The Latino Influence Project

The Latino Influence Project
Dr. Max Kilger, Chief Behavioral Scientist,
Experian Marketing Services
Holly McGavock, Director of Planning, Wing
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Today’s Discussion
ƒ Holly McGavock
►
Director of Planning, Wing
ƒ Dr. Max Kilger
►
Chief Behavioral Scientist, Experian
Marketing Services
Agenda
ƒ Hispanic consumer trends
ƒ Latino Influence Project overview
ƒ Key Findings
ƒ What does it mean?
ƒ Join us after the webinar for a TweetChat
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Hispanic population
The Hispanic population continues to grow
ƒ Already the largest ethnic/racial group in the United states, 16% of Americans
age six and older identified as Hispanic or Latino in 2012, up from 14% in 2006.
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Hispanic population
Young Americans much more likely to be Hispanic
ƒ Nearly a quarter of Americans age 6 to 34 today are Hispanic compared with less
than 10% among those age 50 and older.
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Discretionary Spending
Spending on non-essentials
ƒ Hispanic households control 10% of spending on non-essentials nationwide, but
control 17% of discretionary spending in the Western U.S.
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Discretionary Spending
Spending on non-essentials
ƒ Hispanic households control fully 60% of all discretionary spending in the San
Antonio Designated Market Area and 37% in Miami, but only 6% in Washington,
D.C.
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Growth Markets
Hispanic population growing coast to coast
ƒ The Hispanic population is growing nationwide from Utah to Illinois to Florida
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Experian Consumer Expectations Index
Hispanic consumers consistently more optimistic
ƒ Even during the recession, Hispanic consumers are 5% more optimistic than
non-Hispanics, on average.
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Language preference by generation
3/4 of Hispanics prefer to speak at least some Spanish
ƒ While first generation Hispanics are predominantly Spanish-dominant, second
generation Hispanics are predominantly English-dominant, though many still
speak some Spanish.
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Attitudes towards advertising
Spanish ads matter, even among English-dominant
ƒ Hispanics, even many English-dominant Hispanics, still have emotional ties to
the Spanish language that carry over to companies that advertise in Spanish.
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Top indexing Shopping sites
Tech sites, among others, skew to Spanish-inclined
ƒ Companies like these may enjoy greater loyalty and respect from the Hispanic
population—English- and Spanish-dominant alike—by providing visitors the
option to experience their sites in Spanish.
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Social Media Downstream Traffic
Latinos are influenced through social media
ƒ Hispanic adults are more likely to follow their favorite brands and media on social
networking sites. Below are some brands that are effectively leveraging social to
capture an oversized share of downstream traffic from Spanish-inclined adults.
JustFab
1.2 million fans
ShoeDazzle
2 million fans
Macy’s
9.3 million fans
Best Buy
6.5 million fans
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LEGO Worlds
3.1 million fans
Barbie
6 million fans
Aeropostale
8.3 million fans
Toys “R” Us
3.4 million fans
Party City
1.8 million fans
Hollister
9.8 million fans
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The Latino Influence Project
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The Latino Influence Project:
Move beyond anecdotes
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Methodology
ƒ The study uses Simmons data to measure over 48,000 respondents
across 60,000 variables, including language preference, brand use,
attitudes, lifestyles and even political outlook.
ƒ The methodology utilized three sets of regression analyses using
statistical software and Generalized Linear Model (GLM) logistic
regressions on the subset of non-Hispanic residents. Within each
regression the coefficient of the mean Hispanic density was tested for
significance.
ƒ The study ruled out the effect of additional variables that may lead to
influence such as age, geography, income and presence of children at
home.
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What we found
Latinos are influencing the non-Latinos around them in many areas:
ƒ Food, drink, sports and music
ƒ Fashion/Appearance
What we expected to find
ƒ Cooking
ƒ Technology
ƒ Environment
ƒ Health
ƒ Travel
Some surprises
ƒ Advertising
ƒ Work and Success
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Some of our findings
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Hispanics and Food, drink, sports and music
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Findings: Food, drink, sports and music
Non-Latinos living in high-density Hispanic areas are:
ƒ 14.2 times more likely to
eat enchiladas
ƒ 8 times more likely to play soccer
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ƒ 5.5 times more likely to eat
jalapeños
ƒ 6 times more likely to listen
to salsa & merengue
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Food, drink, sports and music: Food for thought
ƒ Sports and music-related events that are typically targeted
to Hispanics might be an opportunity to connect with nonHispanics
ƒ Mexican food is so mainstream that it is not even
considered ethnic anymore. Could the same trend happen
for other regional specialties and products?
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Hispanics and fashion/appearance
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Findings: Fashion and appearance
Non-Latinos living in high-density Hispanic areas are:
ƒ 84% more likely to say they
are usually the first among
their friends to try new
clothing styles
ƒ 94% more likely to say they
no longer wear a lot of the
clothes they wore a year ago
because they have gone out
of style
ƒ 200% more likely to say they
like to stand out in a crowd
ƒ 46% more likely to say they
like to make a unique fashion
statement
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Fashion and appearance: Food for thought
ƒ Non-Latinos in Hispanic-dense areas may care more about
how they dress and look.
►
Beyond the beauty industry, this impacts health and wellness,
education, and other areas.
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Hispanics and technology, mobile and internet
When it comes to technology, Latinos:
ƒ Lead the way in smartphone and tablet adoption
ƒ Spend more time watching video online
ƒ Over-index in most social media sites (Facebook, twitter, etc.)
Why?
ƒ A younger population
ƒ Staying connected
ƒ Price
ƒ Innovator status
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Findings: Technology, mobile and internet
Non-Latinos living in high-density Hispanic areas are:
ƒ
2.3 times more likely to use
their cell phones to get the
information they need.
ƒ 71% more likely to keep up with
developments in technology.
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ƒ 2 times as likely to say
texting is just as meaningful
as an actual conversation.
ƒ 2 times more likely to say the
internet has become their primary
source of entertainment.
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Technology, mobile and internet: Food for thought
ƒ Online and mobile should be considered as key
communication channels when targeting Hispanics and the
non-Hispanics living among them
ƒ Consider ways to provide these consumers the information
they are searching for, but also entertainment via
mobile/online channels
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Hispanics and the environment
When it comes to the environment, Latinos:
ƒ Are more likely to say they are concerned with the environment than
their non-Hispanic counterparts
ƒ Come from a tradition of reducing, reusing and recycling
Why?
ƒ Economic necessity
ƒ Relationship with nature/collectivism
ƒ Children learning about recycling in school
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Findings: The environment
Non-Latinos living in high-density Hispanic areas are:
ƒ 3.6 times more likely to say
they make a conscious
effort to recycle.
●
2.1 times more likely to say they
are worried about pollution and
congestion caused by cars.
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ƒ 2 times more likely to say all
products that pollute the
environment should be banned.
ƒ 2 times more likely to say they buy
paper products that are recycled.
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Environment: Food for thought
ƒ Green packaging efforts, an area of key importance for
Hispanics and the non-Hispanics living around them,
should be a priority for brands trying to position themselves
as green-friendly.
ƒ Consider leveraging the ways Hispanics have been
reducing, reusing, and recycling as education and
inspiration for non-Hispanics
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Findings: Hispanics and health/nutrition
When it comes to health, Latinos:
ƒ See good health as a balance between spiritual, physical, and
emotional worlds
ƒ Are more likely to turn to alternative medicines such as home remedies
or herbs
ƒ Look to informal sources of advice for medical information
Why?
ƒ Relationship with nature/spirituality
ƒ History of folk medicine
ƒ Distrust in the scientific/prescription medicines
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Findings: Health and nutrition
Non-Latinos living in high-density Hispanic areas are:
ƒ 2.1 times more likely to
prefer alternative medicine
to standard practices.
ƒ 2.2 times more likely to trust
homeopathic medicine.
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ƒ 2 times as likely to say their
friends ask for their advice about
health and nutrition.
ƒ 81% more likely to believe that
vitamins/minerals should be taken
for long-term benefits.
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Health and nutrition: Food for thought
ƒ Health and wellness providers and marketers should keep
in mind that non-Latinos living in Latino-dense areas may
be looking for and expecting a more holistic approach to
health.
ƒ Consider messages that reflect this mindset, which may be
more relevant than messages that use a more scientific
approach.
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The Latino Influence Project:
Cultural Diffusion
ƒ Cultural diffusion can occur when two cultures live in close
proximity to each other (e.g. propinquity)
ƒ Traditionally marketers have thought in terms of Hispanics
adopting cultural elements from their U.S. host culture
ƒ But cultural diffusion is a two way social process…and the
significant growth in the Hispanic population means more
non-Hispanics are living in higher density Hispanic
neighborhoods
ƒ When non-Hispanics live in higher density Hispanic
neighborhoods, Hispanic cultural values and consumer
consumption patterns including media, products, brands,
music diffuse to these non-Hispanics
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The Latino Influence Project:
What does it all mean?
ƒ The Hispanic market is growing, and their influence will
only increase
ƒ Rethink what we mean when we talk about a “general
market” campaign
ƒ Reconsider who your “influencers” are
ƒ Focus on Hispanic markets as hotbeds for cultural activity
►
The next big Hispanic market may be in a place we
don’t typically think of as Hispanic
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Question & Answer
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Taking it Further
Key links and contacts
www.experian.com/simmons
www.latinoinfluenceproject.com
John Fetto, Senior Marketing Manager
ƒ 212-749-3162
ƒ [email protected]
Andrew Speyer, Managing Director
ƒ 212-500-9430
ƒ [email protected]
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Join the Conversation!
TweetChat
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TweetChat directly
following this
webinar
Follow these simple steps:
Go to http://www.TweetChat.com
Use the hashtag #LatinoInfluence
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Participate in the conversation
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