Saying "they have been through much worse" and that allows them to "roll with the punches", MediaPost's "Recessions Effect Equals Opportunities For Advertisers" sheds some light on Hispanic trends and why your clients need to continue their ad spending on the Hispanic Consumer during a recession...
- "From a strictly accounting point of view, Hispanic media is more cost efficient than general market media, enabling companies looking to maximize ad dollars to expect a proportionately greater ROI.
- Hispanic households continue to have larger families, and feeding the family as well as possible is a priority any time. Food brands should continue their efforts.
- In some categories softened by the economy, there is an opportunity for newer advertisers to build their brand in a less cluttered environment, with a smaller investment than in times of plenty.
- The Hispanic population continues to grow steadily. Population growth projections are expected to hold (e.g., Synovate's 2008 projections: 2008:47.1 million, 2010: 49.8 million, 2015: 56.7million, 2020: 63.8 million; 2040: 96.2million).
- All consumers fall back on trusted brands in troubled times, but this holds especially true for Hispanics, with emphasis on familiar "comfort" brands.
- Hispanics look more to advertising for information, especially in tough times. Brand loyalty and conversion to brands that deliver and advertise in recessionary times pay off in the long run, as Hispanics perceive companies who are advertising during tough times to be the most reliable and strong. "
The article states that Hispanics "over-index" on food, spending more during recessionary times. Other sectors that continue to see growth: telecommunications, fast food, casual dining, packaged goods, and pharmacy related items.