Advertisers are always looking for ways to reach more consumers – more untapped audiences – that are in the market for their products. Unfortunately, many advertising media plans today still do not include Hispanic media channels, which means they are missing out on large (and growing) revenue streams.
The growing population: In the past 20 years, the Hispanic population in the U.S. has gone from 35 million to over 63 million people, now representing over 18% of the total U.S. population. While the population has nearly doubled, the spending power has almost tripled. In 2020, the U.S. Hispanic population spent over $978 million annually, while in 2000 the spend was $310 million.
While the Hispanic population in the U.S. is growing, the non-Hispanic population is shrinking. Claritas, LLC released The 2021 Hispanic Market Report, which states that “the Hispanic population is expected to add an average of 3,517 new members every day from 2021 to 2026. In contrast, the non-Hispanic White population is projected to LOSE an average of 1,057 people each day.”
The need: According to the Video Advertising Bureau, “The Hispanic segment collectively spends almost $1 trillion annually on goods and services in the U.S.” This spending power cannot be ignored, and in fact this segment should be catered to with authentic and relevant messaging. Adding advertisements representative of this culture will go far in creating brand loyalty for advertisers.
The culture: Unique media consumption trends and language considerations need to be understood when planning Hispanic advertising tactics. Hispanics view TV more communally than non-Hispanic viewers. The communal viewing may consist of older and younger generations watching TV in the same room, with varying levels of English and Spanish being spoken. These varying degrees may impact media planning, buying and messaging with the commercial. In the U.S., 52% of the total Hispanic population speaks only Spanish. The remaining 48% of the population is either bilingual or English-speaking only.
The media content: U.S. Hispanic content and custom channels, particularly in streaming, are growing. Media channels reaching U.S. Hispanics should be added to your media plan, and messaging should be relevant and match the channel’s preferred format. The media messages should also be representative of the Hispanic population and culture, and assimilate to the needs of both English- and Spanish-speaking Hispanics. Some commercials on media channels can be in English, but on other channels like Univision, you will need in-language commercials to truly resonate with the audience’s language preference.
Over the past few years, Hispanic-themed and -targeted content has grown tremendously. Some of the larger channels are:
• English-speaking with Spanish and Latinx-themed content: Hulu, Fubo, Netflix, Peacock, Fuse, Sling, Pluto, El Rey, ESPN and YouTube TV.
• Spanish-speaking subscription-based channels: Pantaya, Vidgo, Flix Latino, Univision Now, and ODL (OnDemandLatino).
• Some Spanish-speaking advertiser and free TV channels: Prende TV and Canela.TV.
The media plan: Adding TV and streaming video into your media plan is a must. In addition to growing audience and need, the media can now be justified by using advanced TV measurements to determine the value of this audience. Beyond TV, search, social and mobile media tactics need to be considered, as this audience is tech-savvy, spending more time and money on social channels than the non-Hispanic U.S. population does. Incorporating Hispanic-targeted media overlays in existing advertising plans should be top of mind as we move into 2022, as it can result in more consumers and revenue for advertisers.