Why Are Companies Still Missing Out On Multicultural Marketing?

According to Nielsen, U.S. Hispanics currently have $1.5 trillion in buying power. That number is expected to jump to $1.7 trillion by 2019. Yet, many companies are not aggressively pursuing this opportunity. Why?

The recent article “How companies tailor their marketing to Hispanics to boost sales” from the Associated Press provides these stats from a survey of 150 marketing executives:

  • 55% don’t have the support of their CEOs for multicultural marketing programs
  • 60% don’t have the support of their boards of directors
  • Only 14% said a quarter or more of their budgets are devoted to multicultural marketing

Considering the great opportunity presented by the U.S. Hispanic audience, those numbers are pretty astounding.

Examples of Companies Making an Effort to Connect with U.S. Hispanics

The AP article also provides examples of how small-to-medium-size businesses have found success by honing in on the Hispanic audience and tailoring their marketing efforts accordingly. Here are two of them:

  • NxStage Medical Inc. created a Spanish-specific website and brochures printed in Spanish. They also brought in more Spanish-speaking customer service agents.
  • Budding Co. installed Spanish signage in its stores in Pennsylvania and created Spanish-specific web pages. They consulted with a Spanish professor to make sure they got the phrasing right.

Respect the Language and Bring in the Right People

Many U.S. Hispanics speak Spanish or are bilingual. Don’t let language be a barrier to connecting with this audience. Make sure you choose business partners who understand the language and the culture of the people you’re trying to reach.