Is targeting this growing group smart business?
Executive Summary
By 2060, Hispanics are expected to represent approximately 28 percent of the U.S. population, up from 17 percent in 2014. They are the country's fastest-growing demographic group and an increasingly important market for companies seeking to expand: In 2003, companies spent $3.4 billion on Hispanic advertising campaigns. By 2013, that figure had almost tripled to $8.3 billion But for marketers, crafting effective messages is challenging. Although English is increasingly becoming Hispanics' first language, they maintain ties to, and pride in, Latino cultural roots, creating a growing segment of bicultural, bilingual consumers with characteristics that companies must key on if they want to reach that market. “How marketers go about it continues to be a discussion,” says Carlos Santiago, president of a Hispanic market research group in Burbank, Calif.
Resources
Bibliography
Books
Burgos, David, and Ola Mobolade, “Marketing to a New Majority: Strategies for a Diverse World,” Palgrave Macmillan, 2011. Multicultural researchers detail strategies on reaching minority markets.
Cartagena, Chiqui, “Latino Boom II: Catch the Biggest Demographic Wave Since the Baby Boom,” Worthy Shorts, 2013. The chief marketing officer of Univision looks at the Latino explosion in marketing.
Dávila, Arlene, “Latinos, Inc.: The Making and Marketing of a People,” University of California Press, 2012. A New York University professor examines how the Hispanic market developed.
Korzenny, Felipe, and Betty Ann Korzenny, “Hispanic Marketing: Connecting with the New Latino Consumer,” 2nd ed., Routledge, 2011. The director of the Center for Hispanic Marketing Communication at Florida State University and a researcher expound on how companies can break into the Hispanic market.
Kutchera, Joe, “Latino Link: Building Brands Online with Hispanic Communities and Content,” Paramount Market Publishing, 2011. A Hispanic market consultant details strategy to reach Hispanics online.
Articles
Gutiérrez, David G., “An Historic Overview of Latino Immigration and the Demographic Transformation of the United States,” in “American Latinos and the Making of the United States: A Theme Study,” National Park Service, Washington, D.C., 2013, pp. 57–75, http://tinyurl.com/
Kelly, Nataly, “Univision's Ratings Win Underlines the Power of Hispanic Marketing,” Harvard Business Review, Aug. 5, 2013, http://tinyurl.com/
Sebastian, Michael, “People en espanol to Break Its Long Spanish-Only Streak,” Advertising Age, April 22, 2014, http://tinyurl.com/
Vega, Tanzina, and Bill Carter, “Networks struggle to appeal to Hispanics,” The New York Times, Aug. 5, 2012, http://tinyurl.com/
Wentz, Laurel, “Captivating McDonald's Spot Highlights Bond With Soccer,” Advertising Age, March 4, 2013, http://tinyurl.com/
Reports and Studies
“America's New Upscale Segment: Latinos!” Association of Hispanic Advertising Agencies, May 2013, http://tinyurl.com/
“11th Annual Hispanic Fact Pack,” Advertising Age and Crain Communications, July 28, 2014, http://tinyurl.com/
Brown, Anna, and Eileen Patten, “Statistical Portrait of Hispanics in the United States, 2012,” Pew Research Center, April 29, 2014, http://tinyurl.com/
López, Mark Hugo, and Ana González-Barrera, “What is the future of Spanish in the United States?” Pew Research Center, Sept. 5, 2013, http://tinyurl.com/
Passel, Jeffrey S., D'Vera Cohn and Mark Hugo López, “Hispanics Account for More Than Half of Nation's Growth in Past Decade,” Pew Research Center, March 24, 2011, http://tinyurl.com/
Traina, Chris, and Verena Sisa, “The Hispanic Influence on American Culture,” Conill, 2012, http://tinyurl.com/
The Next Step
Advertising
Bond, Shannon, “Hispanics shine bright amid US television's advertising gloom,” Financial Times, March 24, 2015, http://tinyurl.com/
Max, Sarah, “Tono Studios Helps Marketers Reach Hispanics With Culturally Authentic Ads,” The New York Times, March 25, 2015, http://tinyurl.com/
Shields, Mike, “YouTube Rolls Out Ad Targeting Tool Geared For Hispanic Audiences,” CMO Today, The Wall Street Journal, March 11, 2014, http://tinyurl.com/
Culture
Masunaga, Samantha, “Target takes aim at Latinos with new marketing campaign,” Los Angeles Times, April 18, 2015, http://tinyurl.com/
Tagliani, Hernan, “How to translate the Hispanic culture into big business,” Orlando Business Journal, Feb. 19, 2014, http://tinyurl.com/
Yoon, Eddie, “The Mistake Companies Make When Marketing to Different Cultures,” Harvard Business Review, Feb. 17, 2015, http://tinyurl.com/
Millennials
Elejalde-Ruiz, Alexia, “Hispanics play large part in beauty spending, Nielsen says,” Chicago Tribune, Feb. 20, 2015, http://tinyurl.com/
Salzman, Marian, “The new power of millennial Hispanics,” CNBC, Aug. 13, 2014, http://tinyurl.com/
Thompson, Nicole Akoukou, “Hispanic Millennials are Not Acculturating, ‘They're Shaping the Broader Culture, They're at the Center of Your Brand,’” Latin Post, Oct. 1, 2014, http://tinyurl.com/
Spanish Speakers
Chappell, Lindsay, “Nissan Times Spanish-Language Effort to World Cup Kickoff,” Advertising Age, June 12, 2014, http://tinyurl.com/
Dahlberg, Nancy, “Open English sets out to conquer U.S. Hispanic market,” Miami Herald, April 17, 2015, http://tinyurl.com/
Organizations
American Association of Advertising Agencies
1065 Avenue of the Americas, New York, NY 10018
212-682-2500
www.aaaa.org
Trade association for the advertising industry that researches Hispanic marketing, including media, investment and trends.
Association of Hispanic Advertising Agencies
8280 Willow Oaks Corporate Drive, Suite 600, Fairfax, VA 22031
703-745-5531
www.ahaa.org
Trade association for companies involved in Hispanic marketing.
Association of National Advertisers
708 3rd Ave., 33rd Floor, New York, NY 10017
212-697-5950
www.ana.net
Trade association for companies engaged in consumer marketing; holds annual Multicultural Marketing & Diversity Conference and Multicultural Thought Leadership Forum.
Cable Television Advertising Bureau
830 3rd Ave., 2nd Floor, New York, NY 10022
212-508-1200
www.thecab.tv
Trade association for advertising-supported cable television industry; tracks Hispanic media consumption and advertising spending.
Hispanic Association on Corporate Responsibility
1444 1st St., N.W., Suite 850, Washington, DC 20005
202-682-4012
www.hacr.org
Organization advocating corporate social responsibility in the Hispanic community, chiefly in employment, procurement, philanthropy and governance.
Interactive Advertising Bureau
116 E. 27th St., 7th Floor, New York, NY 10016
212-380-4700
www.iab.net
Trade association of technology and media companies involved in digital marketing; its Multicultural Council researches and advocates Hispanic market best practices.
National Hispanic Corporate Council
1050 Connecticut Ave., N.W., 10th Floor, Washington, DC 20036
202-772-1100
www.nhcchq.org
Informational clearinghouse for Hispanic issues, including diversity, human resources, suppliers, marketing and community relations, for Fortune 1000 and S&P 500 companies.
National Hispana Leadership Institute
P.O. Box 70061, Washington, DC 20024
703-527-6007
www.nhli.org
Organization developing Hispanic women as leaders in corporate and other arenas.
National Society of Hispanic MBAs
450 E. John Carpenter Freeway, Suite 200, Irving, TX 75052
214-596-9338
www.nshmba.org
Organization that builds and advocates Hispanic corporate leadership.
Pew Research Center Hispanic Trends Project
1615 L St., N.W., Suite 700, Washington, DC 20036
202-419-4300
www.pewhispanic.org
Research institute studying Hispanic trends and issues, and conducting public opinion surveys.
DOI: 10.1177/2374556815588527