Activating the New American Mainstream

Defining, Reaching and Engaging with the Multicultural Market

In partnership with:

Overview

Discussions around the multicultural market are nothing new. Reaching and engaging customers across a vast tapestry of ethnic backgrounds have long been great challenges for marketers. How do we localize and personalize messages to engage our customers at the very core of who they are and what makes them unique? Sadly, many of these campaigns have been relegated to one-off strategies that primarily focus on translated advertising or surface alterations of images and graphics. The reality is that while marketers have long looked at multicultural markets as prime engagement grounds—not only for size, but also for wallet share—we have failed to truly understand the individual markets and points of opportunity.

According to new research from Geoscape, a leader in business intelligence across the multicultural market, the multicultural market is growing in unique and powerful ways, with individual ethnic markets demonstrating key behaviors and attributes that, if understood by savvy organizations, can mean the difference between total irrelevance and customer advocacy and loyalty. Consider these key trends from Geoscape:

  • The number of Hispanic-owned businesses is expected to grow to more than 3.22 million this year, representing a staggering growth rate of 43 percent since 2007—more than double the growth rate for all US firms.
  • These business owners are managing their dollars quite differently. Hispanic business owners are 56 percent more likely to conduct online banking with their primary banks and 83 percent more likely to invest in the stock market.
  • Multicultural markets are not only doing business differently, but their household buying behaviors are also different. Hispanic households across the U.S. spend 17 percent more than the average household on cellular phone services. Asian households spend approximately 12 percent more.

Once called a specialty segment or market, the multicultural consumer has really become the “new American mainstream,” complete with buying and influence power. And now, brands are feeling the pressure to make multicultural marketing a priority. But with this new reality comes the need to better understand just who this new mainstream consumer really is and what moves this powerful buyer to engage. Marketers require new insights and intelligence to target, reach and better engage this powerful market, pulling one-off novelty campaigns into a more comprehensive and holistic marketing strategy that is shared and embraced across the organization.

The CMO Council, in partnership with Geoscape, will delve into the issues and complexities of the new American mainstream consumer to highlight where and how organizations can maximize strategies and right-size allocations to best engage America’s culturally diverse business environment. Kicking off this thought leadership initiative will be an exclusive executive roundtable event hosted in New York, NY on Wednesday, November 12th to discuss and debate the key issues and challenges facing marketers as they engage across an increasingly diverse consumer population.

Key areas of discussion will include:

  • Pairing big data analytics with on-the-ground knowledge to identify cultural markets with great potential and develop culturally relevant creative
  • Examining the benefits and pitfalls of implementing a total market strategy that moves multicultural marketing beyond silos to a more holistic, integrated, strategic imperative adopted by the entire organization
  • Defining the key differences between multicultural and multilingual strategies, as well as identifying how savvy leaders are incorporating culture-sensitive localization—not just simple translation—into their marketing strategies

The CMO Council will also be conducting a focused audit of marketers to better understand the opportunity, issues, challenges and outlook for bringing multicultural marketing out of a silo and into the core marketing strategy. The audit will investigate how multicultural marketing strategies are developed, embraced and implemented across the organization, as well as the levels of commitment to multicultural engagements by marketers and critical stakeholders across the organization.

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Facts & Stats

By 2019, the United States will be home to as many as 64.8 million people of Hispanic origins.

Asians, Blacks and Hispanics will contribute nearly 90% of population growth between 2014 and 2019.

By 2040, the non-Hispanic White population will drop below 50%, becoming the minority. The three largest ethnic groups in the U.S. will each be over 125 million.

Hispanic households across the U.S. spend 17 percent more than the average household on cellular phone services. Asian households spend approximately 12 percent more.

The number of Hispanic-owned businesses is expected to grow to more than 3.22 million this year, representing a staggering growth rate of 43 percent since 2007—more than double the growth rate for all US firms.

These business owners are managing their dollars quite differently. Hispanic business owners are 56 percent more likely to conduct online banking with their primary banks and 83 percent more likely to invest in the stock market.

Read

Studies & White Papers

Paradigm Shift: The Effect of Nativity and Years-in-Country on Television Program Viewing Across Three Hispanic Generational Levels

The purpose of this study was to investigate whether there are better and more efficient ways to measure the US Hispanic television audience that are currently used, which would help leading corporations optimize their media investments. Journal of Cultural Marketing Strategy >>

Hispanic Businesses & Entrepreneurs Drive Growth in the New Economy

Hispanic entrepreneurs are America’s business future. This thriving community numbers more than 3.22 million Hispanic-owned businesses, that will together contribute in excess of $486 billion to the American economy this year. Geoscape >>

The American Marketscape DataStream™

The American Marketscape DataStream (AMDS) is a data resource that reflects the multi-dimensional character of American population and households such as Hispanicity and Asianicity segmentation summarized by geographic area-from the block group and zip code all the way up to the nation as a whole. Geoscape built AMDS to reflect current and forecasted data points that prove valuable for hundreds of corporations in both business planning and execution, across a variety of industries. Geoscape >>

Geoscape Market Snapshots

Monthly market snapshots provide a deeper glimpse into some of the largest and most dynamic markets in the country. Geoscape >>

Books

Program Themes

  • CX Strategy
  • Latin America
  • Customer Engagement