The Importance of Marketing to the Multicultural Consumer
There’s simply no mistaking it: America is becoming much more multicultural. That’s the key concept driving Nielsen’s recent report, “The Multicultural Edge: Rising Super Consumers”.
This report looks at a wide variety of analytics on the attitudes and behaviors of three increasingly important audiences: African-Americans, Asian-Americans and U.S. Hispanics. According to the Nielsen report, these are the nation’s three largest multicultural groups—and they should be a significant focus of any modern marketing strategy.
“Multicultural shoppers may be the key to the future, not just because of their numbers, youth and economic clout, but because their unprecedented influence on the attitudes and consumption habits of non-multicultural consumers is upending outdated assumptions and enlarging and expanding the multicultural market opportunity.”
Amongst the three multicultural groups mentioned above, U.S. Hispanics make up both the largest and fastest growing. Nielsen states:
- In sheer numbers, Hispanics will experience the most growth among multicultural consumers—growing from 17% of the total population in 2013 to 29% by 2060
In terms of buying power, U.S. Hispanics offer brands opportunities to reach a younger audience and establish long-term relationships that can provide a greater ROI over time. This comparison of Hispanic and Non-Hispanic Caucasian audiences from the report is particularly interesting:
- Life Expectancy – 83.5
- Median Age – 27
- Years of Effective Buying Power – 56.5
- Life Expectancy – 78.7
- Median Age – 42
- Years of Effective Buying Power – 36.7
An important part of building long-standing relationships with the U.S. Hispanic audience is finding ways to effectively communicate with them. For many organizations, that means enhancing bilingual and bicultural communication. According to the Nielsen report:
- 50.9% of U.S. Hispanics speak Spanish more than English, or Spanish only at home
The Nielsen report goes on to state: “Firmly grounded by their cultural roots even as they strive to take their place in the future, Hispanics view their inherent ability to straddle multiple nationalities, races and languages as a source of strength and optimism.”