branding in culture

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“To Sell me is to Know me” The In-culture Approach Multi-Cultural Equity Conference

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Page 1: Branding In Culture

“To Sell me is to Know me”The In-culture Approach

Multi-Cultural Equity Conference

Page 2: Branding In Culture

Overview

Exponential Market Growth

Un-even Growth and In-culture

How to ….?

[email protected] 2408.656.2498

Page 3: Branding In Culture

“America is a growing dynamic country whose

population will increase 50% over the next 50

years. Almost 90% of that increase will be in the

minority community, and this is where the

emerging markets will take place in America. It

is clear that both Fortune 1000 companies and

minority business need to pay attention to this

growing population.” William M. DaleyU.S. Secretary of Commerce, 2000

Exponential Market Growth

[email protected] 3408.656.2498

Page 4: Branding In Culture

Estimated income, over 665 Billion!!!

Projected growth in 12 months ?

2.1 Million new Hispanic consumers!

65 billion more in income!

Half a million new Hispanic households!

“True size” of Hispanic Market in 2003?

44.1 million*

[email protected] 4408.656.2498

Page 5: Branding In Culture

Presentation Overview

Exponential Market Growth

Un-even Growth and In-culture

How to ….?

[email protected] 5408.656.2498

Page 6: Branding In Culture

Historic “un-even” Population Growth Impacts Marketing Profoundly

0

10

20

30

40

50

60

70

1995 2000 2005 2010 2015 2020 2025

3rd+ Generation

2nd Generation

Foreign Born

Source:The Urban Institute, Washington DC, 1998, in

Valdes, I., Marketing to American Latinos, Part 1, 2000

Millions

[email protected] 6408.656.2498

Page 7: Branding In Culture

Why does it matter?

Page 8: Branding In Culture

Historic “un-even” Population Growth Impacts Marketing Profoundly

US born

• First, second, third generation

• Mostly English Dominant –some Bilingual

• Marketing savvy

Foreign born

• Recent arrivals vs. Long-term

• Mostly Spanish Dominant - many Bilingual

• Advertising, information “hungry”[email protected] 8408.656.2498

Page 9: Branding In Culture

Historic “un-even” Population Growth Impacts Marketing Profoundly

US born

• Brand, category “mature”

• Have emotional connection with brands

• Retail and shopping savvy

Foreign born

• Brand heritage with emotional connection

– brand known in country of origin

• No brand heritage - “unknown brands”

– lack of emotional [email protected] 9408.656.2498

Page 10: Branding In Culture

Historic “un-even” Population Growth Impacts Marketing Profoundly

US born

• Culturally closer to “American” culture

• Varies by degree of acculturation

• Some (exception) do not identify as Hispanic

Foreign born

• Many “Hispanic Traditional”

• Younger generation closer to mainstream

• Critical mass of Hispanics influences process

[email protected] 10408.656.2498

Page 11: Branding In Culture

A different Latin Youth!

[email protected] 11408.656.2498

Page 12: Branding In Culture

Presentation Overview

Exponential Market Growth

Un-even Growth

and In-culture

How to ….? Use culture In-Culture ….

[email protected] 12408.656.2498

Page 13: Branding In Culture

In-culture “LatinUSA”

Not an American nor a Mexican, nor

Caribbean nor ….

A unique - and large - market

that can be easily segmented based on

cultural parameters!

In-culture market segmentation strategies

are a tested road to success!!

[email protected] 13408.656.2498

Page 14: Branding In Culture

The “New” Latina/o

[email protected] 14408.656.2498

Page 15: Branding In Culture

What Is Culture?

“Culture may be defined as the system

of social institutions (the family),

traditions, values and beliefs that

characterize a particular social group

(country or community) and which are

systematically transmitted to

succeeding generations.”

[email protected] 15408.656.2498

Page 16: Branding In Culture

Acculturation“Process of integration of native values

with those of host country”

A process that involves many generations

Not achieved by all individuals at the same speed

Certain values are held for many generations (e.g.: Familismo - “Share of Heart”)

[email protected] 16408.656.2498

Page 17: Branding In Culture

Part of family

Family, friendscommunity

Differences,“respect”

Hispanics

Individuals

Ourselves,

institutions

Everyone the

same

Anglos

Hispanic vs. Anglo ValueOrientation Differences

[email protected] 17408.656.2498

Page 18: Branding In Culture

Use Latino Cultural Imperatives

Machismo(Man‟s role)

Leads

Provides

Marianismo(Woman‟s role)

Keeps family together

Chicoismo(Children‟s role)

Family legacy

Familismo(Family Centered)

Family Unity is Imperative

[email protected] 18408.656.2498

Page 19: Branding In Culture

Familismo Pillar of the Hispanic culture Includes extended family Emphasis on group and relatives Family’s (group) well being take precedence over

individual Must provide and sacrifice for All

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Page 20: Branding In Culture

MachismoA complex belief, value system Defines self and social image (“macho”) and role

Protector of family, provider, honor, virility, manly, courageous

Protector and respectful of women

Can have extreme and negative “expressions”

[email protected] 20408.656.2498

Page 21: Branding In Culture

Marianismo

Flip side of Machismo Defines traditional role of Hispanic

woman How she “must” think and behave She must “sacrifice,” (the more the better)

[email protected] 21408.656.2498

Page 22: Branding In Culture

Chicoismo“Child is King” Emphasizes dependency Over protection Parental role is “all

powerful” Not expected to think nor

provide for him/her self

“Reparatory” behavior

[email protected] 22408.656.2498

Page 23: Branding In Culture

Message Relevance

“A message must convey the

emotional significance of the

sentence, in addition to the

phonetic message, in order to

convey the “full” message”

[email protected] 23408.656.2498

Page 24: Branding In Culture

Presentation Overview

Exponential Market Growth

Un-even Growth

and In-culture

How to Manage?

[email protected] 24408.656.2498

Page 25: Branding In Culture

How to Manage?

Learn what is different about the Hispanic consumer

Determine how to capture ”Share of Heart” in your line of business

[email protected] 25408.656.2498

Page 26: Branding In Culture

Influencers?

Latino Youth „unique

culture‟ is next wave to

infiltrate GM culture,

the same way rap

became huge with

suburban kids

[email protected]

408.656.2498

Page 27: Branding In Culture

Segment your Hispanic Market

For example, use language segmentation

Spanish-Only

Spanish-Preferred

No preference/Bilingual

English-Preferred/Only

How to Manage?

[email protected] 27408.656.2498

Page 28: Branding In Culture

Use In-culture Age Segments 2000

Los Bebés/Los Niños (0-9) 18 %

Generation Ñ (10-19) 17 %

Latinos/Latinas (20-39) 38 %

Latin Boomers (40-59) 24 %

Los Grandes (60 +) 9 %

How to Manage?

[email protected] 28408.656.2498

Page 29: Branding In Culture

Hispanic Boomers

[email protected] 29408.656.2498

Page 30: Branding In Culture

Segment by country of birth and descent (and age upon arrival)

Mexican 58 % (20.6 M)

Puerto Rican (continent) 10 % ( 3.4 M)

Cuban 4 % ( 1.2 M)

Other Hispanic 28% (10 M)

Puerto Rican (Island) 3.8 million

How to Manage?

[email protected] 30408.656.2498

Page 31: Branding In Culture

How to Manage?

Promotions

- Communicate location of stores clearly

via mass media (print);

- Train staff on how different the

shopping experience is for foreign-born

Hispanics

[email protected] 31408.656.2498

Page 32: Branding In Culture

Use culture in Communications

Babies: birth, christening

Children: birthday, First Communion

Teens: Quinceaňera, birthday

Romance: anniversaries

Religion: Holydays

How to Manage?

[email protected] 32408.656.2498

Page 33: Branding In Culture

How to Manage?

Use models/talent that look/feel Latino

Talk to “Hispanic emotional buttons”

Take advantage of the emotional power of Spanish language across acculturation segments

Add Latino and/or “Latino friendly” employees

[email protected] 33408.656.2498

Page 34: Branding In Culture

How to Manage?

Product Selection

- Find out nationality of Latinos in your stores’ zip-code and merchandize accordingly

- E.g: Use the 3 to 5 mile radius geo-demographic reports provided

[email protected] 34408.656.2498

Page 35: Branding In Culture

How to Manage?

- Use culture to select products

- If Mexicans, (or Cubans, or other) are dominant, merchandize accordingly vendors from these countries, - select their colors, styles, accessories, gift items, (more than language!)

- Work with buyers sensitive cultural “likes and dislikes”

[email protected] 35408.656.2498

Page 36: Branding In Culture

How to Manage?At point of interaction …

Use “in-language” signage (imagine you are in foreign country!)

Highlight new products, services

- Assume many are new to a large % of adult Hispanics

- “Show Me”, versus “Tell Me”

[email protected] 36408.656.2498

Page 37: Branding In Culture

How to Manage?

“Entertain” the children (or the husband?)

A small candy will go a long way!

Always show/express “respect”

E.g., Mr. Mrs.

Create simple floor plans/maps to help locate the products in the store

[email protected] 37408.656.2498

Page 38: Branding In Culture

Presentation Overview

In Sum….

[email protected] 38408.656.2498

Page 39: Branding In Culture

“Use culture In-Culture”!

Culture is the “programming”

that sets up our values, beliefs,

expectations, etc.

Use culture “In-culture” at every

point of interaction with

customers, vendors, employees

[email protected] 39408.656.2498

Page 40: Branding In Culture

“Culture is our Programming”

In-culture segmentation strategies

consider:

Country of origin (Dominant, other)

Generation and age upon arrival

Language/s

Age cohorts, In-culture

Hispanic population density, etc.

[email protected] 40408.656.2498

Page 41: Branding In Culture

How to go about?

Study your branch, or store’s 20-30 mile radius

for “cultural insights”

Consider new market segments

(e.g.: Spanish-Only, Bilingual segments)

Acculturation level (Language usage,

country of birth, years in US, generational

segment, etc.)

[email protected] 41408.656.2498

Page 42: Branding In Culture

How to go about?

Use free on-line marketing data

US Census 2000 data and others

Annual CPS reports and many others

Identify syndicated research, “get to know your target” and benchmark before major ad campaigns

Plan and execute your marketing strategy with state of the art Geo-segmentation tools

[email protected] 42408.656.2498

Page 43: Branding In Culture

How to go about?

Hire Hispanic marketing and advertising

“X- perts” as you would for your non-

Hispanic programs!

Do not cut corners and “forget” to conduct target consumer research

Dedicate a healthy budget “if you want to see results”!

[email protected] 43408.656.2498

Page 44: Branding In Culture

Orlando Moreno

[email protected]

408.656.2498

Muy Buena

Suerte!!!