National Hispanic Advertising Agency

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Retro-acculturation. How U.S. Hispanics are strengthening their culture.

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Have you ever heard the term retro-acculturation? Does it sound like a study of vintage items in different cultures? Think again.

Retro-acculturation is commonly known as the practice of adult Hispanics wanting to learn or improve their Spanish. The question is: why do people want to improve their Spanish in a country where the “dominant” language is English? The answer is simple: many Hispanic families moved to the United States years ago with the purpose of having a better future and reach the American dream. Generations went by and the culture and heritage started to fade. Now, they want to revive their cultural roots.

Retro-acculturation plays a big role in these particular cases. Many young Hispanic Millennials born in the U.S. are going back to their roots by showing their offspring the richness and value that the Hispanic culture has. One way or another it has impacted their lives and it is a part of who they are. They are not only improving their Spanish but also teaching their kids the language and culture in general, showing the importance and impact that being bilingual and bicultural can have in one’s life. As teenagers, many young Hispanics don’t want to be associated as the typical Latino or Latina watching telenovelas and eating some pernil, but as time passes they start feeling that necessity of reconnecting with their roots. [Read more…]

4 Tips to boost your bottom line with hispanic millennials

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Hispanics are becoming a significant influence in mainstream culture in the U.S. Not only are they the largest minority group, but also the fastest growing segment. It is estimated that 1 in 5 people are Hispanic in the U.S., and that number will increase to 1 in 3 by 2050. Just about every business needs to pay attention to this market.

Hispanics are a young and vibrant community. Within that community, the average age is 27 years old, which is 10 years younger than the general market. The Hispanic Millennial group is drawing a lot of attention from corporate America.

Millennials, also known as Generation Y, refers to anyone born in the U.S. between the early 1980s to the early 2000s (approximately ages 13 to 35). This young group contains the marketing “sweet spot” of 18-25 year olds, which is a very lucrative market for many industries.

According to a study from PNC bank, Hispanics between the ages of 20 and 29 carry about $10,000 less debt than other Millennials. The average debt of this particular age bracket is $18,000, versus $27,800 for their peers. This age group of Hispanics is also more likely to be saving on rent by living with their parents (45%) compared to their counterparts (39%). [Read more…]

Knock, knock. Hispanics and the housing recovery.

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We say happy wife, happy life. There is a lot of truth behind that phrase. It was a big lesson learned by a close friend of mine when he was ready to become a homeowner with his wife after renting an apartment for a few years. After all, it’s mama that runs the household, especially in Hispanic families. That’s why many smart business owners are learning how to connect with Hispanic women, also called Latinas, and growing their business significantly because of it.

Latinas play an important role when it comes to shopping and purchasing big-ticket items. According to the NAHREP report “State of Hispanic Ownership,” Hispanic homeowners grew over 58% during the past 12 years while the rest of U.S homeowners only grew 5%.

Hispanics are a young and vibrant community. Based on the latest Nielsen report “State of the Hispanic Consumer,” it is estimated their average age is 27 years old, which is 10 years younger than non-Hispanics. Their household income of $50k+ is growing faster compared to overall population. There are more Hispanics attending college than ever before. So the role that Hispanics will be playing in the housing market will be very significant now and in the near future. If you are in the real estate industry, it is a market you have to start building on. [Read more…]

Latinas. The driving force of hispanic households.

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They run the household and soon could be steering your bottom line. Hispanic women, also called Latinas, play an important role when it comes to shopping for their households. Even though a father figure is a sign of respect and authority in a Hispanic family, mom most of the time is the one who runs the show and has the final word. I remember being a little kid asking my father for permission to hang out with my friends. After I got his approval he asked me, “Did you also ask your Mum about it?” I am sure this sounds familiar to many of you.

It is important to understand cultural nuances if you want to engage with this growing and influential target audience. It is curious to see on English marketing campaigns that the father figure is portrayed as somebody that doesn’t know what is going on or always breaks something in a household. This humorous portrayal of a father figure can make several target audiences laugh. However, if you try that with the Hispanic audience you will insult just about every Hispanic man if they are represented that way. These kinds of cultural nuances are important to keep in mind, and they prove why it is so important to stay away from literal translations when it comes to your advertising and marketing.

Based on the Nielsen report “Latinas are a Driving Force Behind Hispanic Purchasing Power in the USA,” Hispanic women are expected to represent 30% of the total U.S. female population by 2060. White female population is expected to drop 43%.
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Advertising. The best investment in time of crisis.

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Even though the economy is showing signs of improvement in the USA, there are still some companies that feel a little concerned about their future.

It is very important to maintain leadership and visibility in the market place—especially in times of crisis. You must sustain the brand positioning that has set you apart from the competition so far. However, many companies, including small business owners, decide to stop their advertising efforts during these difficult times. They see advertising as an expense, not as an investment.

Henry Ford said, “A man who stops advertising to save money is like a man who stops a clock to save time.”

Some business owners and executives also think that stopping advertising is the easiest way to cut costs. Minority efforts are the first programs to disappear, even though they represent a big portion of business success. What most people don’t see is the long-term damage they are doing to their brands with these decisions. Sales and market share will also be affected for the next 3 to 5 years, allowing the competition to become a top of mind choice for their customers. Once you lose trust from them, it will require more investment to get it back. And even then, it is not guaranteed. [Read more…]

Fútbol: The king of sports to connect with hispanics

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There are many things that Hispanics from different nationalities and generations have in common: language, culture, food, and values top the list. However, sports are central to their identity. Favorite teams are passed down through generations. It is a family bond. Sports engage not only U.S. Hispanics but also foreign born.

Hispanics are big fans of boxing, baseball, UFC fights, basketball, and football. However, soccer (fútbol) is the major sport. Spanish-speaking and bilingual Hispanic consumers have a great affinity for fútbol games played at the national level. Soccer games featuring Mexico “El Tri” are among the hottest sports properties and draw immense viewership among Spanish-speaking sports fans. Considering that 73% of Mexican Americans speak mostly Spanish or are bilingual, these games are a sure bet to draw huge audiences, emphasizing the combined influence of language and country of origin.

Based on the latest sport report from Nielsen, 94% of Hispanic males say they’re sports fans, and 56% of Hispanic males consider themselves avid fans. Also, Hispanic fans are twice as likely to attend sporting events at least once per week. When they’re not at the games, watching sports is an opportunity for them to socialize. They like to watch sports programming with others. Fifty-five percent of Hispanics say they’re more likely to take in a televised game or other sports programs at someone else’s home, while 45% of non-Hispanics noted that they do so. However, according to the Nielsen report, they tend to use the mobile device to watch sports-related content (24% use a tablet to watch sports content, 27% use a smart phone compared to 12% and 15% among non-Hispanics). [Read more…]

Tourism. A multi-billion dollar attraction to hispanics

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Tourism is one of the world’s largest industries. There are cities in the USA and countries like Mexico, Spain, Costa Rica, and many others in South America that have been even transformed by this great economic resource.

Among the Hispanics in the United States, the immigration phenomenon and the need to stay connected with their family have created a new vehicle and opportunity to expand Latin American tourism. Even though this industry is being threatened by international terrorism, which seriously affects communication and deployment, travel to their home country to visit relatives has not stopped. They also have a considerable interest to continue to learn about the Latin American culture and explore the countries where they came from.

In the U.S., Hispanic travel is growing at a faster rate than the general market. Its current economic impact is already estimated at more than $42 BILLION dollars annually based on the latest tourism report by Mandala Research. [Read more…]

Hispanics & Clothing

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An industry that won’t go out of fashion.

Hispanics are a young, vibrant, and rapidly growing community in the USA. It is estimated that their average age is 27 years old, which is 10 years younger than non-Hispanics. They also have an average of 3.6 people per household verses 2.4 in the Anglo market.

There are many industries that can benefit from this booming demographic. The retail sector is definitely one of them. According to “Think with Google’s US Hispanic Retail Consumers study,” clothing is the most popular retail item purchased by Hispanics (89% for Hispanics vs 86% for the general population). Also, Mintel, a global and award-winning provider of Market Research, reports that in the footwear category alone Hispanic spending is at approximately $475.78 annually compared to $280.01 for non-Hispanics.

Based on a 2013 survey “Prosper Insight & Analytics,” Hispanics tend to purchase clothing when it is on sale (60.5% of males and 69.7% of females). Additionally, 15.4% Hispanic males and 17.8% Hispanic females buy clothing only when it’s on sale. So, it may be difficult to sell full price clothing to this target audience, but retailers will do very well if they consider a pricing strategy that “walks up” their pricing.  With careful planning and an excellent retail business plan, the “red tag sales” and “20% off sales” can continue all day long. [Read more…]