Latino Growth in Dallas Suggests A Roadmap For Successful Marketing
According to the findings of a recent survey by Rincon & Associates, a roadmap that helps advertisers
avoid wasteful spending by analyzing the best strategies to sell to Latino consumers, utilizing data from The Dallas/Ft. Worth-Arlington Metropolitan Area:
- Broadcast Spanish-language
television stations continue to capture large audiences, especially the foreign-born
- Cable and satellite penetration rates improved less than ten percent since 2005
access has not changed since 2005 and remains at 42 percent. Native-born Latinos were twice as likely to have Internet access as the foreign-born
- Seven of the top ten radio stations
used Spanish-language formats
- Only 45 percent of Hispanic adults read an English or Spanish-language magazine. Native-born Latinos read magazines more often than foreign-born
- Despite an abundance of English and Spanish-language newspapers, 39 percent of Hispanic adults did not read any local newspapers - an increase from 2005 (32%)
Dr. Edward T. Rincón, principal investigator of the study, concludes that "Brands that are doing the best job of attracting Latino consumers are not just lucky, but regularly utilize
credible research to understand how to best satisfy the needs of their potential customers... it expands their cultural intelligence."
Some of the local benefits of the Dallas surge in
Latino consumers include:
- Wal-Mart and Fiesta Mart captured nearly half of the estimated $2.3 billion that Latinos spend annually on groceries.
- Bank of America has
become a strong leader in serving the financial needs of DFW Latinos. One-quarter of Latinos, however, remained un-banked.
- Nearly 3 in 10 Latinos - about 300,000 -- plan to buy a
home in the DFW area within the next 5 years in various cities throughout the Metroplex, translating to a potential $30 billion dollars for the housing industry.
one-quarter of Latinos plan to buy an automobile in the next 12 months - a potential investment of $3.6 billion assuming an average price of $15,000. Nearly two-thirds of these purchases are
planned for just three automobile brands: Chevrolet, Ford, and Honda.
- Latinos primarily shopped at Rooms-To-Go and FAMSA for home furniture. FAMSA's buy U.S./deliver in
Mexico concept appears to be working well among Metroplex Latinos.
- Sears-Roebuck was the preferred destination for home appliances, while Wal-Mart was generally preferred for
men's, women's, and children's clothing.
The study also pointed to various barriers that discourage interested marketers from initiating or expanding Latino marketing plans,
such as industry studies that are biased and self-serving; insufficient information about the size and composition of media audiences; and industry reliance on a language segmentation model that has
limited relevance to the buying behavior of Latinos.
For further information about the study, please visit here.