Does the Hispanic market play an important role in luxury brands? Absolutely. Affluent Latinos grew over 200% over the last decade. Based on the latest census, Hispanics with a household income of $100K+ represent over 12% of total U.S. Hispanic households. It is also estimated there are only 8.5 million people in America with a household income of over $200K+.
Besides the household income, acculturation plays an important role to define affluent Latinos. Acculturation is the process of learning a new culture while maintaining the values and behaviors of the original culture. The Spanish language remains a strong connection to Hispanic heritage. However, as U.S. Hispanics become more integrated into mainstream culture and society, English becomes more important in work and education. Spanish is spoken at home for the majority of U.S. Hispanics, but less than half speak Spanish in their work places.
There are 4 segments of affluent Latinos in the U.S.:
Small Business Owners: Annual Sales over $750K, first generation Americans, they are less acculturated and Spanish-language preferred, ages 35-65.
