Black Sales Journal

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 possess some racially preferential attitudes as well, but it is vexing for a sales professional. Think about it!

___________

Customer preference in any forum is powerful! Preference of any type 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.

_____________________________

Courtesy of Jennifer Doleac and Luke Stein

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.

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?  This is not always possible, but your objective is to get in front of the buyer so they can ‘witness’ your attributes.  If you can do it, then consider it.

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. You can reach me at Michael.Parker@BlackSalesJournal.com.

I run this post every every once in a while.  It will always be relevant and I believe it is true.   Do remember that the no matter what your color, the your use of race,  or ethnicity in your assessment of whether you were treated fairly in receiving a promotion or favor is in essence ‘playing the race card’.  Only involve race, color,  or ethnicity  when you really believe it was truly unfairly utilized against you, and you  have some substantiation to  prove it!

______________________

Are you playing the race card?  Without doubt, this is a loaded question.  Playing the race card in the work setting is similar to dropping a hand grenade in a prayer session.  It is polarizing and negative and changes the landscape and the game.  Quite frankly, it creates an explosion when you do it, and even if there are no casualties, you have created strident enemies all around you.

What is this ‘thing’ we call the race card and is there ever a time to use it?

Simple Definitions

To capture the definition of race card, I visited Wikipedia.  It is not always the most credible source, but it puts a stake in the ground of controversial subjects including this one:

According to Wikipedia:

In the less critical sense, the phrase is commonly used in two contexts. In the first, and more common context, it alleges that someone has deliberately and falsely accused another person of being a racist in order to gain some sort of advantage.[1] (Continued)

In the second context, it refers to someone exploiting prejudice against another race for political or some other advantage. The use of thesouthern strategy by a political candidate is said by some to be a version of playing the race card, such as when former Senator Jesse Helms, during his 1990 North Carolina Senate campaign ran an ad showing a black man taking a white man’s job, intended as a criticism of the idea of racial quotas. The ad was interpreted by many people as trying to play to racist fears among white voters.

Excerpted from “Race Card”, Wikipedia 9/3/2011

The most important portion of the definition of “race card” from Wikipedia above is accentuated here:

“…it alleges that someone has deliberately and falsely accused another person of being a racist in order to gain some sort of advantage.”

Quite simply put, the race card manifest itself in our business environment in a couple of profound ways:

• An individual (let’s say Black employee) suggest issues involving race as the reason for some less than desirable action on the part of a manager or superior, which results in an impairment or disadvantage.  The employee specifically cites race or racism as being evident.
• A manager or another employee attempts to discredit an employee (let’s say Black employee) by falsely suggesting that the employee has cited race as the reason for a particular treatment or actions.

There are other ways that it can play out, yet these represent some of the more prominent issues that have to do with this interchange.  No one wants to be discredited.  Not the manager, nor the employee.  The mere mention that one feels discriminated against is toxic in an organization, so both of these are problematic.

Falsely accusing someone of being racist is a simple concept.  It is wrong and playing that card is detrimental to all Black professionals who are working to be the best that they can be.  Misrepresenting what an employee thinks or feels about any aspect of discrimination to pre-empt an action or discussion is just as wrong.

So playing the race card can mean a lot of things, but it happens both ways.  Both ways are detrimental to good relations, and we should be real careful about alleging that race and racism is a motivation unless it is quite evident.

What if it is true?  If it is true, you might phrase that as ’playing the race card’ as well, yet be very careful as being able to prove the truth is not an easy task.  Even though ‘the truth will set you free’, it may not get you justice in a case like this.

What Can You Prove?

It is always smart to avoid any claim that you cannot prove.  Remember, “It is not what you know, it is what you can prove!” With that in mind, your claims regarding management should be restrained when it comes to racism, and always yield to that which you can substantiate.

If you have a provable claim of disparate treatment, you should have discussions on the basis of that treatment, not racism.  In other words, if you are being treated unfairly, have those discussions with the manager or HR; yet be reserved with any race card.   The best HR professionals will understand you and your claim if you are clear, and if the claim is actionable, they will act on it.  Good HR professionals consider the possibility racism, whether they tell you or not.

I always say “what you can prove” because racism (in this case) is an attitude which is evidenced by how a manager treats his/her employees.  Proving that there is a racist attitude means nothing if it is not accompanied by activities that show discrimination.  What are you trying to prove?  Proving that you are discriminated against is difficult, yet doable, but it is not easy at all

Win the Smart Way

Don’t make assertions based on the race card.  Challenge management to be fair and unbiased, and you can do that without charges that are extremely difficult to prove.  Stand up for yourself and keep good objective records that will substantiate any objective complaints that you might have.

If you suspect that there is a problem, bounce the situation off of a mentor (if you trust him/her) or a confidant in another field or industry for tips on how they would handle it.  Most bona fide professionals can ‘smell’ racism when it is present.  Always base your complaints on fairness and equity unless it is something simple to prove.  Fairness and equity are important and lend themselves to reasonable proof.  Unfortunately racism is insidious and it is never lends itself to easy proof.

An example of fairness and equity is illustrated in this example:

Your manager is giving all of the new prospects to someone else, and you need new prospects, you should consider approaching that on the basis of fairness and equity, even if  you suspect racism.

Benefit – It puts everyone on notice that you recognize that you are not being treated fairly.

Weakness – You don’t change what has happened in the past, only go forward.

In this situation, you speak to the manager openly and frankly about what you believe is the disparity.  The manager should be the first stop, and he or she will recognize that you are being a professional by bringing it to him/her first.   If it persists, your next stop is HR to discuss the actions.  You will get some advice from there about how to proceed, yet realize that you need your “ducks in a row” as you consider going above your manager.

If it is repairable, it normally can be done at that level.  Always be the professional in your actions.  It will pay dividends.

Your comments are appreciated. You can reach me at Michael.Parker@BlackSalesJournal.com.