Every year the Hispanic population in the U.S. grows by about one million people, making it one of the largest and fastest growing consumer groups in the country. Not surprisingly, companies are responding to this trend by increasingly focusing their advertising spend and creative efforts on this group.
In the auto industry alone, Hispanic American consumers account for $27.9 billion in registered new vehicle transactions, representing 11% of the total market – an astounding figure no matter how you look at it, and one that is continuing to grow.
Viant partnered with Millward Brown to publish a study focusing on U.S. spending and media consumption habits among Hispanic Americans. The report, which drew on trends across device types, produced some interesting consumer behavior findings.
Historically, car brands like Toyota, Ford, Chevy, Nissan, and Honda have marketed very strategically to Hispanic American car buyers, and their efforts have consistently yielded double and triple year over year sales growth. In recent years, however, Hispanic Americans have developed an appetite for luxury brands like Mercedes-Benz, Lexus, Audi, and BMW.
In fact, luxury segment purchasing growth among Hispanic Americans has risen 16% from 2013 to 2015. Compare that to just 5% growth among non-Hispanics over the same period of time. This shift in consumer behavior signifies an emerging trend: automotive buying power among Hispanic Americans is on the rise.
There’s a lot of opportunity for auto makers to better market and sell to this growing segment. However, in order to do this, auto makers must understand their audience and their preferred channels and communication.
Our survey found two of the most influential tools for targeting Hispanic Americans are mobile and video advertising. Mobile and video are growing areas among all Americans, however we found Hispanic American vehicle shoppers are twice as likely to find mobile ads persuasive compared to non-Hispanic shoppers.
Responsiveness to video ads followed a similar trend. Among self-identified Hispanic auto shoppers, 22% found video ads were most likely to persuade them to make a purchase, compared to just 8% of non-Hispanic auto shoppers.
Learn more about Hispanic American consumer behavior in our new White Paper.