December 16, 2009
Hispanic Shopping Private Label Brands
Many Hispanic shoppers are buying more private brand products, a trend expected to continue in the future based on research by the Food Marketing Institute (FMI) Private Brands Group presented in the report Se Habla Isn’t Enough: Private Brands Among Hispanics 2009.
In fact, the research found that 37 percent of Hispanic shoppers are purchasing more private brand products this year and 25 percent plan to buy more in 2010.
“Hispanic people are discovering the value and quality of private brands. This is a welcome finding since food plays a central role in their culture,” said Patrick Walsh, FMI vice president of industry relations and collaboration.
More than seven in 10 Hispanics (73 percent) agree that “store brands are a great value for the money,” including over half (52 percent) who “strongly agree,” according to the report. Nearly as many (64 percent) agree that “store brands are just as good as national or international brands,” with more than four in 10 (42 percent) holding this view strongly.
“This emerging trend has tremendous sales potential for food retailers,” Walsh said.
The report found that private brands account for 31 percent of household grocery expenses among Hispanics, averaging $85.94 every two weeks out of a total of $266.63.
Hispanics at All Income Levels Buying Private Brands
Household income does not affect the amount spent. In fact, Hispanics earning $50,000 or more per year spend the most at $92.67. Retailers that offer multiple tiers of products, from basic to premium, can effectively market private brands to Hispanics at all income levels, according to the research.
Other findings bode well for the future of private brands, notably that the youngest shoppers, 18-24, spend more than any other age group at $99.41 every two weeks. In addition, 42 percent of Hispanics entering their prime earning years, 25-39, have increased spending on these products this year.
Contributing to the positive outlook is that the current U.S. Hispanic population is 45 million, a number projected to grow to 64 million — one in five Americans — by 2020, according to the market research firm Synovate. Their buying power is expected to double over that time span to $2.2 trillion.
The most popular private brands among Hispanics, defined as items bought when shopping “every time” or “fairly often”:
* Dairy products, 54 percent.
* Paper products, 41 percent.
* Carbonated beverages or soda or bottled water, 35 percent.
* Cleaning supplies, 34 percent.
* Hot or cold cereals and other breakfast products, 34 percent.
How to Increase Private Brand Sales Among Hispanic Shoppers
The report found opportunities for retailers to increase sales of private brand products among Hispanics. Among all Hispanic shoppers, 10 percent never buy these products and another 48 percent do so sometimes or rarely. This is especially the case among the less acculturated, defined as Hispanics who have resided in the U.S. less than half their lives and speak Spanish as their dominant language.
The study explored how retailers can encourage Hispanics to buy new private brands. The top five factors rated “very influential” in moving them to try out a new product:
* Quality and healthy ingredients, 64 percent.
* Price lower than the alternative national brand, 63 percent.
* Discount coupons and sales, 59 percent.
* Same ingredients and characteristics of the alternative national brand, 49 percent.
* The store would donate a percentage of private brand sales to the community, 48 percent.
Although it is well recognized that having Spanish signs, labels, ads and bilingual employees is essential to reach out to Hispanic shoppers, these factors rated much lower in influencing them to buy new store brands.
Posted by Ahorre at 11:19 AM
November 03, 2005
Carmens Cupones Y Consejos Celebrates 5th Year and Releases 2006 Program Schedule
Carmen's, entering its 5th year as the leading Co-op Direct Mail Program to U.S. Hispanics, reaches millions of Hispanic households each mailing, in the top 11 U.S. Hispanic states and 17 markets, for as little as 3.5 cents per household.
PRWEB -- After 4 successful year's Carmen’s keeps on delivering. This time by announcing the release of their 2006 Program Schedule, allowing any company having an initiative to reach U.S. Hispanic households, the ability to do effectively and inexpensively. With participating companies such as GEICO Insurance, Kern's Beverages, STAPLES and QWEST Communications among many others.
“We’ve worked very hard to create a successful program. One that would allow advertisers to reach over 2.5 million households nationwide with each mailing, for as little as 3.5 cents per household, but one that would also benefit the Hispanic community through a medium that had overlooked this consumer far too long. We are happy to hear the success stories that our clients bring to us everyday."
The Carmen’s program offers advertisers a unique opportunity to communicate directly with US Hispanic households, the largest growing minority segment of the population. It reaches millions of Hispanic homes per mailing in 11 states and in the top 17 U.S. Hispanic markets. It arrives in an attractive 6” x 9” flat oversized envelope with advertisements in both English and Spanish, although bilingual ads are recommended.
Carmen’s next mailing is just a couple of weeks away, just in time for the Holidays. For those advertisers who did not participate, Carmen’s will mail again in January, so there’s time to be included. If a company does not have existing materials and wishes to participate in the program, Carmen’s can create an insert at special rates through their production partners at PlanetWoot, LLC (www.planetwoot.com).
With Carmen’s there is no mailbox “clutter”, since the typical Hispanic household receives an average of 50 direct mail pieces per year, compared to 500 or so received by the general U.S. population. In addition, 72% of Hispanics say they always read their advertising mail, 66% respond to their advertising mail, and 39% say they want to receive more, according to two surveys by Dimension/Draft and Data Research Group. Hispanic consumers also tend to be price conscious and 46% say they “always” or “sometimes” use coupons, particularly those with high acculturation, 75% of which reported using coupons compared to 56% of overall consumers in the U.S. (NCH Marketing Services’ Hispanic Coupon Survey, 2002). When you combine all of these factors, it’s not difficult to see why more top marketers are including direct mail in their Hispanic marketing programs and the best source to provide them with top ROI’s is Carmen’s Cupones Y Consejos®.
For more information on the Carmen’s Cupones y Consejos® co-op direct mail program, please contact Shayne Walters of Walters Media Group, Inc., at: 949.768.3390.
Posted by Ahorre at 06:58 PM