A critical strategy for general market brands
With a staggering $3.2 trillion in buying power, the U.S. Latinx community isn’t an overnight success. Our progress didn’t appear out of thin air. It’s been decades of hard work, resilience, and pushing through systemic challenges.
But as a study by McKinsey Consulting highlights, while Latinos drive economic growth our needs as consumers continue to go unmet. “Often dissatisfied with the products offered to them,” brands often fall flat when marketing to Latinos. They don’t resonate with who we are.
We’re more than just a niche market. Latinx consumers are a force to be reckoned with. Despite obstacles, the Latinx buying power has soared to new heights and the best is yet to come – that’s where the real opportunity lies.
The Rapidly Growing Latino Market
According to the Urban Institute, Latinos have historically been excluded from banking and financial systems, but we’re still the fastest-growing consumer base in the United States economy. In fact, the 2021 U.S. Latino GDP surpassed previous years’ figures, placing our community among the five largest economies globally.
With these statistics, it’s no wonder Adweek claims that “the Hispanic market isn’t an opportunity, it’s a necessity.” But this bold statement is more than a topic of conversation. It’s a reflection of the economic impact that the Latinx community has on this country’s economy. And, as Adweek points out, “it’s a golden opportunity for brands that are willing to learn how to approach and connect with this audience.”
Sure, Latinos have faced barriers to wealth-building, but don’t underestimate our resilience and hunger for success. Despite challenges, Latinos in this country have defied the odds and emerged as a powerful economic group. A study by the U.S. Financial Industry Regulatory Authority (FINRA) Foundation found that while there have been improvements in the financial capability of Hispanic adults, obstacles to Latino wealth remain.
As avenues of financial inclusion for Latino families continue to emerge, Latinx buying power will continue to grow. Over time, the community has gained more access to financial products and financial literacy has become a priority for many Latino families. It’s vital for brands to understand the current obstacles that Latinos face so it can inform their communications, and – more importantly – to position their brands for Latino exponential growth.
Understanding Cultural Nuances
Think you can conquer the Latino market with a simple translation? Think again. It’s a new era and it’s time to dive deep into the heart and soul of the Latino community.
Recognizing the importance of identity and culture is critical when connecting with the Latino market. One-dimensional approaches and basic translations just won’t cut it anymore. With 68% of the US Latino population born in the country, most of this demographic speaks English.
This is why Adweek points out, “U.S. Hispanics are not a monolith and should not be treated as such. While they share a language that is extremely important to them, to truly connect, you need to understand and incorporate the cultural nuances into your messaging that will resonate.” Brands now need to dig deep into the vibrancy of our culture, tailor their strategies to our unique nuances, and create a connection that ignites brand loyalty.
The Transformative Power of Latinos
Latinos in this country defy all expectations. And as such, our impact extends far beyond our economic reach. According to the American Progress Report, Latinos are shaping the future of the United States. With over 55 million people, comprising almost one-fifth of the U.S. population, the report highlights that we are reaching new heights.
These developments are expected to have profound implications for the U.S. general market in the next two decades. Education? We’re reaching new heights. Economics? Prepare for major shifts. Culture? We’re commanding the stage. Politics? Our transformative journey will rewrite the rules of the game.
Embracing the Latino Opportunity
Welcome to the Latino revolution. You want to be a part of it. As the market continues to evolve, brands cannot afford to ignore the incredible growth in Latinx spending power and the impact of the Latino community. By recognizing the need for financial inclusion, understanding cultural nuances, and embracing the transformative power of Latinos, your brand can establish meaningful connections and thrive in this flourishing market.
So, what are you waiting for? Don’t miss out on this game-changing opportunity to tap into the Latinx market. Contact Moira today and let our team guide your brand toward success with Latino consumers.