Pink Tax: Why Women Pay More for Pink
By: Sophia Erickson
Have you ever stopped to think about how advertising works? Why do clothes on a rack seem more appealing when there is a buy-one-get-one-free sale even if you know you don’t need or want the second item? Why do the words LAST CHANCE catch our attention, making us more prone to take a second look? The answer is simple. Stores use tactics like these to create a sense of urgency; they want us to feel like walking out of the store without taking advantage of the sale is the wrong decision.
But have you ever considered how differently stores market based on gender? Think back to the last time you were aimlessly strolling through Target’s Personal Hygiene aisle-“masculine” products line the shelves with black, gray or navy blue packing, large fonts, fittingly simple words and, if fragranced, strictly musky scents, labeled “Adrenaline” or “Swagger” (literally these are real Old Spice products I promise look it up). On the other hand, “feminine” products are an explosion of pink and purple, sometimes with an added dose of glitter or flower for good measure. The packaging usually has a lot more detail and if scented, smells fruity and floral- think of the Bath and Body Works smell that greets you as you enter the store. Now don’t get me wrong, I don’t necessarily want to smell like a lumberjack, but after finding out that women pay more for basic products such as deodorant and razors, just to name a few, I will be reconsidering.
The Pink Tax
Gender-based pricing, also known as a “pink tax” is a price discrepancy that pointedly calls out how products and services are marketed differently between women and men. The “pink tax” charges women slightly higher prices for ‘feminine’ products, despite being identical or nearly identical versions of the masucline equivalent (Duesterhaus et al. 2011).
Regardless, the “pink tax” is not actually a tax. Instead, it is an income generating scheme for private companies. This scheme allows them to make their product or service look either more directed to or more appropriate for a certain population or demographic. While the specific prices on individual products may not seem that different - say, $6.78 vs $6.98 for body wash - these minute increases can add up over time. In fact, a study done by Forbes in 2012 found that, “gender-based pricing is estimated to cost female consumers in the USA upwards of $1400 a year” (Forbes Magazine, 2012). This means that, cumulatively, the pink tax has cost a 30-year-old woman close to $40,000 dollars! On top of this, statistics from the United States Census Bureau show that women in the U.S. who work full-time and year-round are typically paid only 83 cents for every dollar paid to their male counterparts (U.S. Census Bureau, 2021). Not only are women being paid less, but they are also being charged more for hygiene products (mind you, in my 22 years on this planet all body washes have functioned the same), clothing and even services such as dry cleaning and haircuts.
Is the Pink Tax legal?
While this situation seems completely absurd there are currently no federal laws prohibiting companies from charging different prices for identical items based on gender (Duesterhaus et al. 2011). This being said, former Governor Andrew Cuomo did sign a proposal to ban the pink tax in New York state and that went into effect on September 30, 2020 - baby steps.
While the pink tax generally refers to products such as deodorant, body, wash, razors, etc., it is important to highlight that there is also a tax on femine hygiene products such as pads and tampons (Militaru, 2018). Currently nine states including Maryland, Massachusstetes, Pennsylvania, Minnesota, New Jersey, etc., all view tampons as a “necessity” and have banned the taxation of these products. Michigan will join these states on February 3, 2022 after the House Bill 5267 goes into effect, stopping the taxation of feminine hygiene products in Michigan (US News, 2021). Just to give you some perspective, however, the United States recognizes other items such as prescriptions, some over-the-counter drugs, condoms, toilet paper, groceries, and so much more as being necessary and exempt from being taxed. Trust me… I’m rolling my eyes too.
How do I avoid paying the Pink Tax?
The easiest way to avoid the pink tax is to compare products before buying them. Check out the “men’s” versions of razors, shampoo, and other personal care products and make sure to browse the mens section for basic items like socks—chances are, you’ll pay less for products of similar, or better, quality.
If you have any more questions about the pink tax, or want more information, be sure to check out http://pink.tax/pink-tax-faq!
Reference List:
Bureau, U. S. C. (2021, October 8). PINC-05. work experience-people 15 years old and over, by total money earnings, age, race, Hispanic origin, sex, and disability status. Census.gov. Retrieved January 25, 2022, from https://www.census.gov/data/tables/time-series/demo/income-poverty/cps-pinc/pinc-05.html
Düsterhaus, M., Grauerholz, L., Weichsel, R., & Guitar, N. A. (2011). The cost of doing femininity: Gendered disparities in pricing of personal care products and services. Gender Issues, 28(4), 175–191. https://doi.org/10.1007/s12147-011-9106-3
Forbes Magazine. (2012, June 30). The 'woman tax': How gendered pricing costs women almost $1,400 a year. Forbes. Retrieved January 25, 2022, from https://www.forbes.com/sites/learnvest/2012/05/15/the-woman-tax-how-gendered-pricing-costs-women-almost-1400-a-year/?sh=613c38d7e96c
Militaru, A., & Stratmann, T. (2018). A survey of sales tax exemptions in the states: Understanding sales taxes and sales tax exemptions. SSRN Electronic Journal. https://doi.org/10.2139/ssrn.3191347
US News. (2021, November 4). Michigan will no longer tax tampons, other feminine ... US News. Retrieved January 25, 2022, from https://www.usnews.com/news/best-states/michigan/articles/2021-11-04/michigan-will-no-longer-tax-tampons-other-feminine-products