While many industry observers expect holiday spending to be up 4% this season, research from Brand Keys finds Hispanic consumers are feeling significantly more festive. In a survey of some 2,400 Hispanic shoppers, it found an individual budget of $985, 15% higher than the general population, and 7% more than last year.
“That translates to an awful lot of money,” says Robert Passikoff, founder and president of Brand Keys. “From a cultural perspective, the family is a closely knit social unit, but the idea of familia goes beyond the nuclear family. The audience the Hispanic population is buying gifts for tends to be much larger than the general population.”
Other cultural shopping differences include a great passion for national brands, “because it says a great deal to them about how they feel about the recipient,” he tells Marketing Daily.” They’re also more likely to shop at traditional department stores and specialty apparel chains.”
Compared to the general sample, Hispanics are 23% more likely to shop in a specialty apparel store, for example, and 10% more likely to buy gifts at a department store. By comparison, they are 6% less likely to buy presents for loved ones at discount stores. “Retailers need to work culturally smarter if they want to get their share,” he says.
Almost all — 98% — say they intend to buy holiday gifts online this year.
In terms of gift categories, in addition to the nearly universal enthusiasm for gift cards, they are 7% more likely to buy electronics, including phones, and toys, and 5% more inclined to purchase clothing for loved ones.