Small Biz Watch: Get to know the Hispanic market
The nation's booming Hispanic population seems like a ripe market for many businesses. But it would probably be a mistake to lump all Hispanic consumers together. A recent study by Scarborough Research identified five key market segments. Here are some excerpts:
New Lifers are foreign-born Hispanics who have lived in the United States an average of eight years. Of this group, 61 percent prefer to speak Spanish mostly or exclusively. They have an average annual household income of about $40,000. These consumers are more likely than other Hispanics to have had a child or been married over the past year.
Old Ways are also foreign-born Hispanics, but they have been living here a lot longer, about half their lives. They have a mean age of 54, and 61 percent prefer to speak Spanish mostly or exclusively. Old Ways Hispanics have an annual household income around $47,000. Sixty percent of this group resides in New York, Los Angeles, or Miami.
Settled In are U.S.-born Hispanics who have spent the majority of their lives here. They have a mean age of 43 and an annual household income of $68,000. Just 19 percent of these consumers prefer to speak Spanish mostly or exclusively. They are 69 percent more likely than other Hispanics to have an annual household income of $100,000 or higher, are 31 percent more likely to have gone online during the past month, and are high-mileage drivers.
The Pioneers are exclusively born in the United States, have a mean age of 65, and have an annual household income of $50,000. Twenty-one percent of this group prefers to speak Spanish mostly or only. These consumers have above-average cable use, and 47 percent of them reside in New York, Los Angeles, San Antonio, or Albuquerque, N.M.
Young Americans, three quarters of whom are U.S. born, have an average age of 26 and an annual household income of $60,000. Seventeen percent of this group prefers to speak Spanish mostly or only. These are the heaviest Internet users among Hispanic consumers. They watch music videos and listen to general-market music-formatted radio.
The full report is at www.scarborough.com (PDF)
advertisement
