How to write a successful novel? How to write a successful novel?
How to write a successful novel?How to write a successful novel?
Hopeful Beginning:
Suspense:
Drama:
How to write a successful novel?
Happy Ending:
Choose a good Title:
Cracking the US Hispanic Code
How to write a successful novel?
Cracking the US Hispanic Code
Suspense:
Drama:
•The US Hispanic market growth generates a huge business opportunity for everyone
•Yes, it grows
•The opportunity is not easy to capitalize
•Local markets are quite different
Happy Ending: ?
Hopeful Beginning:
Chicago
Each Hispanic cluster has different background
Other Hispanic
23%
Mexican 4% Puerto
Rican 9%
Cuban 45%
Other Hisp. 30%
Other 6%
Puerto Rican
1%
C American 16%
Colombian 4%
Mexican 72%
Mexican 9%
Puerto Rican
11%
Other 13%
Cuban 1%
Mexican 75%
Colombian 12%
Puerto Rican
1%
Cuban 1%
Cuban 4%
Puerto Rican 34%
Other Hisp.
31%
South American 22%
Mexican 75%
Cuban 1%
Los Angeles New York
Miami
Houston
Source: Strategy Research Corp, US Hispanic Market, 2002
$15,
382
$11,
920
$11,
917
$11,
091
$11,
052
$10,
792
, $10
,751
, $10
,669
, $10
,416
, $10
,259
$0
$2,000
$4,000
$6,000
$8,000
$10,000
$12,000
$14,000
$16,000
Los Ang
eles
New
Yor
k
Mia
mi
Chicag
o
Hou
ston
San F
ranci
sco
Dal
las
San
Anton
io
Phoe
nix
McC
alle
n/Br
Source: Strategy Research Corp, US Hispanic Market, 2002
Buying Power by city varies as much as 50%
Cracking the US Hispanic Code
Suspense:
Drama:
•The US Hispanic market growth generates a huge business opportunity for everyone
•Yes, it grows
•The opportunity is not easy to capitalize
•Local markets are quite different
Hopeful Beginning:
•Within local markets, upscale Hispanics are very different from general market upscale Americans and other Hispanics
• Upscale Hispanics are heavy consumers of tech and luxury goods
• US Hispanics indexes 31% and 16% over the general market when purchasing Cartier and Rolex watches.
• US Hispanics indexes 7% over the general market when it comes to purchasing flat screen TVs.
• US Hispanics are twice as likely to spend $3000 or more on a high definition TV than the average person in the general market.
• US Hispanic growth in the designer apparel industry is expected to average 6.7% per year over the next 10 years, nearly double the 3.6% annual rate for sales to the US non-Hispanic market.
Hispanics differ from general market
Cracking the US Hispanic Code
Suspense:
Drama:
•The US Hispanic market growth generates a huge business opportunity for everyone
•Yes, it grows
•The opportunity is not easy to capitalize
•Local markets are quite different
Hopeful Beginning:
•Within local markets, upscale Hispanics are very different from general market upscale Americans and other Hispanics
•Second generation Hispanics are very different from first generation.
Source:Strategy Research Corp, US Hispanic Market, 2002
Media consumption changes based on birth place
Cracking the US Hispanic Code
Suspense:
Drama:
•The US Hispanic market growth generates a huge business opportunity for everyone
•Yes, it grows
•The opportunity is not easy to capitalize
•Local markets are quite different
Hopeful Beginning:
•Within local markets, upscale Hispanics are very different from general market upscale Americans and other Hispanics
•Second generation Hispanics are very different from first generation.
•Psychographic diversity within the market generate different behavior as well.
Assimilated Hispanics10 million
Bicultural Hispanics 9 million
Hispanic Dominant 24 million
Young Progressives 8 million
Home Builders 16 million
Hearth-Hearted 12.5 million
Prime of Life 6.5 million
How to reach them?
Source: Yankelovich Study 2002
Migration motivation explain different interests
Indi
vidu
als
look
ing
for
oppo
rtuni
ty
Fam
ily m
aker
s
look
ing
for
prog
ress
See
k fo
rtu
ne,
sen
d
bac
k sa
lary
Mat
ure
look
ing
for
conf
orta
ble
retir
emen
t
To succeed an investor must answer at least 3 key questions
Key Questions
Who are they? Is there a mkt?
What are their interests?
How to reach them?
Analysis
Culture/Asimilation
Drivers
Media Preference
Hispanic Orientation
Hispanic DominantBicultural
Assimilated
Culturally Unique
Anglo Orientation
Bicultural societyBicoltural hispanics will dominate the market in the future
Cultural, Community, Family Values
• US Hispanics are acculturating, not assimilating (media impact)
• Family and community values and traditions remain strongly associated with Hispanic heritage and country of origin.
• Most maintain contact with and provide financial support to family in their country of origin.
• Three-quarters of Hispanic Dominant believe their main responsibility is to their family and not to making the world a better place. At the same time, feeling an obligation to their broader community is also most important.
• “Live for today” generates different consumptions patterns in debt, insurance, mortgages, etc…
Heritage, values, attitude shows assimilation process
Assimilated Hispanics10 million
Bicultural Hispanics 9 million
Hispanic Dominant 24 million
Young Progressives 8 million
Home Builders 16 million
Hearth-Hearted 12.5 million
Prime of Life 6.5 million
Source: Yankelovich Study 2002
Interest vary depending on assimilation and psychographic segmentation
American Sports
Society
Fashion
Lifestyle
Shopping
Celebrity / Royalty
Beauty
Home Making
Personal Finance
Latin American Sports
Gossip
Hip Hop
Trendy
Early Adopters
High Tech
Folk music
Health
Scope of Interest
National Local / National Local / National Local
Young Progressives INTERNET
Family Driven Individuals
Prime of Life RADIO
How to reach them?
Source: Yankelovich Study 2002
Englis
h
Englis
h
Spani
sh
Spani
sh
Spani
sh
Spani
sh
Spani
sh
Spani
sh
Bot
h La
ngua
ges
Bot
h La
ngua
ges
Highly concentratedMagazine Consumers
HighIncome
LowIncome
Open air Low TV/High Magazines/
High cable
High TV/Low Magazines
Different media reach each segment
This is why TV and Magazines show the highest growth in the US Hispanic Market
Source: HispanTelligence
0%
10%
20%
30%
40%
50%
60%
70%
80%
Netw orkNational TV
Local TV Nationalradio
Local Radio NationalNew spaper
LocalNew spaper
Magazine Out ofhome
Overall
Expenditure Growth 1999-2003 (%)
Magazines reach efficiently upscale Hispanics with different interests
12.7%
36%
41%
59%
Television Magazines Radio Newspaper
Spanish language media only
Magazines are the 2nd most consumed Spanish language media in the US Hispanic Market
Source: Simmons Fall 2003 NCS/NHCS Study Adults 18+
Spanish language magazines penetrate 41% of the Hispanic market 18+, more so than radio
Upscale Hispanics are very attractive
Bottom Line
• The US Hispanic market is large, it grows, it is attractive and is here to stay
• Nevertheless, this group is not a homogeneous one. Key differences include geographic origin, personal interests, income level, American acculturization and preferred language among others
• Therefore, appealing to it requires tailored content/products accounting for key demographic and psychographic differences
Happy Start:
Suspense & Drama:
Happy Ending:
How to write a successful novel?How to write a successful novel?