Cultural Differences In Marketing
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Transcript of Cultural Differences In Marketing
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Cultural Differences in Marketing
Presented by:Pamela L. Schneider
Senior VP, Client Services DirectorRick Johnson & Company, Inc.
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Topic • The topic for this presentation was written
up as me presenting four campaigns on one product emphasizing the differences based on ethnicity: Anglo, Native American, African American and Hispanic.
• The new topic for today is me presenting a number of different campaigns (most of them healthcare industry related) along with some words about the Hispanic Consumer market (germane to New Mexico)
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Topic
Topic Changed for a number of reasons:• The HCM is an important and viable market
in New Mexico – the train left the station
• Market in which you can make great inroads if you want to spend the time, dollars and research
• The Native American market is also important and viable – harder to reach
• The agency includes Native American marketing for Giant Gas and Convenience Stores as well as PNM – Radio for both clients (Navajo)
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It’s About Understanding When
• Some decisions are based on budget– Do you have enough dollars to reach the
general market audience while also spending to reach the Hispanic,
Native American or other audiences– Should you spend the dollars to reach a
narrower audience; when attacking the problem from a more global perspective is warranted
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Understanding When
• Some decisions are based on who you are trying to reach and what the message is – will it translate- Are you trying to reach older Hispanic
females in need of mammograms?- Are you trying to get out a message on
immunization to a broad based audience or a specific audience?
- Are you selling a product or service only to Spanish language dominant persons?
- Are you attempting to promote a service on diabetes to Native Americans?
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Understand Your Audience
• Research Upfront• Research Some More• Know your target audience inside and out• Know what they want• Deliver a message with relevance and
authenticity• Deliver in the medium they want and expect• Deliver in a language they identify with and
relate to
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Understand Your Audience
• Can you reach the target audience through other avenues (Public Relations or Internet) or by sending the message to a broader target?
• Do you have to split your marketing dollars in order to reach the Spanish language, Native American or African American audiences?– Can you reach these audiences by running
General Market ads and spots?– Should you reach these audiences by running
General Market ads and spots?
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Sample Campaigns
Show Television Reel
English and Spanish spots
• Traffic Safety Bureau
• United Way
• United Blood Services
• St. Joseph Healthcare
• ARCA
• United Way
• San Felipe Casino Hollywood
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Broadcast Reel Explanation
• Traffic Safety Bureau – Same spot, direct lift of English
• United Way – Translation of English Script
• United Blood Services – English TV, Spanish Radio
• St. Joseph Healthcare – English TV only
• ARCA – Spanish Translation of English Script
• United Way – Translation of English Script
• San Felipe Casino Hollywood – English :60
- NOTE: Spanish :30 not complete yet
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Sample Campaigns – Let’s Begin With…
United Blood Services – Phase 1
Let’s begin with an English driven campaign that reaches many ethnicities with a relevant message driven by photography
- Campaign is English driven but has a Spanish language component
- Be a Hero Campaign
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Sample Campaigns – Let’s Begin With…
United Blood Services – Phase 1- Diversity and ethnic touch stones shown through photograph (crowd of people) - Woman on tree stump arms outstretched represents “every person”- Guy on skateboard – younger audience,
less corporate looking
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Sample Campaigns United Blood Services – Phase 2
• Campaign depth broadened to encapsulate more people – English only for the U.S. – Spanish language in New Mexico
• Cultural Diversity shown in the photographs
- Asian waiter, African American at airport, Native American on escalator,
• All age demographics represented in the photographs
- Mature woman on bench, older man on tractor, kid on vespa, college age
students eating
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Sample CampaignsUnited Way – 2002/2003
Campaign produced in English and Spanish
- Television/Radio
- Outdoor
- Collateral
• All media outlets banded together to promote United Way of Central New Mexico
• #1 UWA in the United States per capita growth for all metropolitan chapters
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Sample CampaignsUnited Way – 2002/2003
Reasons for using Spanish language media
• Reach the largest consumer audience possible (business owners, employees, everyday, garden variety consumers)
• Share stories of New Mexican’s with New Mexican’s in order to make a consumer connection
• Raise the funds needed for United Way - Millions
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Sample Campaigns
United Way of Central New Mexico
Print and Outdoor Examples
El Hispano – Newspaper
Albuquerque Journal/Tribune – English and Spanish
Clear Channel Outdoor – English/Spanish
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Sample Campaigns
United Way of Central New Mexico
Reasons for using Spanish Language Media
• Leave no audience out of the mix
• Build awareness for the Community Fund with all people
• Let minority audiences know that they can be helped and that they can help – put them in a position of empowerment
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Sample CampaignsNew Mexico State Tourism
Print Examples
• gerencia de viajes – Ad (The Spanish Language Travel Management Magazine)
- Advertorial was New Mexico art and culture so the ad is a museum/culture based ad
NOTE: The cover of the magazine is the Balloon Fiesta• gerencia de viajes – Ad
- Golf is big for group planning – matching advertorial on golf in New Mexico
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Sample CampaignsNew Mexico State Tourism
Print Examples turistampa – Ad (Tourism Industry Magazine
for Mexico City)- Ad is about art and culture discussing
the natural arts and inspiration that can be found in many
forms in our state – local artist
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Sample Campaigns
New Mexico State Tourism
Reasons for Using Spanish Language Media
• Targeted audience of Meeting and Convention Planners
• Targeted media – Mexico City Industry Travel Publication
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Sample Campaigns
Inn of the Mountain Gods
Print Examples
Campestre Juarez – Ad
- Championship Golf Course
NORTE de Ciudad Juarez – Ad
- Casino Tournament Ad
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Sample CampaignsInn of the Mountain Gods
Reasons for using Spanish language media:
- A large portion of the audience base is Spanish speaking
- Target wealthy, upper class Spanish- enjoy luxuries in life (golf, resorts, shopping and casino gaming)
- El Paso and Juarez markets reached through print and radio as complimentary media
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Sample Campaigns
Inn of the Mountain Gods
Reaching the Target Audience
- Retail campaign for the casino and golf has already begun with Spanish language only print
ads
- Unusual, normally launch with English first or English and Spanish simultaneously not Spanish
first
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Sample Campaigns
PNM
Print/Collateral Examples
El Hispano – Call Before you Dig Ad
Collateral – PNM Service Brochure
Collateral – Budget Billing Brochure
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Sample Campaigns
PNM
Reasons for using Spanish Language Media
• Important to touch all segments of the utility audience with these messages
• Messages are relevant to the target (HCM)
• Imparts information that will be used by all segments of the utility audience
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Sample Campaigns
New Mexico Traffic Safety Bureau
Print/Collateral Examples
• School Posters – English and Spanish
• Print Ads – Spanish and English
*Broadcast television and radio produced in Spanish and English for DWI, Underage Drinking and Driving as well as Seat Belt Use
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Sample Campaigns
New Mexico Traffic Safety Bureau
Reasons for using Spanish Language Media
• Message is relevant to all consumers in New Mexico
• Localized for use in predominantly Spanish neighborhood papers and schools
• These ads are about family, kids, safety and education which all resonate in the HCM
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Let’s DiscussThe Hispanic Consumer Market
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First Things First: Latino or Hispanic?
• Both are acceptable and most people use them interchangeably
• There are a few differences:– Latino is more current terminology, more in fashion– Latino is more inclusive
• Includes Brazilians, who are not Hispanic– Most Latinos use the term to describe themselves
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Why Market to Latinos? The Face of America is Changing!
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14%
21%
0%
5%
10%
15%
20%
25%
2004 2020
% of Total Population
Hispanic population is growing at 3x the National rate.
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Hispanic buying power has increased 30% in last five years.
$700 Billion
Projected$1 Trillionby 2010
$$
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• The 3 L’s:– Large – Lucrative– Loyal
U.S. Latinos: A Marketer’s Dream
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A Large and Growing Population 2000 Census Reveals…
• Hispanics are the largest and fastest-growing ethnic group in the U.S. Since 1990:– population grew 58% vs. 13% for non-Latinos
• 37 million Latinos now live in the U.S.
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U.S. Latino Population is Exploding…
14.622.4
37.0
56.0
80.4
1980 1990 2000 2010 2020
Source: Strategy Research Corp. 2002
Latino Population in Millions
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By the Year 2020…
Source: 2000 U.S. Census
One in five U.S. residents will be Latino
One in five U.S. residents will be Latino
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In Albuquerque…one of every 2.5
Source: 2000 U.S. Census
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Top 15 U.S. Latino Markets by Population
Source: U.S. Census 2000
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Lucrative Potential of the Latino Market
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1990 1995 2001 2002 2007
U.S. Latino Buying Power ($ Billions)
$208$289
$452
Source: Selig Center for Economic Growth, Terry College of Business,The University of Georgia, August 2000; July 2002
$630
$926
(proj.)
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Fountain of Youth?
• Latino population is the youngest of all ethnic groups– Their prime income-earning years are ahead
of them– Opportunity to establish brand preferences
now
• Mean age by ethnicity:– Latino 27.9– African American 32.0– Asian 32.6– White 38.6
Source: U.S. Census 2000
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Fountain of Youth?34.2
21.6Latinos18-34
Whites18-34
Source: Strategy Resource Corp. 2002
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The “Latinization” of America
• As of 2001, tortillas outsell bagels 2:1
• José was the number one name for baby boys born in Texas last year, and nationally, José hit #30
• The hottest food trend is “Latin fusion”
• Salsa sales eclipse ketchup sales by 40%
• The top three surnames for new home buyers in California in 2001 were Hernandez, Fernandez and Gonzalez
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Latinos Influence USA
The Hispanic presence has enriched USA with food, media, entertainment and culture
Source: Yankelovich Hispanic Monitor 2000
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Latin Entertainment is ¡Caliente! (Hot!)
• Latin music is enjoyed by the masses– Shakira, Enrique Iglesias, Mark Anthony and
Ricky Martin record in both English and Spanish
• Latin award shows are emerging:– Latin Grammy’s– Latin Emmy’s
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Reaching Latinos Effectively
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Language Use and Preferences
Source: Strategic Research Corp. 2002
64%
14%
22%
Spanish
English
Both
10%
74%
16%
Language most comfortable speaking
Language spoken at home
Source: Strategy Research Corp. 2002
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Reaching Consumers in Spanish Works!
• Awareness– Communication in Spanish is 61% more
effective at increasing awareness than communication in English
• Recall– 57% more Hispanics will recall a
product/service message when they receive it in Spanish
Source: Roslow Research 2000
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But It’s More than Just Spanish…
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It’s About Reaching Them with Relevance
• It’s necessary to connect with target consumers– Emotionally– Rationally– Intellectually– Culturally
• To connect in these ways, you must know about their level of acculturation
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Acculturation, Not Assimilation
• Assimilation: – A group leaves culture and customs behind
and adopts culture and customs of another group
• Acculturation:– A group adopts or borrows customs and traits
from another culture
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Acculturation is Defined as…
• “Change resulting from contact between cultures”
• “The process by which people adopt or borrow customs and traits from another culture”
• “A merging of cultures as a result of prolonged contact”
• “Mutual influence of different cultures in close contact”
Source: “Acculturation” Microsoft Encarta Online Encyclopedia 2000Strategy Research Corp.
Webster New World Dictionary, Third College Edition
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Key Indicators of Acculturation
• Language• Values
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UNACCULTURATED ACCULTURATED
Collectivism
Success:Family/groupsatisfaction
Obedience/attached to traditions
Cooperation/respect
Fatalism
Avoidanceof direct
confrontation
Class distinction/authority
Individualism
Success;
Personal
Achievement
Freedom/open to change
Competition
Control over
destiny
Assertiveness/aggressiveness
Equality
Latino Acculturation Values (L.A.V.s.)™
UNACCULTURATED ACCULTURATED
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Acculturation Among Hispanic Adults 18+
Source: Strategic Research Corp. 2002
66%
9%
25%
Partially
Unacculturated
Acculturated
Source: Strategy Research Corp.
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Albuquerque is Highly Acculturated Market
• Top 3 Most Acculturated Markets in U.S.:
– San Antonio– Albuquerque– San Francisco
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Acculturation Among HA 18+ -Albuquerque
Source: Strategic Research Corp. 2002
64%
15%
21%
Partially
Unacculturated
Acculturated
Source: Strategy Research Corp.
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Factors Influencing Acculturation
• Employment• Length of Residency in U.S.• Language Use/Preference (home and
work)• Birthplace of Parents• Education• Generation U.S. Born (1st, 2nd, 3rd, etc)• Media Preferences (Spanish or English)• Values and Attitudes
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Thank You