Page 24 - HISPANIC MARKET OVERVIEW - 2018-complete

2018 HISPANIC MARKET OVERVIEW, presented by López Negrete Communications
Hispanic population growth decreases. It’s important to keep a balanced perspective when looking at the overall Hispanic population growth.”
While there may be increased attention on the emerging U.S. Hispanic DMAs, are there challenges Fernández and his team at d expósito may be experiencing with brand managers and CMOs on investing in media in these markets?
“It’s all in the approach,” he says. “As an agency we have not had major challenges when it comes to advertising in any market as long as the opportunity is properly documented. Although population concentration and growth are important characteristics at the highest levels of consideration for marketing efforts, the days of advertising in areas solely due to large Hispanic concentrations are over. Clients today are interested in targeting consumers that represent the greatest business opportunity. As such, data and analysis that take into account other factors have to be considered.”
At d expósito & Partners, the media team developed a tool which takes into account a variety of multiple marketing criteria— Market Selector. “While targeted population is a main component, it is not the sole factor to determine which markets or DMAs to advertise in,” Fernández says. “We sometimes evaluate up to 15 variables depending on the client’s KPI and line of business.”
Another important point when it comes to ongoing market investment evaluation, Fernández says, are the efficiency analyses that are conducted routinely once an advertiser goes beyond the top 8 to 10 markets. “At this point, and if the client has a national footprint, it is more cost efficient to rollout nationally,” he notes. “Together, this system of check and balances ensure our clients they are spending wisely.”
SONG OF THE SOUTH
Is there one region of the country that is "hot" for Hispanics right now?
Yes, says Fernández.
“In concert with the continued dispersion of the Hispanic population throughout the United States, the U.S. South constitutes the most vibrant region from a demographic perspective. The Hispanic population there has nearly quadrupled in size since the 1980s, from 4.5 million to 20.9 million. It also has experienced the highest growth rate among all regions in the U.S. since 2000: 81 percent.”
Importantly, the South is also a top-ranked region in terms of the growth of Latino students.
“Over the past two decades, the number of Latino youth enrolled in Southern public schools grew from roughly 1.9 million to approximately 4.9 million students,” Fernández shares. “This constitutes nearly double the rate of growth compared to the West, the historical Hispanic stronghold: 156% vs. 79%, respectively.”