Hispanic Market Demographics
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1 Hispanic Market Demographics April 2008 Funded by The Beef Checkoff
2 Why does this demographic deserve increased attention? Because the U.S. Hispanic population consists of 44.3 million people and is growing faster than any other ethnic group in the United States. Have Larger Families 4.0 per Hisp HH vs. 2.6 per Non-Hisp HH Have More Kids 57% of all Hisp HHs vs. 33% Non-Hisp HHs Spend More on Groceries $133 per week vs. $91 for Non-Hisp Spend More on Beef 42% more than Non-Hisp Sources: 2006 U.S. Census Bureau; Nielsen Media Research 2005 Universe Estimates; 2005 FMI El Mercado Study. 2
3 Hispanic population growing across the U.S. % Chg. STATE 03 Pop. vs. 90 Alabama 89, % Alaska 29, % Arizona 1,549, % Arkansas 100, % California 12,176, % Colorado 847, % Connecticut 351, % Delaware 43, % D.C. 53, % Florida 3,160, % Georgia 541, % Hawaii 95, % Idaho 119, % Illinois 1,726, % Indiana 242, % Iowa 92, % Kansas 212, % % Chg. STATE 03 Pop. vs. 90 Kentucky 71, % Louisiana 117, % Maine 10, % Maryland 262, % Massachusetts 478, % Michigan 357, % Minnesota 164, % Mississippi 43, % Missouri 130, % Montana 19, % Nebraska 106, % Nevada 491, % New Hampshire 23, % New Jersey 1,254, % New Mexico 810, % New York 3,132, % North Carolina 466, % % Chg. STATE 03 Pop. vs. 90 North Dakota 8, % Ohio 232, % Oklahoma 199, % Oregon 326, % Pennsylvania 423, % Rhode Island 102, % South Carolina 114, % South Dakota 11, % Tennessee 146, % Texas 7,556, % Utah 233, % Vermont 5, % Virginia 394, % Washington 508, % West Virginia 12, % Wisconsin 215, % Wyoming 34, % Source: U.S. Census Bureau,
4 This growth stems from Continued immigration from Mexico and Central America Increased immigration from South America Temporary workers and undocumented Hispanics remaining in the U.S. Continued growth of U.S.-born Hispanic population High birth rates 4
5 More than half of U.S. Latinos live in the top 9 Hispanic markets Top U.S. Hispanic Markets Rank Designated Market Area (DMA) 2006 DMA Hispanic Population 2006 DMA % Hispanic % Spanish Dominant 1 Los Angeles 8,421, % 48% 2 New York 4,389, % 44% 3 Miami 2,141, % 67% 4 Chicago 1,922, % 51% 5 Houston 1,913, % 47% 6 San Francisco/San Jose 1,665, % 42% 7 Dallas/Ft. Worth 1,588, % 51% 8 Phoenix 1,228, % 44% 9 San Antonio 1,192, % 25% Sources: Synovate 2006; Claritas
6 U.S. Hispanics represent a huge and growing consumer segment Hispanic purchasing power grew from $212 billion in 1990 to $863 billion in 2007 Hispanic income is expanding 60-70% faster than general population at 7.4% a year 41% of Hispanic households are solidly middle class with incomes between $35,000 and $99,000 A substantial segment of Hispanics have higher incomes Source: The Selig Center for Economic Growth, Univ. of Georgia,
7 Most U.S. Hispanic adults were born abroad Almost three-quarters (74%) of U.S. Latinos 18+ are foreign-born Their attitudes and habits regarding consumer products and services often reflect their experiences from back home Source: Synovate,
8 Most U.S. Hispanics are of Mexican origin U.S. Hispanics Country of Origin Cuban 4% Central and South American 14% Other Hispanic 7% Mexican 67% Puerto Rican 9% Source: U.S. Census Bureau,
9 The Spanish language dominates among U.S. Hispanics U.S. Hispanics Language Preferred U.S. Hispanics Language Spoken at Home Only English 15% Other 3% Mostly English 29% Only Spanish 28% Mostly Spanish 25% Other 0% Only English 12% English & Spanish Equal 11% Mostly English 22% Only Spanish 23% Mostly Spanish 32% Sources: Simmons Spring 2005 NHCS Adult Full Year Unified Study. 9
10 Not all Hispanics are the same Five main Hispanic Clusters have been identified based on demographic and psychographic considerations American Dreamers 28% New Arrivals 14% Old World 15% Up & Comers 24% Transitionals 20% Source: Simmons Spring 2005 NHCS Adult Full Year Unified Study. 10
11 Hispanic Clustering Less Acculturated More Acculturated New Arrivals Old World Transitionals Up & Comers American Dreamers Only Spanish More Spanish More English Mainly English 11
12 New Arrivals: Establishing Themselves 13.9% of all U.S. Hispanics 18+ Demographics Age 25 54, Median: 36 Married (54%), Single (31%) Less than HS Graduate (57%) Median HH Income - $29K Employed: Full (46%)/Part-Time (16%)/Homemaker (17%) Source: Simmons Spring 2005 NHCS Adult Full Year Unified Study. 12
13 New Arrivals: Establishing Themselves Hispanic Facts 9 of 10 (90%) are non-u.s. born Two-thirds (66%) of non-u.s. born have been in U.S. less than 25 years 9 of 10 (92%) speak Spanish in household Source: Simmons Spring 2005 NHCS Adult Full Year Unified Study. 13
14 New Arrivals: Establishing Themselves Hispanic-Focused Psychographics Buy more Hispanic/Spanish foods and products Have more Hispanic friends than non-hispanic Think businesses should communicate in Spanish Their home has things that remind them of their Hispanic heritage Share Hispanic/Latin roots with Hispanics Source: Simmons Spring 2005 NHCS Adult Full Year Unified Study. 14
15 New Arrivals: Establishing Themselves Media Usage Patterns Nearly half (44%) prefer to watch TV in Spanish all the time 3 in 5 (58%) prefer to listen to the radio in Spanish all the time Source: Simmons Spring 2005 NHCS Adult Full Year Unified Study. 15
16 Old World: Clinging to Tradition 14.5% of all U.S. Hispanics 18+ Demographics Age 25 54, Median: 36 Married (63%), Single (23%) Less than HS Graduate (46%) Median HH Income - $34K Employed: Full (50%)/Part-Time (12%)/Homemaker (11%) Source: Simmons Spring 2005 NHCS Adult Full Year Unified Study. 16
17 Old World: Clinging to Tradition Hispanic Facts More than 4 of 5 (85%) are non- U.S. born 4 of 5 (80%) speak Spanish in household Source: Simmons Spring 2005 NHCS Adult Full Year Unified Study. 17
18 Old World: Clinging to Tradition Hispanic-Focused Psychographics Encourage Hispanic children to participate in Hispanic games Their personal appearance reflects Latin/Hispanic roots Share Hispanic heritage with non- Hispanics Their home has things that remind them of Hispanic heritage Keep up with Latin music, news, sports Source: Simmons Spring 2005 NHCS Adult Full Year Unified Study. 18
19 Old World: Clinging to Tradition Media Usage Patterns Nearly two-thirds (64%) prefer to watch TV in Spanish most or all the time 2 in 5 (41%) prefer to listen to the radio in Spanish all the time Source: Simmons Spring 2005 NHCS Adult Full Year Unified Study. 19
20 Transitionals: Moving Along the Continuum 19.5% of all U.S. Hispanics 18+ Demographics Adults Age 18-49, Median: 33 Married (53%), Single (36%) Less than HS Graduate (40%) Median HH Income - $33K Employed: Full (52%)/Part-Time (11%)/Homemaker (12%) Source: Simmons Spring 2005 NHCS Adult Full Year Unified Study. 20
21 Transitionals: Moving Along the Continuum Hispanic Facts 3 of 4 (73%) are non-u.s. born Almost two-thirds (63%) speak Spanish at home More than 3 of 5 (62%) prefer to speak Spanish Source: Simmons Spring 2005 NHCS Adult Full Year Unified Study. 21
22 Transitionals: Moving Along the Continuum Hispanic-Focused Psychographics Share Hispanic heritage with non- Hispanics Encourage Hispanic children to participate in Hispanic games Their personal appearance reflects Latin/Hispanic roots Often celebrate holidays of Hispanic countries Their home has things that remind them of Hispanic heritage Source: Simmons Spring 2005 NHCS Adult Full Year Unified Study. 22
23 Transitionals: Moving Along the Continuum Media Usage Patterns Nearly half (48%) prefer to watch TV in English More than half (58%) prefer to listen to the radio in Spanish Source: Simmons Spring 2005 NHCS Adult Full Year Unified Study. 23
24 Up & Comers: Shattering the Barriers 24.1% of U.S. Hispanics 18+ Demographics Adults Age 25-54, Median: 37 Married (47%), Single (38%) Less than HS Graduate (39%) Median HH Income - $44K Employed: Full (51%)/Part-Time (15%)/Homemaker (9%) Source: Simmons Spring 2005 NHCS Adult Full Year Unified Study. 24
25 Up & Comers: Shattering the Barriers Hispanic Facts More than half (55%) are non-u.s. born Two-thirds (67%) live in homes where English is spoken Almost half (48%) prefer to speak English most or all the time Source: Simmons Spring 2005 NHCS Adult Full Year Unified Study. 25
26 Up & Comers: Shattering the Barriers Hispanic-Focused Psychographics Often celebrate U.S. national holidays Keep up with the latest American music, news, sports Enjoy eating traditional Latin fare Often celebrate holidays of Hispanic countries Have more Hispanic friends than non-hispanic friends Source: Simmons Spring 2005 NHCS Adult Full Year Unified Study. 26
27 Up & Comers: Shattering the Barriers Media Usage Patterns More than half (56%) prefer to watch TV in English Nearly half (47%) prefer to listen to the radio in English Source: Simmons Spring 2005 NHCS Adult Full Year Unified Study. 27
28 American Dreamers: Living The Good Life 28.0% of U.S. Hispanics 18+ Demographics Adults Age 25-54, Median: 40 Married (56%), Single (27%) Some College or More (36%) HH Income - $50K Employed: Full (55%)/Part-Time (13%)/Homemaker (10%) Source: Simmons Spring 2005 NHCS Adult Full Year Unified Study. 28
29 American Dreamers: Living The Good Life Hispanic Facts Majority (69%) are U.S. born 4 of 5 (81%) live in homes where Spanish is spoken Almost three-quarters (74%) prefer to speak English most or all the time Source: Simmons Spring 2005 NHCS Adult Full Year Unified Study. 29
30 American Dreamers: Living The Good Life Hispanic-Focused Psychographics Enjoy living the American lifestyle Enjoy eating traditional American food Keep up with the latest American music news or sports Often celebrate U.S. national holidays Enjoy eating traditional Latin fare Source: Simmons Spring 2005 NHCS Adult Full Year Unified Study. 30
31 American Dreamers: Living The Good Life Media Usage Patterns Almost half (48%) prefer to watch TV in English all the time Nearly half (44%) prefer to listen to the radio in English all the time Source: Simmons Spring 2005 NHCS Adult Full Year Unified Study. 31
32 Hispanic immigrants tend to acculturate Assimilation Leaving native culture behind The Melting Pot Acculturation Maintaining ties to their origins, while adapting and integrating some of the new culture Retro-Acculturation Rediscovering the culture that they left behind 32
33 Hispanic values are driven by Family Heritage Success Integrity 33
34 Family Family is at the heart of almost every behavioral trait in the Hispanic world and is the primary concern of Latino adults "Mamá plays a leading role Family Source: Yankelovich Hispanic Monitor,
35 Heritage Hispanics are very conscious and proud of their rich cultural heritage 96% feel very proud of their Hispanic background 90% feel the need to preserve their traditions 70% of all Hispanics and 64% of bicultural Hispanics are Spanish-dominant at home Heritage Source: Yankelovich Hispanic Monitor,
36 Integrity Pride and self-worth are integral to Hispanic life 88% of Hispanics agree that people can only count on their own skills and abilities in order to win in this world 89% believe that all immigrants should learn English if they plan to stay in this country 75% believe they have an obligation to make a contribution to the community they live in Integrity Source: Yankelovich Hispanic Monitor,
37 Success Success for Hispanics is defined as being good providers and using wealth to enjoy life, not just pursuing wealth for its own sake 87% agree that job security is more important than money 78% agree that getting more pleasure out of life is a priority Success Source: Yankelovich Hispanic Monitor,
38 Food and food preparation are a vital part of the Hispanic identity Seen as a way to maintain family traditions, particularly among Spanishdominant Hispanics Signifies commitment to family English-dominant Hispanics are more about necessary fuel, less about tradition Meat is perceived as a good value The last thing you lose of your culture is what you eat Source: Tyson,
39 Mom loves cooking for her family and receiving praise Mom is widely viewed as responsible for meal preparation in the home Cooking is the way to express creativity, love and care Providing nutritious meals brings pleasure Acculturated Hispanics place less emphasis on pleasure and creativity Source: Yankelovich Hispanic Monitor,
40 Hispanics are enamored with food and cooking Made from scratch is better More stove-top cooking, broiling and grilling Hispanic females are more likely than non-hispanic females to agree that the kitchen is the most important room in my house (40% vs. 20%) Source: Yankelovich Hispanic Monitor,
41 Eating out is ok, but home-cooked food is best For Hispanics, food is best when it s cooked at home There is enjoyment in eating out, but cost is often prohibitive Family dining is an important part of Latino social life Source: Yankelovich Hispanic Monitor,
42 Thank you Funded by The Beef Checkoff
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