Gaining Power in the Purchasing Arena

Sheer Numbers

The Hispanic market is on the rise, gaining immense purchasing power in the United States. As of 2010, they control 1 trillion dollars in spending power. This is on the swift and steady rise from just $210 billion in 1990.

The Hispanic market is developing strong buying power because of their population growth. In 2010, the market grew by 39.8 percent. This is more than any other ethnic group in the United States. Most of the Hispanic population is young, either in school or starting work. These age groups account for a significant amount of the consumer market and are a reason for the group’s high purchasing power.

Brand loyalty, although not as high as it once was within the demographic, is still higher than the general population. This makes the group even more appealing to marketers because of their loyalty in purchasing habits. Studies have shown that Hispanics spend more of their disposable income on groceries, apparel, and telephone services while less on healthcare, entertainment, and education.  This means that marketers should target Hispanics for the things they buy more of, and focus on gaining their loyalty to their brand.

Taking over the Purchasing Power

Employment has increased in the Hispanic market by 28 percent, which accounts for the increase in disposable income among the ethnic group. More Hispanics are working full time and entrepreneurship is on the rise. If these numbers continue to grow, the Hispanic market will be unstoppable in the coming years.

The power that Hispanics have on the consumer market is on the rise. Population growth, employment rates, and increased disposable income call contribute to powerful purchasing group. With the right marketing techniques, gaining power of this powerful market will serve as a beneficial marketing relationship. 

http://www.census.gov/prod/cen2010/briefs/c2010br-04.pdf



http://www.census.gov/prod/cen2010/briefs/c2010br-01.pdf

Cultivating a Culture with Clout

The Clout Culprit

The word “Hispanic” is used often to describe a wide range of people, but what does it really mean to be “Hispanic?” The ethnicity, not race, generally refers to any individual that traces the roots of their relatives through Mexico, Puerto Rico, Cuba, or any other Spanish speaking countries of Central or South America. This is a vast region and encompasses a wide variety of people and cultures; however they are all classified as Hispanic.

To be Hispanic in the United States is something that has changed drastically in the past decade. With the rise of population reaching new high of 50 million people and counting, the Hispanic community is becoming a force to be reckoned with.

Creating a Connection

This community becomes a golden opportunity for marketers because the growing community is becoming a lucrative market enriched with culture, a growing sense of patriotism, and sheer numbers. The bottom line is if you see a group flourishing and expanding, chances are this group is going to continue to do so. It is project by the United States Census Bureau, that by 2050, 33% of the entire population in the U.S. will be Hispanic. This number is significant realizing the numerous ethnicities that reside in the country.

The Hispanic market is a marketing goldmine for this very reason. If marketers can figure out what makes them tick now, they can gain their trust and loyalty and build a lasting relationship that will preserve into the future as the community thrives.

Culturally Challenging

Although a lucrative market it may be, the Hispanic community is no easy target market. The deeply dynamic group of individuals reside form twenty-some countries- each having its own culture, traditions, rituals, and beliefs. While they are all Hispanic, the term is very general and it would be fallacious to consider them all the same. For instance, even though Hispanic cultures all speak the Spanish language, dialects and accents vary within sub-cultures and can change the way they interpret things. It is important to know that not all Hispanics are created the same and sensitivity to the different regions and sub-cultures is important in maintaining them as your target market.

The Cultivation Commencement

Some businesses have already caught on to this idea, Listen Up Español, a Spanish language call center, has a branch in Hermosillo, Mexico. There, the sales representatives have a neutral accent that allows them to relate to each caller better.

The bottom line is that the Hispanic market is a group brimming with potential and opportunity. The key is to understand the market on a personal level that will allow you to give them what they want. Researching the cultures and developing a plan to implement your research is the first step in gaining an invaluable opportunity from this promising group of culturally diverse individuals.

http://www.census.gov/prod/cen2010/briefs/c2010br-04.pdf



http://www.census.gov/prod/cen2010/briefs/c2010br-01.pdf

A Time for Growth for Hispanics in the United States

The Hispanic community is defined by anyone whose ancestry originates from Mexico, Puerto Rico, and Spanish-speaking countries from South and Central America.

In the past decade, the United States has seen a significant shift in the Hispanic population and in their socioeconomic status.  According to the 2011 Census Bureau, the Hispanic population has exceeded 50 million, a 43% increase over the preceding ten years.

A Shift of Status

This increase is not a result from immigration, but is a result from a surge in the birthrates from Hispanic families.  The Hispanic youth makes up 23% of minors under the age of eighteen and those numbers are on the rise. It is projected by the Census Bureau, that by 2050, the Hispanic population may account for one third of the United States population, or 33%.

Due to the spike in Hispanic youth, the United States will see a rise in the political, social, and economic, power from this demographic in the years to come. The Hispanic population has grown and developed into a lucrative market with substantial clout in the many aspects of the economy.

Geographical Divergence

Growth in population has led to another growth in the Hispanic market as well. Geographically, Hispanics are spreading out to different states across the county. The 2011 Census Bureau found that since the year 2000, each region in the United States has seen a Hispanic population increase. The most significant of these regions were the South and the Mid-West.

With the geographical dilution of Hispanics into different regions of the country, a huge cultural impact is made on the United States, changing the way marketers in these different regions work. The Hispanic market cannot be ignored and is in fact a valuable target demographic.

http://www.census.gov/prod/cen2010/briefs/c2010br-04.pdf



http://www.census.gov/prod/cen2010/briefs/c2010br-01.pdf