Hispanic Market is Huge – and Still Growing
Nielsen has a new report on Hispanic consumers which shows that they are the largest minority in the United States, with significant buying power, and that the Hispanic market is still growing. There are over 52 million Spanish-speaking people in the United States, with very distinct cultural patterns that carry over into the way products are purchased and consumed. Some of these patterns are distinct from other consumer dynamics, and stem from the fact that Latinos are not disappearing into an American melting pot, but are rather sustaining their own language and cultural norms.
Nielsen puts Hispanic buying power at $1 trillion in 2010 and estimates that it will be $1.5 trillion by 2015. Despite the recession, Hispanic household income continues to grow, making it an attractive market. Here are a few other pertinent stats from the Nielsen report:
- 75% of the Hispanic population in the US is under age 45
- Hispanics will contribute 60% of US population growth over the coming 5 years
- Hispanic population will grow 167% between 2010 and 2050
- Entertainment and media are two of the seven economic sectors which will benefit most from the demographic changes in the Hispanic marketplace
- Hispanic consumers are highly engaged in the digital space
- Hispanic mobile users send 941 text messages – more than other ethnic groups, but what sets them apart is that they stil make phone calls, 13/day, 40% more than the average user.
- Latinos are the fastest growing US ethnic group on Facebook
- Hispanic adults are 18% more likely to follow a celebrity than other online populations
- Hispanics download more music and pictures than any other ethnic group
- Hispanics watch more video online: 68% more likely than non-Hispanic white viewers to watch video online, and 20% more likely to watch video on a mobile phone
Conclusion: the Latino marketplace should be treated as important, a message which has already been taken to heart by many packaged goods companies which have included Spanish versions of information for quite sometime on their products. The entertainment industry is also paying attention to Spanish speaking consumers in the United States, witness the recent deal between Fandango and Telemundo.