En Español: 5 Reasons Why Hispanic Online Behavior Increases Sales and ROI1 Mar, 2015 By: Denira Borrero Response
Most marketers looking to tap into the U.S. Hispanic market have already taken note of its size — 55 million and growing — and substantial purchasing power: currently $1.5 trillion. But now, with the substantial penetration of social media usage, Hispanics have proven to have a reach and influence far beyond their demographic group, causing viral shifts across the mass market.
As a culture, U.S. Hispanics tend to have widespread, connected circles of friends and family. These behaviors have proven to extend from the offline world to the digital world in the past five-to-seven years with the proliferation of mobile and tablet technology.
More so than the general public and other ethnic groups, they interact on social media in multilingual formats and share and engage in promotional content regularly. A recent study conducted by ShareThis examined real-time behavioral patterns and found that U.S. Latinos are:
- Five times more likely to share content vs. non-Hispanics
- Twice as likely to click on shared content vs. non-Hispanics
- Twice as likely to purchase the products they share vs. Non-Hispanics
What are the driving forces behind the market impact of U.S. Hispanics and why should marketers start encompassing Hispanic strategies in their growth plans?
- Hispanics are the “Power-Influencers” in the U.S. Because of their growing market size and unique social behaviors, they have proven to be the tipping point in U.S. politics, business and entertainment trends — particularly in the under-40 age group. Their influence will only grow in importance, as more than 22 percent of the current U.S. population age 25 and under is Hispanic. Marketers will not be able to win unless they win over Hispanics. Earning their trust, loyalty and dollars can turn the tide in favor of total market leadership.
- Hispanics are primed to listen, be heard — and represent long-term ROI. Hispanics tend to be underserved with digital content and online video relative to the demand they generate. Hispanics also tend to be exceptionally loyal and openly excited about brands that target them with culturally relevant advertising. Companies that are making serious efforts to capture them have gained not only loyalty but also active engagement, seizing an opportunity to establish lasting relationships and long-term ROI benefits.
- Hispanics are leaders in mobile purchasing behavior. They are more likely to research, share and purchase products and services through smartphones or tablets compared to the general public. A 2014 Experian Marketing study showed 50 percent of Hispanics are using their smartphones while watching TV compared to 42 percent of non-Hispanics. And 54 percent actually watch videos through their phones versus just 40 percent of non-Hispanics. Effectively utilizing integrated mobile marketing techniques will be key to the future success of direct-to-consumer campaigns.
Spanish-language media increases all online sales. Although Hispanics are highly engaged in Spanish-language TV and radio, when it comes to the Web, Hispanics tend to consume content and transact in English. Hispanics perceive English sites to be more robust with information and to have promotions updated more regularly. Search engine protocols in the U.S. prioritize English-content sites, which results in higher organic rankings. Bilingual and multi-generational households tend to send the younger, English-speaking household member to purchase and/or research a product online. Multiple case studies conducted on our own campaigns have shown up to five times more Hispanic transactions conducted through English sites vs. Spanish sites, even though interest was generated through offline Spanish-language advertising.
Online content targeting Hispanics increases direct and retail sales. Hispanics are more likely to review product content on the Web prior to purchasing. A recent study by eMarketer noted 53 percent of Hispanic mobile buyers looked for online product reviews on their smartphones and tablets compared to just 44 percent of non-Hispanics. Culturally relevant and bilingual digital content build credibility and higher overall purchase lift. ■