Nearly 20% of the total US population is Hispanic. That 20% has an annual buying power of $3.2 trillion – more than the entire GDP of the UK. Despite this, Hispanic-focused advertising currently stands at about 4% of total ad spend.
To address this disparity and better connect with this vital demographic, Omnicom Media Group Elevate Executive Director Michael Roca opened up in Adweek about the need for accurate and comprehensive data to drive effective Hispanic marketing strategies.
Nielsen reports indicate that traditional data collection methods often undercount Hispanic viewers by significant margins. For instance, homes equipped with return-path data capabilities underreport Hispanic audiences by 33% and Spanish-dominant Hispanics by 49%.
A study by Truthset uncovered that 42% of Hispanics are missing from third-party data sets, and 70% of targeted Hispanic impressions fail to reach the intended audience.
Given that Spanish is a unifying language for many Hispanics, research tools must capture data in Spanish. This ensures the representation of the nearly 50% of Hispanics who are Spanish-dominant, providing a more accurate picture of their media consumption and preferences.
Roca’s comments highlight the disparity that affects Hispanic radio, despite the overwhelming popularity of the medium with the demographic.
A study by Katz Media Group revealed that 67% of Hispanic listeners have a favorite radio station, with 90% preferring music-oriented stations. These listeners often preset their favorite station in their cars, averaging 14 years of loyalty, given an average respondent age of 40.
Content and emotional connection are key for retaining Hispanic listeners. The survey found that 73% feel their favorite station improves their mood, and 59% believe it positively impacts their community. Consequently, 83% would miss their favorite station if it went off the air.
Hispanic listeners are actively engaged, with 70% participating in activities like following stations on social media and attending station events. This high engagement benefits brands, as 47% of listeners are more likely to purchase products advertised on their favorite stations
To foster meaningful growth, brands must adopt strategies that provide an accurate representation of Hispanic consumers’ numbers and behaviors. Leveraging superior data to understand and connect with this demographic is not just a business imperative but a necessity for future-proofing brand growth.
From June 12-13 in San Antonio, Radio Ink will be joined by leaders from across Hispanic radio to discuss these issues and more at Hispanic Radio Conference 2024. For more information on in-person networking and sharing ideas in a multi-platform, multicultural world, visit the Hispanic Radio Conference website.
Advertisers go where the ROI is. And the vast majority of Americans with Hispanic roots, speak English and are assimilated. Meaning they listen or watch English language media. The majority of Hispanic heritage Americans who do not speak English, tend to be newly arrived immigrants or low income. Most advertisers are not targeting low income people. This is why there is, and will continue to be, a vast disparity between radio ad $ on Hispanic stations as compared to general market stations. Not rocket science.