From cutting coupons to cutting items from the list, grocery purchases are coming under scrutiny as most consumers adapt their shopping strategies to stretch their dollars further. This week’s MONITOR Minute examines how Spanish-oriented, or less-acculturated, Hispanics are less willing than other consumers to trade down when it comes to the healthiness of their food purchases.

 Health-Related Food Considerations Strong and Rising

While many considerations factor into food-purchase decisions, these days price has taken on even greater importance among many segments of the population. But, while many consumers are willing to make trade-offs in their food purchases, Spanish-oriented Hispanic consumers are less willing to do so. In fact, despite suffering from a greater degree of Economic Anxiety(3) than other consumers, in many cases, health-related considerations (both those that may result in higher prices and price-neutral considerations) are holding steady or are on the rise among Spanish-oriented Hispanics. And Spanish-oriented Hispanics are far more likely than other Hispanics and Non-Hispanic Whites to say they would be willing to pay more for organic, pesticide-free and healthy foods.

 Roots Matter When It Comes to Food

How and where consumers were raised, what they have been exposed to and the role that food plays in their lives are all a part of the decision-making dynamic that affects their food shopping. For Spanish-oriented Hispanics, the commitment to buying healthy foods—even at a premium price and despite Economic Anxiety—stem from several factors:

They are more worried about some aspects of their health than other consumers. This isn’t just a personal worry; it is also a worry on behalf of their families—a life-threatening or chronic illness would diminish their ability to meet their responsibility of providing for their families.

Food equals love in Hispanic households. And this is even truer in Spanish-oriented households, where the preparation of traditional meals represents and act of love toward family.

The diet that Hispanics grew up with and are accustomed to is, in some regards, healthier than the typical U.S. diet. This includes not only their food choices (a greater affinity for unprocessed, non-pre-packaged foods) but also cooking behavior, including their preference for cooking from scratch.

 Implications and Opportunities

·       Seize the opportunity—especially now, when opportunities for growing market share seem ever-more limited thanks to the economy. Be one of the first to invest in targeting Spanish-oriented Hispanics—not only in the healthier food category, but in other health-related categories as well. Don’t buy into the general assumption that Spanish-oriented Hispanics are disinterested or unable to afford foods with high health value. Do, however, balance their willingness to pay a premium for healthy alternatives with the reality of their economic circumstances.

·       Hit the right health “hot buttons.” Tout any preventive qualities in products or product ingredients. In terms of nutrition, hot buttons include attributes that can be categorized as closest to nature. Emphasize phrases such as “organic,” “natural,” “pesticide-free,” “hormone-free” and the like in your brand’s health vocabulary. And for all consumers, back up these terms with proof points and definitions that the general public can understand.

·       Provide advice and information that complements and embraces traditional Hispanic cooking. Most diets have room for improvement, even if consumers don’t recognize it. Build on traditional ingredients, spices, herbs, ways of cooking, etc., and show consumers how to leverage what they love, yet give it an even healthier twist.

 Bottom Line

Reach out to Spanish-oriented consumers to grow your business in health-related categories. Despite having greater Economic Anxiety, Spanish-oriented Hispanics continue to place a high priority on ensuring that the foods they buy for themselves and their families do not compromise on health-related characteristics—even if these foods cost more money.

 Running with It

·       Banyan Foods—This family-owned Houston business is successfully marketing red chile and green chile tofu tamales. Samples of the corn-husk-stuffed tamales are available at local Whole Foods Market stores several days a week. Most curious consumers are Hispanic, and many have deemed these traditional products, with a healthy twist, as good as their grandmother’s tamales—but without the lard and meat.(4)

·       MSN Latino—This Web site is written entirely in Spanish, and the Salud (health) section contains a wealth of health information. In addition to information and discussions related to preventing the top anxiety-producing diseases, the home page includes a separate Recetas (recipes) section featuring recipes from across Latin America. It points out that using “back-home” ingredients enhances the nutritional value of meals.

·       Nature’s Promise^®—While this line of natural and organic foods is not targeted toward any particular consumer demographic (and not advertised in Spanish), the private-label brand is available in Stop & Shop’s 375 grocery stores throughout New England, New York and New Jersey. According to the company’s Web site: “With so many consumers interested in the benefits of natural and organic foods, we felt it was time to make them more easily accessible to everyone. Introducing… a new line of natural and organic foods priced less than other brands.”

MONITOR Resources

Yankelovich MONITOR Multicultural Marketing Study 2009
Yankelovich MONITOR Multicultural Marketing Study 2007/2008 
Hispanic Health OmniPlus 2008
Hispanic Health LIVE, 06.11.08
MONITOR Minute, “¿Se Habla Health?” 07.21.08

 Sources

·       The Spanish-oriented and Non-Spanish-oriented segments are derived from The Futures Company’s proprietary Enhanced Hispanic Acculturation segmentation model. The Spanish-Oriented High Cultural Affinity and Spanish-Oriented Low Cultural Affinity segments were combined to form the Spanish-Oriented group, and the Bicultural and the Relatively Assimilated segments were combined to form the Non-Spanish-oriented group.

·       “Hispanic Women: Americanized Diets and Premature Births,” Healthbeatblog.org, a project of the Century Foundation, 02.07.08

·       The Economic Anxiety scale that was developed for the MMS 2009 study measures the degree of financial worry (no, low, moderate and high anxiety) within Hispanic, African-American and Non-Hispanic White populations. A more detailed explanation of the Economic Anxiety scale can be found in the Technical Appendix to the MMS 2009 report, available on request to MMS subscribers.

·       “Tamales and Tofu Meet and Mix at Local Business,” Hispanic Trending/juantornoe.blogs.com, 11.22.08


 Introducing The Futures Company

The Futures Company—the coming together of Yankelovich, Inc., and Henley Centre HeadlightVision—is a groundbreaking global trends and futures research and consultancy business. Our mission is to unlock futures for our clients. 

The Futures Company integrates proprietary quantitative survey data with observational insights to create deep and dynamic perspectives on the consumer trends shaping our clients’ businesses around the world. We further enrich these perspectives with future-facing qualitative and quantitative custom research and trends and futures consultancy. This unique combination of capabilities enables us to help our clients to uncover new ways to understand and segment their consumers, identify future sources of value and build powerful brand connections.

Our merger, which took place in January 2008, unifies the strengths and insights of Yankelovich and Henley Centre HeadlightVision. Both companies have long legacies of innovation and cutting-edge ideas, as well as longstanding commitments to client service and marketing impact. We are excited to be able to nurture our combined strengths together, and to create new ones, as The Futures Company.

From cutting coupons to cutting items from the list, grocery purchases are coming under scrutiny as most consumers adapt their shopping strategies to stretch their dollars further. This week’s MONITOR Minute examines how Spanish-oriented, or less-acculturated, Hispanics are less willing than other consumers to trade down when it comes to the healthiness of their food [...]

by Sydney Jones, Research Assistant and Susannah Fox, Associate Director, Pew Internet & American Life Project January 28, 2009 Contrary to the image of Generation Y as the “Net Generation,” internet users in their twenties do not dominate every aspect of online life. Generation X is the most likely group to bank, shop and look [...]

January 27, 2009

Source: Center For American Progress

At a Center for American Progress event yesterday, CAP Senior Fellow Esther Olavarria celebrated the release of Latinos and the Nation’s Future, which she described as an important new book that “takes a hard look at the obstacles of Latinos and provides recommendations on how to best marshall their energies and talents, develop their educational and leadership potentials, and help them move into the middle class and shape the future of this nation.”

With the Census Bureau’s mid-range estimates for 2050 asserting that the nation’s Latino population will grow by 63 million people, and that Latinos will make up over 25 percent of the U.S. population, the event’s panelists noted that the Latino population is now so large, its trajectory of growth so rapid, and its contrast in age relative to that of the general population so stark that it will not be possible for the United States to advance without substantial—and so far unimagined—gains for the nation’s Latino community.

Panelist Henry Cisneros, executive chairman of CityView, former Secretary of the Department of Housing and Urban Development, and editor of Latinos and the Nation’s Future, noted that the problems the nation will face in the future are inextricably linked to those of the Hispanic community. With nations like China and India emerging as major powers, many argue that U.S. dominance will soon be eclipsed, and what is known as the American Century will soon be over. Whether America surmounts its challenges or slides to the middle of the pack will likely depend on its fastest-growing segment: the Latino community.

Panelist Dr. Nicolás Kanellos, founder and director of Arte Público Press, asked those watching to “stop looking at Latinos as immigrants or foreigners.” Many Latinos, he noted, were in the United States prior to its existence, and many even helped fight for the abolition of slavery during the Civil War. American culture and Latino culture are therefore tied together, stated Kanellos, adding, “Just look at the southwestern cities with Spanish names.”

Janet Murguía, president and chief executive of the National Council of La Raza, told the panel that the new book provides a blueprint for the future of Hispanic Americans, and she spoke about the “unprecedented mobilization of Latino voters” in the last election. Discussing the results of a Pew Research Center study taken of the November 2008 general election, Murguía noted that of first-time voters, 21 percent were Latino, compared to 8 percent of the total U.S. population. The panel agreed that harnessing this new sense of political power and using it to effectively lobby for issues that matter to the Latino community is the next step for the community’s inclusion in American society.

The panel agreed that the importance of education—specifically undergraduate and postgraduate studies—was the key to gains for the nation’s Latino community. Panelist Sarita Brown, president of Excelencia in Education, noted that the “cost of education is one of human capital.” In order to succeed, she said, “we must have trained individuals.” She noted that there is a myth spread among education administrators that Latino students and their families are not committed to their educational success. The truth, the panel agreed, was that countless Latino families regularly make sacrifices to send their children to college. They also noted that altering the discourse surrounding education in Latino communities would drastically improve the community’s dropout rates.

In terms of what the Obama presidency held for the Latino community, the panel agreed that it is both “symbolic and substantive.” Henry Cisneros declared that last Tuesday’s inauguration “introduced multiculturalism at the highest level.” This is important, they agreed, because it says to every child of color in America that they too can one day become president.

Pressed on what they would hold the new Obama administration to in the coming years, the panel agreed that it “was not enough to articulate big ideas.” The administration has to do its part to effect sustainable and significant changes in immigration reform, integration efforts, education, housing, and health care reform that benefit the Latino community. Our collective future depends on it.

January 27, 2009 Source: Center For American Progress At a Center for American Progress event yesterday, CAP Senior Fellow Esther Olavarria celebrated the release of Latinos and the Nation’s Future, which she described as an important new book that “takes a hard look at the obstacles of Latinos and provides recommendations on how to best [...]

January 26, 2009 BY DAVID PETERSON  Hispanics, once among the smallest of Minnesota’s minority groups and predicted to remain so for decades, are now expected to become the state’s largest minority group within the next 10 years, the state demographer’s office said Monday. But with a lot more white folks than what experts were predicting [...]

Continental Airlines, General Mills, Sears Work to Launch Latino-Centric Cellphone Campaigns 

By Rita Chang

Published: January 26, 2009

SAN FRANCISCO (AdAge.com) — Hispanics, the country’s largest and fastest-growing ethnic minority, are becoming a sought-after target for mobile advertisers as brands connect the dots between the group’s receptiveness to advertising and its heavy mobile usage.

Telecommunications and automotive advertisers have led the way in pitching to Hispanics through mobile, but other categories are joining the fray. Brands including Continental Airlines, General Mills, Sears, Kmart and Tag Heuer will be working in the first quarter to launch Latino-centric mobile campaigns.

Many marketers expect rising incremental budgets as brands look to integrate mobile into Hispanic-centric campaigns. Ad network JumpTap predicted Hispanic-centric campaigns would quadruple this year, with revenue increasing at least 20% in the segment. That expected ramp-up strikes at the nexus of mobile marketing’s momentum and a realization that the Hispanic demographic is undertapped.

“Marketers now have significant Hispanic investment objectives written into their plans,” said Eric Bader, managing partner of Brand in Hand, which has executed Hispanic-targeted campaigns for major consumer brands.

“A lot of companies are trying to figure out how to get in and play,” said Marla Skiko, head of digital at multicultural media-buying agency Tapestry.

Glued to handsets
The case for using mobile to reach Hispanics is compelling. Research suggests that U.S. Hispanics are more engaged with their mobile phones than Americans overall. Some 71% of Hispanics consume content on their cellphones, compared with the market average of 48%, according to ComScore M:Metrics. Why? Many don’t have subscriptions to internet or landline service, so wireless phones are their sole communications tool. Additionally, the median age among Hispanics is 27.6, compared with 36.6 in the population as a whole, so that may also help explain their propensity toward mobile.

The boon for marketers is that Hispanics are particularly receptive to receiving pitches. According to Forrester, 6% of Hispanics interact with text-messaging campaigns vs. 3% of non-Hispanics. Mobile ad network Quattro averages about three page views per user but well over four on its Hispanic network, said CEO Andy Miller.

“Hispanics are curious and interested about messages directed specifically to them and from a source they recognize,” said Felipe Korzenny, professor and director of the Center for Hispanic Marketing Communication at Florida State University. “They are not as cynical as the rest of the population about advertising messages.”

Experts recommend embedding cultural relevance — for example the “sweet 15″ milestone Mis Quince, an age that marks the onset of womanhood for Latino girls — into campaigns and tying them to compelling celebrities, content and cultural traditions. Last year, Procter & Gamble saw success with a Cover Girl campaign that included a Mis Quince contest. The bilingual campaign ran on some 10 mobile properties, including Univision, ElleGirl and Sprint’s carrier deck, and its page views and click-through rates surpassed those for broad-based mobile advertising campaigns, according to Quattro Wireless. P&G, through its ad vendors, declined to release the exact metrics.

“Hispanics are shrewd shoppers, but at the same time, they’re interested in the experience,” said Tom Kadala, who consults on the Hispanic consumer market. “They want something fun and exciting.”

AT&T sponsored the Mexican soccer tournament broadcast by U.S. Spanish-language TV network Telemundo last year and invited fans to text their votes for their favorite players.

“Hispanics are media junkies,” said Peter Blacker, exec VP of Telemundo’s digital media and emerging businesses. “The campaigns are really creating that circle between television and mobile.”

Continental Airlines, General Mills, Sears Work to Launch Latino-Centric Cellphone Campaigns  By Rita Chang Published: January 26, 2009 SAN FRANCISCO (AdAge.com) — Hispanics, the country’s largest and fastest-growing ethnic minority, are becoming a sought-after target for mobile advertisers as brands connect the dots between the group’s receptiveness to advertising and its heavy mobile usage. Telecommunications [...]

January 22, 2008 by Ian Malinow  If you’re curious about what’s getting radio airplay out there in the Latin music scene, earlier this week iTunes Latino released a best-of digital collection featuring a handful of the most radio-friendly Latin tracks in the market today. “Best of the Store Latino” showcases 10 songs ranging in style [...]

Yankelovich MONITOR While consumer anxiety deflates or tempers some consumer trends, it galvanizes others, including the “going local” movement. This week’s MONITOR Minute explores how marketers can connect with anxious consumers by conducting business with a local flavor. Strong and Growing Interest in “Local” Seventy-three percent of consumers—strong across all generations—say they make an effort [...]

NEW SLANG from www.trendcentral.com FROM POVO AND MYSELFISH TO RETOX AND ‘KWARD, THE TERMS TO KNOW FOR 2009 While we understand the fleeting nature of slang and promise we are not “trying to make ‘fetch’ happen,” each year ushers in a bevy of new words you might hear and may even want to use (though we urge [...]

January 21, 2009 By GEBE MARTINEZ Puffed with pride after casting 10 million votes in November that were vital to President Barack Obama’s election, Hispanics are feeling empowered to make great demands on the new president. But as Hispanics look to Obama to help realize their agenda, and as they take seats in the new [...]

Spanish-language TV channel Univision topples the major networks as viewing habits reflect a cultural shift among the young January 18, 2009 By Christopher Goodwin For those brought up on a diet of Friends, Cheers and ER, it may come as something of a shock: the viewing habits of America are not only changing but the [...]