Untapped US Hispanic Market - Use Digital Marketing to reach these Super Consumers.
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Sergio RestrepoVP, Global Digital Marketing ServicesLionbridge
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20 YEARSOf expertise in
language
Forbes Most
TRUSTWORTHYCompany
#1 LANGUAGESERVICE PROVIDER
By Common Sense Advisory
One Global
LEAN SIX SIGMAMethodology
250+Languages
#1 GLOBALIZATION COMPANY
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• Where do we start?• Who are they?• The untapped opportunity• How to reach them?• Customer Experience Ecosystem• Key Takeaways• Q&A
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FUNDAMENTALS
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90% of all online businessis done in English
70% of web users are notNative English speakers
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20%of non-native speakers evenFeel comfortable with anEnglish-only platform
75%of non-native speakersWill not buy from an Englishonly platform
Nearly
Only
and
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WHO?
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UNDERSTANDING
THE PERSONA IS KEY
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Not to be confused with Latin Americansor the inhabitants of Hispanic America.
US HISPANICS
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More generally, it includes all persons in the United States who self-identify as Hispanic or Latino, descendants of Spanish-speaking countries of Latin
America and the Iberian Peninsula.
LET’S
DEFINE
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WHERE DO THEY COME FROM?
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Spain, Argentina, Cuba, Colombia, Puerto Rico, Mexico, Dominican Republic, Costa Rica, Guatemala, Honduras, Nicaragua, Panama, El Salvador, Bolivia, Chile, Ecuador,Paraguay, Peru, Uruguay, and Venezuela.
ESTIMATED 20COUNTRIES OF ORIGIN
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Most Hispanic Americans (90%+) are of Mexican, Puerto Rican, Cuban, Salvadorian, Dominican, Guatemalan, or Colombian origin.
ARE NOT ONLYMEXICANS
US HISPANICS
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56 million by 2016. It is projected to grow to 119 million by 2060
0
10
20
30
40
50
60
1960 1965 1970 1975 1980 1985 1990 1995 2000 2005 2010
THE HISPANIC POPULATION, BY NATIVITYPOPULATION ESTIMATES IN MILLIONS
U.S born Foreign born
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32%
26%
20%
19%
26%
25%
25%
20%
22%
21%
25%
20%
14%
21%
21%
27%
4%
7%
8%
13%
Hispanic
Black
Asian
White
Younger than 18 Milennial adults (18-33) Gen X (34-49) Boomer (50-68) Silent/Greatest (69 and older)
NEARLY SIX-IN-TEN HISPANICS ARE MILENNIALS OR YOUNGER
PEW RESEARCH CENTER
Note: Whites, blacks and Asians include only those who are single race and not Hispanic.Hispanics are of any race. Figures may not add to 100% due to rounding.Source: Pew Research Center analysis of 2014 American Community Survey (IPUMS).“The Nation’s Latino Population is Defined by its Youth”
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47%
6%
27%
26%
14%
37%
9%
24%
3%
7%
Younger than 18 Milennial adults (18-33) Gen X (34-49) Boomer (50-68) Silent/Greatest (69 and older)
NEARLY THREE-QUARTERS OF U.S.-BORN HISPANICS ARE MILLENIALS OR YOUNGER
% AMONG HISPANICS
U.S. Born
Foreign Born
PEW RESEARCH CENTER
Source: Pew Research Center analysis of 2014 American Community Survey (IPUMS).“The Nation’s Latino Population is Defined by its Youth”
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EVEN RELEVANTIS SPANISH
ON THE WEB? WITH JUST ENGLISH?”
“DO WE REALLYNEED SPANISH,OR CAN WE GET BY
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Google illuminated clear U.S. Hispanic digital opportunities across many industries by sharing the growth in Spanish language search queries in the past year including:
•Retail +210%•Telecom +107%•Health +80%•Skincare +75%•Food +70%•Automotive +65%•Beauty +65%
MARKETERS,TAKE NOTE:
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“DO WE REALLYNEED TO TARGET,
U.S. HISPANICS?
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ACCORDING TO A RECENT NIELSEN REPORT
U.S. HISPANICS ARE ONE OF THREE RISING GROUPS
OF SUPER CONSUMERS,
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WHY “SUPER”CONSUMERS?
$1.5 trillion in buying power in 2015,a 50% increase from 2010.
These are the kinds of numbers that should have every marketer sitting up and taking notice
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SEVEN ECONOMIC SECTORS BENEFITING THE MOST
FROM U.S HISPANICS GROWTH
FOOD(grocery and restaurants)
REAL ESTATE(residential)
TRANSPORTATION(automotive and airline)
FINANCIALSERVICES
RETAIL(especially clothing and electronics)
EDUCATION(higher education and technical schools)
ENTERTAINMENTAND MEDIA INDUSTRIES
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Digital media expenditures grew the fastest year over year at 18.3% with marketers
investing nearly $700 million in Hispanic digital media. Who is leading the way? Here are the
top 10 advertisers on US Hispanic websites according to Ad Age:
1. AT&T2. Nissan3. Procter & Gamble4. General Motors5. Fiat Chrysler6. Verizon7. Microsoft8. American Express9. Toyota10. Core Digital Media
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KEEP IN MINDNOT ALL US HISPANICS
FIT THE SAME MOLD:
Two ways to understand and segment:
1. Attitude-Based 2. Life Stage
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Attitude-Based US Hispanic Segments
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THE AMERICANYARDSTICK
HISPANIC DOMINANT
• Predominantly speakSpanishathome
• MostmediaconsumptioninSpanish
• Foreign-born
• Meanage40
• LivedintheUSsevenyearsaverage
Currently, marketers tend to divide Hispanics into three different categories: Hispanic Dominant, Bicultural and US Dominant. Offline, the sizing of these groups is reversed, with Hispanic Dominants representing 52% of the segment, Biculturals 19% and US Dominants 28%
BICULTURALS
• Speakbothlanguagesathome
• MostmediaconsumptioninEnglish
• ForeignandUS-born
• Meanage34
• LivedintheUS22yearsaverage
US DOMINANT
• SpeakEnglishathome
• MostMediaconsumptioninEnglish
• US-born
• Meanage37
• LivedintheUS36yearsaverage
23% 31% 46%
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Life Stage
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A DIFFERENTMEASURE
YOUNG AND FREE 30%No kidsAverage 26 YOSingle
YOUNG FAMILY 17%2 Kids (0-11)Average 33 YOMarried
MATURE FAMILY 23%2 Kids (12-17)Average 40 YOMarried
PRIME OF LIFE 18%No KidsAverage 41 YOMarried
EMPTY NESTER 13%Kids 18+Average 57 YOMarried
Segmentation by life stage provided another way to understand the values and interests of Hispanics, based on their preferences and behaviors, which are not necessarily unique to their cultural background or acculturation level.
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HISPANICS LOVE AND TRUSTTHE INTERNET
Hispanics are more enthusiastic about the benefits of the internet than the General Market – so much so that
they have more confidence in online product ratings than the opinions of their friends.
72%Product
Rating Sites
28%Friends’Opinions
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YOUNG HISPANICSLOG ON MOST
Online Hispanics are younger than their offline counterparts, who are also more likely to be empty nesters.
77%66% 56% 60%
33%
23%34%
44% 40%
67%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Young and Free Young Family Mature Family Primer of Life Empty Nesters
ONLINE OFFLINE
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THEIR PURCHASE PROCESSTHE INTERNET INFORMS
Hispanic consumers view the internet as a very important information source in the purchase decision-making process. They look to the internet to learn about products, brands, features, stores and pricing.
70%
75%
80%
85%
90%
95%
Start learning process
Learn about brands
Learn about features
Get advice on what to buy
Where to buy Compare prices Make final decision
Hispanic General Market
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HEAVY RELIANCEON MOBILE DEVICES
Hispanics are much more likely to get online using a mobile device. Hispanic
mobile phone owners are more likely than Anglo mobile phone owners to access the Internet — 40 percent vs.
34 percent — from their phones according to the Pew Hispanic Center.
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Quick case…
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HOW DO THEYSHARE THENEXT COOL
THING?
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CATCHINGTHE VIRAL BUG
Power users are also highly influential in their communities, spreading the word about deals (91%) or the latest entertainment news (87%). They are content creators and use the web to broadcast their point of view, while mainstream Hispanics are more traditional in how they communicate with others.
79%
38%
64%
52%
68%
28%
Via email
Over the phone/ in-person
IM to friends / family
Write a blog
Social networking site
Write a review on a review site
POWER USER
91%
55%
51%
21%
55%
6%
MAINSTREAM HISPANICS
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LET´S ANALYZE ONE EXAMPLE…
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FIRST RULE…FOR US WEBSITES ENG/ESP optionshould be AND not OR.
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WHO WILL USE WHAT…
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A NEWPERSPECTIVE
THE IMPORTANCE OF LIFE STAGES
3.20%28.40% 34.40% 43.10%
18.80%
96.80%
71.60% 65.60% 56.90%81.20%
Young and Free Young Family Mature Family Prime of Life Empty Nesters
Spanish English
If we look at the language preference for websites by life stage. English marketing messages are favored by virtually all of theyoungest Hispanics and most of the other market segments. This has important implications for marketers, who should always take into consideration their target segment’s needs and passions before determining the appropriate language/media mix.
Marketers should always take their target audience’s life stage into account before determining the language/media mix.
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MEDIA CONSUMPTION BY SEGMENTSONLINE HISPANICS PREFER ENGLISH LANGUAGE ONLINE MEDIA
Most Hispanics consume online media in English – even Hispanic Dominants. This reflects the greater availability of English language sites. This is not unexpected, as 27.6% of web content is created in English, with Chinese second at 22.1% and Spanish a distant third at 7.9%
14.3612.42
20
9.3
2.5 3
Hispanic dominant Bicultural US dominant
Hours Online in English Hours Online in Spanish
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A TIE BETWEENTONGUESONLINE HISPANICS SEEK OUT THE BEST EXPERIENCE
0
15
30
45
60
0 15 30 45 60
Keep Up with Home Country News
Entertainment News
Follow Passions & Hobbies
Keep Up with US News
Financial Information
Research Purchases
The chart shows the language patterns among consumers who prefer Spanish. Clearly, they will consume similar types of content in both languages. This suggests that Online Hispanics are not opting for one language over the other. Rather, they’re looking for the best online experience regardless of language.
% Consume content in English multiple times per
week
% Consume content in Spanish multiple times
per week
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QUALITY MATTERSHISPANICS DISTRUSTFUL OF SPANISH LANGUAGE SITES
One of the reasons why so many Hispanics prefer English content is their mistrust of sites in Spanish, which often are little more than literal translations of English content. Only 3% of respondents found Spanish language sites more trustworthy and useful than those in English, leaving an important percentage of the Hispanic segment feeling undeserved.
3.1%I trust the Spanish site more
Spanish site has more useful information 2.8%
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CAN YOU SAY ITIN ENGLISH?
In general, Hispanics recognize the disparity between the availability of English and Spanish language content. They perceive English sites as more comprehensive, detailed and useful than Spanish-language counterparts. This belief is prevalent across all levels of acculturation and life stages.
25.30%
23.10%
21.10%
17.90%
8.80%
Can't do all the same things on Spanish site
The English site is better / more comprehensive
English site has more detail than the Spanish Site
English site has more useful information
English site has better deals than the Spanish
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WHEN SPANISHIS PREFERRED…
DO IT WELL
Those who prefer Spanish marketing find that tailored content makes them feel closer to home. They also favor a meaningful transcreation over a literal translation of an English site.
51.9
24
44
47
75
56
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
It's more important than just straight translation
It takes into account my ties to home country
It reflects my experience in the US
It Matters Very Important
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APPEARANCECOUNTSBE RESPECTFUL WITH CREATIVE EXECUTIONS, IMAGES
40.80%
57%
For those who prefer Spanish Marketing
For those who prefer English marketing
Media representation issues become more important for more acculturated and younger Hispanics.
Imagery should be carefully selected to provide positive identification with culture without stereotyping.
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Quick case…
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This AD is an excellent example from Procter and Gamble. A product tailored to today’s growing multicultural market. The ad proclaims “Now there’s a perfect blend for all of us!”
It features Pink, Sofia Vergara and Janelle Monae. This product comes in 21 shades and claims to blend with 99% of skin tones. Note the invitation to blipp the page to find the right shade using an interactive mobile app.
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LET’S STOP AND THINKOF WHAT WOULD
ONLINE EXPERIENCESHOULD BE
THE LOGICAL
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SUMMARYUP TO NOW
1HISPANICS ARE INFLUENCING THE MAINSTEAMOnline Hispanics have proven to be tech-savvy media trendsetters.
2LIFE STAGE IS KEYYour language/media mix should be based on the life stage of your consumer.
3TAILOR YOUR MESSAGE TO THEIR EXPERIENCEHispanics prefer messaging that takes into account their backgrounds and experiences.
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WHAT ISCUSTOMER EXPERIENCE?
• Customer Experience: It’s about giving consumers a consistent, well-branded omni-channel experience.– Branding, look, feel, voice, etc. should be the same from social media, to
websites, to apps… all this should happen as a consequence of thorough research and understanding.
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WHY SHOULDYOU LOCALIZE?
• TRANSLATION vs. TRANSCREATION
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Be authentic and human-centered
CULTURAL VALUESLEARN TO EMBRACE
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WHERE TO START?
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Listening+ Analytics
Engagement
Publishing Content Creation
Measure & Optimize
What is your audience saying about your brand? What do they care
about? Influencers?Stats? Where to focus?
Publish your content on the right platform, at the right time, in the right
language and re-engage your audience
Create insightful, global, yet locally relevant content
Build engagement based on real Global insights, User Generated Content and Storytelling
DIGITAL ECOSYSTEM
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DIGITAL ECOSYSTEMADVERTISING• Banners• Displays• Paid• Endorsement
INFLUENCERENGAGEMENT
• Response• Advocacy• Loyalty
PARTNERSHIPS• Co-branding• Digital Influencers
CONTENT• Build trust• Educate• Curate
• UGC• Reviews• Location-Based Services
DIGITALPROPERTIES• Catalog• Websites• Blog
• Mobile• Email• Apps
SOCIAL EMBASSIES
• Facebook• Twitter• YouTube• Instagram
• LinkedIn• Pinterest• Google+
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• Prioritize the following:– Web pages– Mobile– SEO– Paid Media – Social media– Content
DESIGN YOURMEDIA MIX
WHAT WOULD A MEDIA MIX LOOK LIKE FOR THIS
POPULATION?
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SEO
• Spanish language searches are on the rise – increasing from about 65% to 200% across key categories such as auto, food, beauty, etc.
• Do your research – find out what keywords are important to your community
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CONTENT
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WHAT ISRELEVANT CONTENT?
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Create relevant online content for the U.S. Hispanics; topics they care about or that are unique to them. Appeal to their cultural sensibilities like food, traditions, holidays and family.
Sports Bilingual | 2515 likes | 46 shares | 28 comments
PRODUCT FEATURES
RELEVANT TOPICSAND1
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Reflect the Hispanic culture in a tasteful and identifiable way. Users relate and identify with people who talk and seem “just like them”.
VISUALS2
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While not as important as culture, language does matter. For some U.S. Hispanics consumers, Spanish and bilingual content online are still signals that you want to engage with them. Localize culturally relevant content.
LANGUAGE3
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U.S. Hispanics value culturally appealing entertainment. Consider including Hispanic music and video content.
Evoke to emotions by sharing anecdotes and Hispanic stories.
ENTERTAINMENT4
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U.S. Hispanics want to hear from people like them, whether it’s a celebrity, a YouTube profile or another influencer online.
INFLUENCERS / TESTIMONIALS4
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There´s a lot happening…
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Ad Age reports that expenditures on measured Hispanic media increased 12% in 2015 vs. 0.7% for non-Hispanic
media; all told, marketers invested nearly $9.5 billion targeting Hispanics just in 2014-15.
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KEY TAKEAWAYS
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- Understand the fundamentals. English rules the web, but there´sopportunity in LAS (Latin American Spanish).
- Not all US Hispanics are the same, not all are Mexicans, not all in thesame stage, not all with the same attitude.
- Mobile is a priority.- If you´re going to use Spanish make sure your content is useful and
relevant! Build trust in spanish. - Translation is not equal to Transcreation.- Start by listening to your audience and start the transformation of your
digital ecosystem piece by piece. Prioritize!- For US website and content strategies ENG/ESP
should be AND not OR.
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