Four Critical Factors For

Successful Hispanic Marketing

Outline

1. Product Life cycle

2. Acculturation or Lifestyle Stage

3. Right versus Left Brain thinking

4. Communication Style

5. Examples

Population Growth 2000 - 2050

Hispanic

African-American

Asian-American

Non-Hispanic Whites

Population Growth 2000 - 2050

(millions)137.7

66.9

25.5 22.715.4 14.6

-

20.0

40.0

60.0

80.0

100.0

120.0

140.0

160.0

Total Hispanic Black Asian Other White

Without white immigration this is a (negative) number

What Do The Numbers Say?

Where Is Your Customer in the Product Life Cycle?

NEW

Where Is Your Customer in the Life Stage and Acculturation Range?

Product Life Cycle

Acculturation Range

Life Stage

AD&D or Burial Insurance with casket repatriation

AutoVantage

Privacy

(maybe)

Left vs. Right Brain

• Intellectual• Sequential• Analytical • Logical • Accuracy-Driven

Left brain Right brain

• Emotional • Intuitive • Creative • Big Picture• Visionary

It is important to understand that, in general, Latinos are culturally “hard wired” differently. There is more focus on right brain thinking.

• To reason in English is not the same thing as to reason in Spanish

• To put it simply, language has an ideological agenda that is likely to be hidden from view

• We incorrectly believe it to be a direct, unedited, unbiased expression of how the world really is.

• But English and all languages are biased!• Spanish is a right brain language, so….• The Spanish language has not favored intellect over emotion. It’s bias,

or thought process, has not favored the left brain over the right brain.

This Is a Very Real Cultural Difference

Left vs. Right Brain

He's on top of the situation, in high command, and at the height of power in having so many people under him. His influence started to decline, until he fell from power and became the low man on the totem pole, at the bottom of the pile.

Left vs. Right Brain

Language Preference in 20 Situations

•When writing my own notes I prefer to write in

• I prefer to think in• I prefer to pray in•At church/temple I prefer to speak•When speaking at home, I prefer to

speak•When speaking to children in my

family, I prefer to speak•When speaking to my spouse/partner,

I prefer to speak•When speaking to my brothers/sisters,

I prefer to speak•When speaking to my parents, I prefer

to speak•When speaking to my grandparents, I

prefer to speak

•When speaking to answering services over the phone, I select

•While ordering over the phone from catalogs, I prefer to speak

•When using an ATM I prefer to use• I prefer to shop at stores where I can

speak•When speaking at work, I prefer to

speak•When speaking at school, I prefer to

speak•When speaking to my friends, I prefer

speak• I prefer to listen to the radio in• I prefer to watch TV in•When reading newspapers/

magazines I prefer

Cecilia Alvarez, FIU, 2004

English all the time

Englishmost of the time

English and

Spanishequally

Spanish all the time

Spanish most of the time

Cecilia Alvarez, FIU, 2004

Spanish language use declines as the generation increases

Familism

11. A person should always support his uncles or aunts if they are in need Relatives are more important than friends

12. No matter what the cost , dealing with my relatives’ problems comes first

13. Children should always have the respect for their parents

14. Children should always have respect for elderly people

15. Adult children should make sacrifices to care for their parents

16. Adult children should often seek their parents’ advice

17. Parents should sacrifice themselves in order to provide their children with the best

18. Daughters should live with their parents until they get married

19. Married children should live close to their parents to help each other

20. Aging parents should live at home with their children

1. I will be fulfilled as my family succeeds

2. I value my children’s health above my own

3. I work hard to give my children the best education they can get

4. One of the most important goals in life is to have children

5. Some equality in marriage is good, but by and large the father ought to have the main say in family matters

6. Parents should feel responsible for their children’s happiness

7. In an unhappy marriage, parents should stay together for their children’s sake

8. People should consult close relatives concerning important decisions

9. Keeping old family recipes is important

10. Children should be taught about their family history

Disagree Neutral Agree Strongly agree

Cecilia Alvarez, FIU, 2004

Cultural values are maintained even as the generation increases

Cecilia Alvarez, FIU, 2004

White

Hispanic

There are significant differences between the Hispanic and general market

Disagree Neutral Agree Strongly agree

2 3 4 5

(Average of generations)

Cultural Communication Style

Neither is right nor wrong - they’re just different. Americans expect an answer upfront followed by supporting arguments. Latin Americans first give the supporting arguments that lead down to the answer. This is not a language issue, it’s actually an issue that is strongly influenced by what is considered a persuasive argument in each region.

Main point/conclusion

Supporting Arguments

GeneralMarket

Main point/conclusion

Supporting Arguments

Hispanic

Culture and DM

• The family is always important.– it’s protecting your family, not financial security, but don’t be

patronizing

• Free or Gratis is a very powerful word.– Be Careful

• Avoid blatant overuse of numbers.– You want to reach the heart, not the left brain

• Fear is not a good motivator.– It is too emotional and relies on left brain thinking. Watch the cultural

no no’s

• Clear product explanation– But don’t be afraid of proven DM techniques

Culture and DM

• Emphasize the 800 number.– Many Hispanics prefer this order method

• Outbound TM may be a very viable option.

• Hispanics are cynical and skeptical.

• Word of Mouth is very powerful.

• Hispanics love to be courted.

• Build Trust

Mailed: 196,362Responses: 55Response Rate: 0.028%Net Profit/Loss: ($66,194)

Direct Translations Why lead with a premium?

Explain product first, persuade

Very small type

Should be bilingual

Basic DM rules apply, emphasize offer

Awkward, perhaps incorrect, language, takes away from the most important message, valued customer

Good Creative

AMEX “dogs”

Magazine Ad(very “in culture”)

Culture and DM Offers

You Get All This Free:• Binder for Cards• Dividers to organize• 2 packets, 24 Cards• Bongo Premium

*And pay only $5.95 for your fist packet

You Get All This for $5.95• Binder for Cards• Dividers to organize• 3 packets, 36 Cards• Bongo Premium

• Here’s how it works

• Questions? Call 800 xxx

Four Critical Factors For Successful Hispanic Marketing

1. Product Life cycle

2. Acculturation or Lifestyle Stage

3. Right versus Left Brain thinking

4. Communication Style

DMA is offering a special price of $99 on their report Reaching the US Hispanic Market: Consumer Attitudes and Buying Behavior which captures the most recent data about Hispanic-American attitudes towards shopping from home and identifies their current buying patterns and trends.

Multichannel Media Channels include direct mail/catalog, Internet/e-mail, telephone, television

With this report YOU can:

•Profile the demographics of the Hispanic-American population •Understand the attitudinal differences between "buyers" and "non-buyers" •Know which language to use when communicating with Hispanic consumers •Uncover the factors that lead to infrequent distance shopping •Identify ways to increase Hispanic consumers' direct-response shopping

PLEASE VISIT THE BOOKSTORE TO FIND OUT MORE INFORMATION AND TO PURCHASE THE REPORTwww.the-dma.org/bookstore <http://www.the-dma.org/bookstore>

¡Gracias y Thank You!

Michael Saray Hispanic Marketing, Inc.

419 Lafayette

New York NY 10003

212 277 8027

Michael@michaelsaray.com