Grocery items and snack foods, are just a few examples where Latino influence and culture, have had a major impact on consumer demands but companies appear to be ignoring Latinos as consumer trendsetters.
Forbes discussed the lack of consideration for Latino consumers by most American companies. “Although the proportion of U.S. Hispanics is scaling upwards rapidly, corporations and advertisers continue to underestimate the importance of Hispanics as an economic and business development engine.”
Forbes states that some companies use stereotypes, rather than “authentically engage with, build trust, and begin to value Hispanics in America as a viable, business model worthy consumer – one that currently represents 16.7% of the United States population with a purchasing power estimated to reach $1.5 trillion by 2015. Furthermore, with a median age of 28 years old, the Latino consumer is nearly 10 years younger than the total market age of 37 years, according to Nielsen. Most importantly, according to the 2010 U.S. Census, by 2015, 1 in 3 newborns will be Latino.”
Latino consumers must have a strong cultural relationship, and share similar cultural values to the brands they purchase, in order to develop an even deeper brand loyalty. Forbes reports that advertisers must look beyond the Spanish language, as an appropriate marketing tool. For Latinos, shopping is a completely sensorial experience.
A new consumer research study conducted by marketing agency Lapiz, called LatinoShop, found that Hispanics shop more with their senses, look for the opinions of friends and family, shop with their mobile phones, tablets, first to share products with friends, and are the highest followers of radio, billboards, and infomercials, more than non-Hispanic counterparts.
Forbes stated that, “The Hispanic community is rapidly becoming the most influential voice in pop culture, business, and politics; their trendsetting impact will make or break the success of those seeking to gain brand popularity, market share and / or win the next election.”