and even though it has it’s good and bad points as a tool, it is necessary.

That brings us to the notion that the resume is the ‘crow bar’ that opens a crack in the door to give you consideration and an interview. Without the resume’ a hiring manager or human resource representative will have no idea of your talents, or your ability to display them.  Which prompts the question ‘du jour’, should your resume’ be ‘race neutral’.

‘Race neutral’ is a term used frequently in education to describe the basis for educational policy that supposedly ignores race as a determining factor.  In this case, I am going to use ‘race neutral’ to indicate that your race is not disclosed.  Sometimes this might mean the ‘scrubbing’ the resume’ or other correspondence of determinants of race.

I know you are not going to ask why ‘race neutral’, but for those who might wonder I point again to the objective: Getting in front of the manager for an interview.  Once there you will at least be able to begin to showcase your values, your abilities, and the fact that you can work in that, and any other environment.

The Applicant Selection Process

As a process, a hiring manager or HR representative potentially sees hundreds of resume’s to fill one position.  Remember the first goal, which is to get in for a personal interview.  Your charm, skills, and ability to respond to questions and situations will be your tools, but you have to be able to showcase them.

If you follow some simple logic, many of these resumes are going into the ‘D’ stack, as they lack the basic qualifications that were advertised.  Some are going into the ‘B’ and ‘C’ stack as they have many of the qualifications, but are unlikely to be contacted, as there appears to be better candidates available.

Then there is the ‘A’ stack.  This stack has candidates who meet the basic qualifications, and have some points that create attraction to the reviewer.  As a reviewer you start at the top of the ‘A’ Stack and work downward.

Remember, the process of separating into stacks (A, B, C, and D) includes personal input on the part of the manager or HR representative.  This area of discretion is a “wild card” for the manager or HR rep.  You must end up in A, and hopefully at the top of it to get a strong opportunity to be interviewed.  I hope you see that almost anything can put you in the wrong stack, so don’t give anyone the excuse to put you there.

Here is where the perceptions, preference, and prejudice come in.

The Everpresent 3Ps (Perceptions, Preference, and Prejudice)

As I have described in previous posts of this journal (Black Sales Journal 12/30/2010, The 3Ps and Your Employer)  the 3Ps can have an effect, and sometimes an insidious effect on the hiring process.  It can happen without the perpetrator even really thinking about it.

Brief Definitions:

Perceptions are hard to change, and deep rooted.  They can come from many sources.  A person’s life experiences, the media, parents, friends, and the knowledge and ignorance of interaction or lack of interaction all form perceptions.  Perceptions are prevalent in all racial and ethnic groups.  We all have them; it is what we do with them that make all of the difference.  Managers have perceptions too!

Preferences are powerful.  They are not always meant to be deleterious to a particular racial group, yet have that effect when they are applied as the opportunity for fairness and equity is missed as the customer’s (in this case) preference is carried out.  The hiring manager’s desire of whom they want to work with is directly related to their relationship comfort.  Some preference may come from perceptions, and some from prejudice, but the net result is the same:  The sales professional who is capable is not interviewed because they don’t quickly meet the preference of the hiring manager.  Often it is because of a reluctance to do business with someone who is decidedly different than themselves.

Prejudice renders any situation difficult, if not impossible.  It should never be endorsed, whether it involves sales or any other endeavor.  Prejudice does change the landscape.  You probably won’t change it as you can do perceptions and preference, and you may be able to spend your time better elsewhere.  If a buyer is prejudice, the narrow-mindedness and patent unfairness will reduce, or destroy your chances of having a successful business relationship, or keep it very short lived.
Now, the simple fact is that any one of these Ps can change which stack you are in.  So at the risk of sounding over simplistic when it is to your advantage you should willingly disclose your race.  When you are in doubt, you should give consideration to ‘scrubbing’ your resume of racial indicators.

Of course there are times when you have no choice, and times such as job fairs when it will be obvious when you hand someone your resume, but in the overall, unless you suspect that it is an advantage, you should exercise discretion.

I am not saying don’t be proud of your race or the events and groups you were or are involved in.  I am saying that to give yourself the highest probability of an interview based on the logic that you have no idea of the background, preferences, or perceptions of the reviewer.

Your resume replete with work accomplishments should give a clear picture of everything necessary to compare to the other candidates.  It is a portrait of your qualifications, accomplishments, and job history and the reviewer should be enticed to move to the next step.

Sometimes it Takes Two

I am an advocate of having two resumes, or even more.  Each stressing what you need to stress, depending on the nuances of the job.  If that is the case, you can have a resume that is all-inclusive, which shows everything, as well as a resume that is ‘scrubbed’ and used when you want to show race neutrality in your solicitation effort.  There are some cases where you might be from a historically Black college or university where you would not want to consider any changes or scrubbing.  That is understood.

More than anything else you should take the time to frame yourself in the light you want to be seen.  It will increase your effectiveness in the long run.

Always be effective.

Your comments are welcome.