Hispanics Are Fully Engaged in the Digital World, Are You Connecting With Them? - Fernando Rodríguez - MediaBizBloggers

2010 was a year of Multicultural resurgence. Post recession advertisers realized that in line with most pre-census forecasts, the 2010 Census was going to point out something many have been hearing for quite some time – America is increasingly Multicultural. That being said, several advertisers were already delving steadfast into the market. However, those on the verge of defining a strategy need to step it up...and quickly. With what could perhaps be considered the perfect storm for players in the Hispanic Digital space, there has been a significant shift with advertisers moving more dollars to digital, to reach this coveted consumer.

Our new Terra Ad Value Research Study conducted by comScore this fall reveals some stunning insights into the Hispanic online consumer. Not only are Hispanics fully engaged in the digital world but they are also more receptive to advertising and new marketing experiences than non-Hispanics. While non-Hispanics may tend to look at interactive advertising as intrusive, Hispanics seem to be appreciative of the brands that are trying to reach out to them.

Here are five key learnings from the Terra Ad Value Study:

1)Hispanics are more receptive to online advertising than non-Hispanics

Hispanics are more responsive to targeted ads with 37% saying they would likely respond to them vs. 30% for non-Hispanics. 35% of Hispanics vs. 27% of non-Hispanics said they are more open to advertising on sites where they read or contribute user-generated comments. 37% of Hispanics vs. 25% of non-Hispanics enjoy the interactivity of online video ads, and the ability of obtaining additional information which is unavailable through a regular TV ad. Furthermore, 36% of Hispanics vs. 24% non-Hispanics claim that digital advertising has motivated them to visit a retail establishment while 35% of Hispanics vs. 25% of non-Hispanics are likely to attend movies based on their online campaigns.

2)Hispanics are more open to new technology

Hispanics are more open and willing to explore new technology presumably to keep up to speed with trends. In addition, these initiatives are likely to enhance their perception of the brand with 60% of Hispanics vs. 42% of non-Hispanics saying that they react positively to I-Pad demonstrations, virtual shoppers, mobile coupons, live streamings and others.

3)Hispanic Social Media Engagement is Extremely High

Though Hispanics share the same general level of engagement in social media as non-Hispanics, they are more receptive to receiving updates for offline activities through mobile text alerts, Twitter feeds and Facebook. These include shopping for large retail items, looking for entertainment information such as movies, concerts, events and places to eat. They are also more likely to visit a brand's Fan Page and to follow Twitter updates from artists.

4)Hispanics outpace non-Hispanics in their ownership or plan to own new technology.

Hispanic's intent to purchase of E-book readers, tablet PCs, and 3D TVs as their most desired purchases for the upcoming year at a higher rate than non-Hispanics. Nearly one fifth, 18%, own an iPad/Tablet PC with one third planning to purchase (vs. 8% & 21% correspondingly for non-Hispanic). Nearly 40% have (8%) or plan to own (30%) the bleeding edge 3D TV (vs. 4% & 18% respectively for non-Hispanic). Smartphone ownership tells a similar story, with 43% of Hispanics owning a Smartphone/PDA vs. 36% of non-Hispanics.

5) Hispanics outspend non-Hispanics in E-Commerce Transactions

Hispanics outspend non-Hispanics in dollars per transaction and dollars per buyer. What is most interesting is that the group that spends the most among Hispanics are those whose primary language is Spanish or are bilingual, outpacing those that prefer to communicate only in English and non-Hispanics in general.

In summary, at 30 million strong, (60% of the total population of 44 million) the Hispanic online consumer is thoroughly embracing technology and new digital experiences in multiple platforms. As our study shows, the Hispanic online consumer is receptive, engaged and willing to listen; they are the ideal online consumer. Are you talking to them?

Appendix: Personal Electronics – Ownership & Purchase Intent[1]

[1] Question: Which of the following personal electronic devices do you currently own or plan to purchase in your household within the next year? We are interested in ownership of a specific device for each purchase listed below, not in the functionalities of your mobile device.

Fernando Rodríguez joined Terra Networks in 2000 as Chief Financial Officer and as a founding member of the team that launched Terra.com. In 2004 he took on the position of Chief Executive Officer and he now oversees the operations of Terra Networks in the US, with headquarters based in Miami and offices in New York, Chicago, Los Angeles and San Francisco. He has played a key role in the growth of the organization and in consolidating Terra Networks USA’s position as the leading Internet portal for the US Hispanic market.