How to Market to Hispanic Consumers

Within the last five to ten years, more brand want to know how to market to Hispanic consumers. The bad news is that to date, many United States brands do not cater to the Hispanic market despite some very convincing numbers:

• The GDP among US Hispanics went from $1.7 trillion (2010) to $2.3 trillion (2017)
• In that period, product/service consumption among United States Hispanics increased by 42% (72% faster than non-Hispanic US citizens)

The good news is that most do a poor job and don’t know how to market to Hispanic consumers. That spells opportunity for brands in America and those throughout the world.

What can a brand interested in knowing how to market to Hispanic consumers do (or do better) to improve sales and open opportunities in America, Latin America, Spain, and beyond?

How to Market to Hispanic Consumers in the US

Know the Difference Between Hispanic, Spanish, and Latino

When marketing to Hispanics, it’s incredibly important to understand differences in how terms are used and how they resonate.

Hispanic

The term refers to a person who is from (or has ancestors from) a Spanish-speaking territory or country. In 2019, 60 million or 18% of the United States population was Hispanic. Mexicans comprise about 60% of Hispanics in the United States, followed by Puerto Ricans and Cubans.

Spanish

The word refers to the language as well as the nationality. It’s a common error to assume one who speaks the language is Spanish. A person who speaks Spanish is Hispanic. A person from Spain or has origins from that place is Spanish.

Latino

Latino and Latina are terms used to describe a person from Latin America or has origins from the region. Hispanics may also be Latino or Latina. However, a person from Spain would not. Latinx (Latin-Ex) is a neutral term applied to both genders.

Understand Regional Differences

Does a person prefer a brand use Hispanic or Latino when offering goods or services? While some people may not have a preference, it’s respectful and important for marketing teams to understand regional differences.

Recent research shows those in California prefer the term “Hispanic” but a higher percentage of people use the term in Texas versus “Latino” or “Latina.” If you don’t have a greater understanding of regional preference, you run the risk of making marketing errors and alienating your target market.

Customs and use of the Spanish language changes depending on location. Consider how regional and local American football can get in reference to fan loyalty.

Further Reading:

Why and How to Create a Style Guide for Translations

How to Properly Address Spanish Speakers

Mind Generational Gaps

In 2020, marketers must understand the evolution of cultures in America. For example, a grandfather from Puerto Rico may have different preferences and behaviors than his grandson who was born and raised in America.

“Traditional” Spanish speakers may still speak the language in the home, watch Spanish television, listen to Spanish radio, and prefer browsing the Internet in Spanish. However, a “millennial” is a part of the younger generation, one who is more likely to embrace new customs while honoring their roots and heritage. This population uses social media and is more accustomed to modern digital marketing platforms.

Hispanic Digital Marketing

In regard to Hispanic digital marketing, advertising and marketing teams segment the population further:

Those deemed “Hispanic dominant” mostly speak Spanish in the home and consume most of their information in the language. They have been living in the United States for under a decade.

Those who are “Bi-cultural” are bilingual at home and tend to prefer media consumption in English. They have lived in the United States for over 20 years.

A “US dominant” buyer generally speaks English in the home and prefers information in the English language. Despite having ancestors and immediate family members from elsewhere, they have lived a majority or all of their lives in the United States.

Localize Content

Imagine you’re selling piggy banks to the Hispanic market throughout the world. Does a Mexican use the same terms to search for a piggy bank online as compared to a shopper in Spain?

What about shopping for clothes? Should an online supplier take note of how local suppliers refer to goods as well as categorize offerings? Absolutely! Otherwise, the endeavor of marketing to the Hispanic market seems contrived.

Hispanic consumers are sensitive to culture. 70% of those surveyed mentioned that it’s very important for a website’s content to be culturally relevant. In regards to how the language is used, 88% of Hispanics take notice of Hispanic-targeted ads (regardless of actual interest) and 41% feel more favorable about a brand that “gets” the different regional cultures.

Further Reading:

Mistakes Brands Make When Engaging the Hispanic Market

Embrace Mobile

Many Hispanic consumers use mobile devices to research sought products and services online. Based off US research:

• 79% use search engines on a daily basis
• 73% use search engines to research sought goods and services
• 68% of those who search at least once per month use a smartphone
• 83% of those using mobile devices, do so in stores to aid in making buying decisions

Highlight Relevant Topics

When marketing to Hispanics, consider what the targeted population cares about. What is unique to their experience and what about your products or services shows acknowledgement and expertise regarding Hispanic culture?

For example, do Hispanics in the United States celebrate Spanish holidays in the same way as those in Spain? For example, Day of the Dead celebrations in Mexico adopt a much more positive and festive tone while celebrations in Spain are less cheerful.

Provide Entertainment

Marketing to Hispanics means understanding cultural icons. Smart marketing techniques involve recruiting Spanish influencers and understanding what forms of entertainment are most intriguing to Spanish-speaking markets around the world.

For example, CNET entered the Hispanic market with zeal by partnering with Latin World Entertainment in addition to recruiting well-recognized superstar Sophia Vergara.

Don’t Rely on Culture

Don’t use culture as an “angle” in marketing to Hispanics. Spanish may be spoken in the home and when interacting with particular friends and family members, yet the younger generation is used to being confronted with English when it comes to tech, shopping, banking, and news.

Brands That Know How to Market to Hispanic Consumers

McDonald’s Hispanic Marketing Budget

McDonald’s is a leader in Hispanic marketing for recognizing the sub-population of brand advocates and dedicating a website (meencanta.com) to them. In addition to a steady flow of Hispanic marketing initiatives, the food brand also has dedicated social accounts catering to Spanish buyers.

For this brand, Hispanic marketing means including Spanish customers, individual store owners, and other Latino marketers to cultivate effective ad campaigns.

Target Understands Spanish Translation

Target’s #SinTraduccion campaign invited Hispanic followers to share ‘untranslatable’ Spanish words. The campaign was a success in recognizing the segmentation of Hispanic consumers, such as teen buyers versus the behaviors of older generations.

AT&T Uses Spanglish

The phone company didn’t use a Spanish-based marketing agency but it did not use professional actors. Instead, a particular campaign invited young, Latino subscribers to “relate” to their generation.

Dish Goes Latino

The satellite provider offered a package, DishLatino, an attempt to combine the young and older in-home cultures. Dish saw potential in offering entertainment in Spanish and English to individual households.

MLB Catches-Up with Spanish Culture

27% of major league baseball players are Hispanic. The MLB leveraged a Hispanic ad agency to add an accent to the MLB logo, and to players’ names on the back of their jerseys to raise awareness about Spanish identity.

Would you hire scientists to market products to fashionistas? Would you want a classical pianist to market to a hip-hop market? Those are not optimal scenarios. You want those with experience, those who truly understand the Hispanic market to handle your Spanish SEO, PPC, and content marketing objectives.