the latino influence project - experian consumer expectations index ... internet has become their...

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The Latino Influence Project

Dr. Max Kilger, Chief Behavioral Scientist, Experian Marketing Services

Holly McGavock, Director of Planning, Wing

2©2012 Experian Information Solutions, Inc. All rights reserved.Experian Public.

Today’s Discussion

Holly McGavock

► Director of Planning, Wing

Dr. Max Kilger

► Chief Behavioral Scientist, Experian Marketing Services

Agenda

Hispanic consumer trends

Latino Influence Project overview

Key Findings

What does it mean?

Join us after the webinar for a TweetChat Tweet using the hashtag

#LatinoInfluence


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.

Hispanic populationThe Hispanic population continues to grow


Nearly a quarter of Americans age 6 to 34 today are Hispanic compared with less than 10% among those age 50 and older.

Hispanic populationYoung Americans much more likely to be Hispanic


Hispanic households control 10% of spending on non-essentials nationwide, but control 17% of discretionary spending in the Western U.S.

Discretionary SpendingSpending on non-essentials


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.

Discretionary SpendingSpending on non-essentials


The Hispanic population is growing nationwide from Utah to Illinois to Florida

Growth MarketsHispanic population growing coast to coast


Even during the recession, Hispanic consumers are 5% more optimistic than non-Hispanics, on average.

Experian Consumer Expectations IndexHispanic consumers consistently more optimistic


Language preference by generation3/4 of Hispanics prefer to speak at least some Spanish

While first generation Hispanics are predominantly Spanish-dominant, second generation Hispanics are predominantly English-dominant, though many still speak some Spanish.


Attitudes towards advertisingSpanish ads matter, even among English-dominant

Hispanics, even many English-dominant Hispanics, still have emotional ties to the Spanish language that carry over to companies that advertise in Spanish.


Top indexing Shopping sitesTech sites, among others, skew to Spanish-inclined

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.


Social Media Downstream TrafficLatinos are influenced through social media

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.

Aeropostale 8.3 million fans

LEGO Worlds 3.1 million fans

Barbie 6 million fans

JustFab1.2 million fans

ShoeDazzle2 million fans

Toys “R” Us3.4 million fans

Party City1.8 million fans

Macy’s9.3 million fans

Best Buy6.5 million fans

Hollister 9.8 million fans


The Latino Influence Project


The Latino Influence Project: Move beyond anecdotes


Methodology

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.

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.

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.


What we found

Latinos are influencing the non-Latinos around them in many areas:

Food, drink, sports and musicFashion/AppearanceCookingTechnologyEnvironmentHealthTravelAdvertisingWork and Success

What we expected to find

Some surprises


Some of our findings


Hispanics and Food, drink, sports and music


Findings: Food, drink, sports and music

Non-Latinos living in high-density Hispanic areas are:

14.2 times more likely to eat enchiladas

5.5 times more likely to eat jalapeños

8 times more likely to play soccer 6 times more likely to listen to salsa & merengue


Food, drink, sports and music: Food for thought

Sports and music-related events that are typically targeted to Hispanics might be an opportunity to connect with non-HispanicsMexican food is so mainstream that it is not even considered ethnic anymore. Could the same trend happen for other regional specialties and products?


Hispanics and fashion/appearance


Findings: Fashion and appearance


84% more likely to say they are usually the first among their friends to try new clothing styles

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

200% more likely to say they like to stand out in a crowd

46% more likely to say they like to make a unique fashion statement


Fashion and appearance: Food for thought

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.


Hispanics and technology, mobile and internet

When it comes to technology, Latinos:Lead the way in smartphone and tablet adoption

Spend more time watching video online

Over-index in most social media sites (Facebook, twitter, etc.)

Why?A younger population

Staying connected

Price

Innovator status


Findings: Technology, mobile and internet


2.3 times more likely to use their cell phones to get the

information they need.

2 times as likely to say texting is just as meaningful as an actual conversation.

71% more likely to keep up with developments in technology.

2 times more likely to say the internet has become their primary

source of entertainment.


Technology, mobile and internet: Food for thought

Online and mobile should be considered as key communication channels when targeting Hispanics and the non-Hispanics living among themConsider ways to provide these consumers the information they are searching for, but also entertainment via mobile/online channels


Hispanics and the environment

When it comes to the environment, Latinos:Are more likely to say they are concerned with the environment than their non-Hispanic counterparts

Come from a tradition of reducing, reusing and recycling

Why?Economic necessity

Relationship with nature/collectivism

Children learning about recycling in school


Findings: The environment


3.6 times more likely to say they make a conscious

effort to recycle.

2 times more likely to say all products that pollute the

environment should be banned.

● 2.1 times more likely to say they are worried about pollution and

congestion caused by cars.2 times more likely to say they buy paper products that are recycled.


Environment: Food for thought

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.Consider leveraging the ways Hispanics have been reducing, reusing, and recycling as education and inspiration for non-Hispanics


Findings: Hispanics and health/nutrition

When it comes to health, Latinos:See good health as a balance between spiritual, physical, and emotional worlds

Are more likely to turn to alternative medicines such as home remedies or herbs

Look to informal sources of advice for medical information

Why?Relationship with nature/spirituality

History of folk medicine

Distrust in the scientific/prescription medicines


Findings: Health and nutrition


2.1 times more likely to prefer alternative medicine

to standard practices.

2 times as likely to say their friends ask for their advice about

health and nutrition.

2.2 times more likely to trust homeopathic medicine.

81% more likely to believe that vitamins/minerals should be taken

for long-term benefits.


Health and nutrition: Food for thought

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.Consider messages that reflect this mindset, which may be more relevant than messages that use a more scientific approach.


The Latino Influence Project: Cultural Diffusion

Cultural diffusion can occur when two cultures live in close proximity to each other (e.g. propinquity)Traditionally marketers have thought in terms of Hispanics adopting cultural elements from their U.S. host cultureBut 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 neighborhoodsWhen 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


The Latino Influence Project: What does it all mean?

The Hispanic market is growing, and their influence will only increaseRethink what we mean when we talk about a “general market” campaignReconsider who your “influencers” areFocus 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


Question & Answer


Taking it FurtherKey links and contacts

Andrew Speyer, Managing Director

212-500-9430

[email protected]

John Fetto, Senior Marketing Manager

212-749-3162

[email protected]

www.experian.com/simmons

www.latinoinfluenceproject.com


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Follow these simple steps:Go to http://www.TweetChat.com

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the latino influence project - experian consumer expectations index ... internet has become their...

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