Friday, October 22, 2010

Top Four Reasons Advertisers Mistakenly Overlook Hispanics

Four common misconceptions about Hispanic marketing in Denver keep most of Colorado’s advertisers from targeting Hispanics.  Denver’s top multicultural advertising agency, Hispanidad, offers some answers.

1.) We don’t "segregate" our marketing efforts. We view all ethnicities as equals.


The fear of being perceived as a racist or even a reverse racist because you market specifically to Latinos is, while a little absurd, rather common. But every sales person and every marketing department under the sun worthy of their job title knows you can't approach everyone with the same message and approach. That's why we target separate demographics, gender, economic income, education, etc.  Ethnicity in advertising is simply another demographic to better target your marketing with, not a racial divider of consumers. The same way feminist groups aren’t boycotting Old Spice deodorant; anglos won’t boycott you if you run an ad in a Spanish language newspaper. They most likely won’t notice and even if they did, most all could care less.  And if you found a few rare examples of someone who did take offense to it, I suggest re-thinking the value of that person's business vs. the value of the entire Hispanic clientele.  


Plain and simple: Don’t confuse employing strategic marketing demographics with being a racist. Hate doesn’t figure in this equation anywhere. Black, white and brown are all motivated to purchase products and services uniquely, and they all mean more green if they are marketed to in a culturally relevant manner.


2.) “Our business goals are met without any focus on Hispanics, so why should we change our marketing?”


One look at tomorrow’s consumer should be evidence enough that the market that fuels your business today is not the market you’ll do business with in the future. This minority and “niche market” is becoming the majority and “general market.” According to Denver Public Schools, over 57% of enrollment is Hispanic. Yes, well over half. Those youth, whether they are English or Spanish speakers, are more likely to adopt brands their families use today. If you wait to market to those DPS students until they finally reach your age demographic, you’ll be years behind your competitors who have already been speaking to the market, have already established brand recognition and are enjoying a faithful clientele. Your business may be thriving today, but a lack of marketing to Hispanics now is a great way to forecast decreased sales 10 years from now.

3.) “Sure the Hispanic market is significant, but  they are mostly acculturated. They prefer English, and I can reach them with my existing marketing.”


Actually, according to the Nielsen Hispanic TV Index, around 60% of Denver’s Hispanic market is either bilingual or prefers Spanish. That is not to say they are not consuming English-language media. That same index will often demonstrate higher Hispanic viewing levels on KUSA NBC than KCEC Univision. But ask yourself, would you be inclined to purchase something that was pitched to you with images, phrases, values and symbols other than those that resonate with you? Or would something familiar to you be more likely to catch your attention? Culture is key. Just like you wouldn’t use a NASCAR sponsorship to invite Cherry Creek’s jet-set shoppers to a high-end spa, or run an ad for a business networking seminar on Westword’s back page, you shouldn’t attempt to reach the Hispanic market with your general market strategy.


4.) “If I’m going to invite Hispanics to my business, I need to put everything in Spanish and hire bilingual staff. We don't have the budget for that."


Although it is important to recognize that appealing to Spanish speakers in their language of comfort makes them feel welcome and is key to their overall satisfaction with your business, it’s also important to avoid letting language keep you from tapping this market’s potential. The Hispanic market is much more diverse than the stereotypical familia Mexicana in an F-250 having a carne asada, watching futbol on a Sunday afternoon. Denying yourself the entire Hispanic consumer base because you don’t have resources for one segment of it is a waste. Even the top Hispanic advertisers don’t enjoy business from the entire Hispanic population. Our advice? Study the potential for your business. Determine who can be you next customer. Is it the acculturated third-generation Hispanics? Is it the young, bilingual, social-media Facebook updater? Is it the MLS soccer fans? Bronco fans? Hispanics are all of these people and are best reached with a tailored message, but that message doesn’t always have to be delivered in Spanish.


Also consider this: Most recent-arrival Spanish speakers want to acculturate and will appreciate someone who respects them, wants their business and helps them with the process of adapting to the U.S. I’m a fluent Spanish speaker and bicultural expert, however, I have found that, more often than not, a Spanish speaker in the U.S. will want to show off their language skills and engage me in English conversation, even though they are clearly more comfortable speaking Spanish. If you don’t have the resources to speak Spanish, take advantage of their desire to adapt. Consider how your marketing can demonstrate appreciation for them using Spanish and/or other cultural cues that let them know you are interested in reaching them. But allow them to do business with you in English. That’s thinking outside the box, and it allows you to tap into the market without the burden of an entire language adjustment.

One more argument: Reconsider what you’re missing by avoiding Spanish speakers. Sure it may seem daunting to make the language adjustments, but what’s more daunting is the loss in market share that you risk by ignoring this demographic. Take the time to test the fluency of your staff, and train them if needed. Have certain materials translated. Create signage to make Spanish speakers feel welcomed. Hire a Hispanic marketing firm and put their expertise to use on your brand and business. Go ahead and make the investment. You’ll be one of few in Denver to have realized the potential. Best of all, you’ll likely stand to corner the market.

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