Mumpreneurs

About 8 mos ago Rebecca Burn-Callander (Telegraph.co.uk) noted that bizes ran by “mums” with kids aged 18 & under were grossing £7.2 B ($10.944 B) or .2706%± of GRT BRIT’S GDP. (19.4% comes from Health & Related Care Srvs; 15.3% from Professional, Scientific & Tech Srvs; 12.5% from Arts, Entertain & Rec Srvs; and 9% from Retail). If we were to convert the “across the pond” % into US GDP equivalents it would be $48.627 B. DFP’s Susan Tompur recently wrote about a Mompreneur Summit hosted at LTU. Additionally, entrepreneurism has captured DET with 5/2-5/7 being labled DET ENTREPRENEUR WK.

While we immensely appreciate the UK’s specificity on mumpreneurs’ data, LTU’s foresight and DET ENTREPRENEUR WK, we think the topic itself is much BIGGER than the UK’s $11 B, LTU’s important “networking” gig or DET’s ENTREP WK. Our view is that as Columbus discovered America, mumpreneurs & mompreneurs need to be discovered, to be represented fully in the biz world, to be accepted AND supported on the GLOBAL STAGE. Given that the globe’s GDP is in the neighborhood of $113.7 T (CIA World Factbook) & assuming that mumpreneurs will be .2706% of that, we’re dealing with tidy global sum of $307.767 B for mumprenuerism. NOT TOO SHABBY, HEY? As a matter of fact ONLY 23% of the globe’s economies (GDPs) are bigger than mumspreneurism/momspreneurism! WOW!! Congrats MUMPRENEURS!!!
A COMPARISON OF WOB, MOB, & EOB
✓ Collectively, T-1A, T-1B & T-1C tell us that there are more Men Owned BIZES, Employees in those BIZES and Sales from those BIZES than from WOB & EOB. However, growth for WOB far out strips growth from MOB & EOB.

✓ By looking at Table 1A we discover that WOB (by #) grew by 45.2% from 2007-16; additionally WOB increased Employment by 18.4% and Sales by 35.0%.

✓ By comparison, Table 1B shows that MOB ONLY grew 11.8% (from ’07 to ’16) with Employment in these BIZES actually decreasing 2.7%. Sales grew less strongly in MOB (ONLY 22.3% vs. 35.0% in WOB).

✓ Regarding Equally (men & women) Owned BIZES, the # of BIZES, their Employment, and the Sales ALL decreased, as seen in Table 1C from 2007-’16.
T-1A: WOMEN OWNED BIZES (WOB)

2007

2016

%∆ ’07-’16
# of Firms
7,793,139
29.6%
11,313,900
38.7%
45.2%
Employment
7,579,876
13.2%
8,976,100
15.9%
18.4%
Sales ($000)
1,202,115,758
10.9%
1,622,763,800
12.2%
35.0%

T-1B: MEN OWNED BIZES (MOB)

2007

2016

%∆ ’07-’16
# of Firms
13,906,658
52.9%
15,548,000
53.2 %
11.8%
Employment
41,701,315
72.6%
40,583,000
72.0%
-2.7%
Sales ($000)
8,574,060,362
77.5%
10,484,802,500
78.6%
22.3%

T-1C: EQUALLY OWNED BIZES (EOB)

2007

2016

%∆ ’97-’16
# of Firms
4,603,255
17.5%
2,356,100
8.1%
-48.8%
Employment
8,152,650
14.2%
8,847,000
12.1%
-16.0
Sales ($000)
1,283,401,141
11.6%
1,225,090,800
9.2 %
-4.6

T-3: WOB BY STATE (2016)
Rank
State
Bizes
%∆ ’07-’16
Rank
State
Employment
%∆ ’07-’16
Rank
State
Sales (000)
%∆ ’07-’16
1
CA
1,464,500
40.9%
1
CA
1,076,400
10.4%
1
CA
222,215,700
20.1%
2
TX
991,000
62.5%
2
TX
849,200
43.4%
2
TX
144,711,600
49.0%
3
FL
971,000
67.1%
3
NY
584,000
25.2%
3
NY
113,944,400
35.6%
4
NY
782,200
31.6%
4
FL
500,000
6.3%
4
FL
96,207,600
25.2%
5
GA
457,000
64.2%
5
IL
338,100
-0.4%
5
IL
62,513,200
16.3%
7
MI
389,800
56.9%
12
MI
252,200
3.2%
10
MI
4,613,0800
49.2%

✓ In terms of actual numbers, California easily comes in 1st place with almost half a million more WOB, over 200,000 more employees, and above $100,000,000 in sales more than the any of the competition. Texas, which over the past 10 yrs has had a boom in WOB, comfortably secured the 2nd place ranking on all 3 measures. Of the 5 TOP states, TX, stands alone as being a top growth state on all 3 metrics as well. It especially got our attention on sales growth. While New York, Florida, Illinois, and Georgia collectively split the rest of the Top Five rankings for the 3 categories that were measured. Michigan is the nation’s 10th most populated state. Its showing as #7 in # of BIZES and #10 in Sales are very laudatory. Congrats.
T-4: WOB BY MAJOR METRO AREAS (2016)
Rank
City
Bizes
%∆ ’07-’16
Rank
City
Employment
%∆ ’07-’16
Rank
City
Sales (000)
%∆ ’07-’16
1
NYC
876,300
44.9%
1
NYC
657,600
29.4%
1
NYC
139,888,300
47.8%
2
LA
635,100
55.0%
2
LA
438,700
12.9%
2
LA
94,820,200
18.8%
3
MIA
453,100
94.7%
3
CHI
265,200
-0.6%
3
CHI
50,618,800
14.8%
4
CHI
376,900
39.0%
4
DC
224,200
27.9%
4
DAL
47,211,700
68.0%
5
ATL
308,600
75.8%
5
DAL
220,600
46.1%
5
MIA
41,473,000
55.3%
8
DET
256,400
121.4%
10
DET
151,800
24.5%
11
DET
25,110,200
63.8%

✓ To little surprise the nation’s largest metro areas contain the highest numbers of WOB, Employment and Sales. However, Atlanta, Georgia which is the nation’s 11th largest metro area impressively has the 5th most WOBs. Indeed, the capital of the south is a major player in WOB. And how about that metro Detroit. The new Detroit with all of its entrepreneur acting and the 12th biggest metro area has turned to be a bastion of WOB. With its #8 WOBizes, #10 in Employment from those BIZES and #11 in Sales. Congrats to DET!
T-5 AVG SIZE OF WOMEN OWNED BIZES BY RACE & ETHNICITY
MINORITY STATUS
# of Firms
% of Pop
% of firms
Avg # Em’ees
Avg Revs per Biz
Non-Minority
6,308,400.00
57%±
55.8%
1.1
$201,948
Minority Owned
4,992,200.00
43%±
44.1%
0.4
$68,982
✓ LATINO
1,863,600.00
17%
(16.5%)
0.3
$52,081
✓ AFRICAN AM
1,934,300.00
13%
(17.1%)
0.2
$26,550
✓ ASIAN AM
922,700.00
4-5%
(8.2%)
1.0
$184,699
✓ OTHERS
184,500.00
?
(1.6%)
0.4
$69,336
✓ ALL WOB
11,313,900.00

100%
0.8
$143,431

ALL PRIVATELY HELD BIZES

2007

2016

%∆ ’07-’16
# of Firms
26,303,052
97.0%
29,218,000
98.6%
10.9%
Employment
57,433,841
48.3%
56,406,100
48.1%
-1.6%
Sales ($000)
11,059,577,261
36.4%
13,332,657,100
34.9%
21.2%

ALL PUBLICLY TRADED BIZES

2007

2016

%∆ ’07-’16
# of Firms
805,533
3.0%
427,000
1.4%
-47.0%
Employment
61,352,899
51.7%
60,813,600
51.9%
-0.9%
Sales ($000)
13,833,816,063
63.6%
24,850,992,200
65.1%
29.4%

✓ In 2007 97.0% of BIZES were Privately Held; (3% were Publicly Traded). Privately Held BIZES were responsible for 48.3% of Employment and 36.4% of sales. By 2016 98.6% of BIZES were Privately Held (with ONLY 1.4% being Publicly Traded). These BIZES however now were responsible for ONLY 48.1% of Employment and but 34.9% of Sales.

✓ On the other hand by 2016 with ONLY 1.4% of all BIZES being Publicly Traded (decrease of 1.6% from ’07) Publicly Traded BIZES in 2016 now accounted for 51.9% of ALL Employment (+.7%) and 65.1% of all Sales (+1.5%)

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About bernacmd

For over 24 years, University of Detroit Mercy Marketing Professor Michael Bernacchi, Ph.D., J.D, has produced "uNDER tHE mIKE-rOSCOPE", a newsletter discussing current "marketing and advertising¹s bends, trends & ends." A well-know fixture in Detroit and national media, UDM's marketing guru has made several appearances on CNN's "Talk Back Live," the Voice of America worldwide radio network (VOA), ABC, CBS, NBC, MSNBC and on the pages of Sports Illustrated, Time, TV Guide, the New York Times, USA Today, the Wall Street Journal and the Washington Post, to name a few. At University of Detroit Mercy, he has taught courses in Marketing Management, Consumer Behavior, Marketing Communications, Research and Corporate Social Responsibility and Sports and Entertainment Marketing. Michael Bernacchi can be reached at 313-993-1116 or bernacmd@udmercy.edu. Please appropriately attribute the following for their work on uNDER tHE mIKE-rOSCOPE: Yen Ju Lee Robert Rouse Vidhyasagar Natarajan Eric Baumgardner & Ian Young
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