A white paper with some thoughts and ideas by Gustavo Ordonez, EVP Spectrum Group, Screen Engine ASI and Marcelino Miyares, Jr., Managing Partner Arenas Group.
Current Overview
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- The recent ICE raids across the nation have thrown the general market into a state of considerable unrest. A particularly egregious incident occurred recently at a Newark, NJ restaurant, where a U.S. citizen and military veteran was detained, highlighting the indiscriminate nature of these operations. The detention of both undocumented residents and citizens, without warrants, reflects the public’s deeply held fears that the Trump administration seeks to drastically escalate deportation efforts, targeting individuals regardless of criminal background.
- Key concerns among both Hispanic communities and the broader market include: “Am I at risk?” and “Who are they targeting, and in what order?” These questions underscore a fundamental societal dilemma: the need for both “walls” – to safeguard security and cultural identity – and “bridges” – to foster strength, benevolence and purpose. The crucial question is not whether to choose between these two, but rather how to effectively integrate both within our society without jumping from one extreme to the other.
- This presents a challenging situation for society where progress will inevitably continue to require some degree of hardship and difficulty. The adage goes that the path to progress often involves traversing a valley of despair!
- Understandably, many Hispanics, both documented and undocumented, are experiencing a range of emotions from unease to panic. As a result, some folks are opting for self-quarantine as a coping mechanism in the face of current anxieties and uncertainties.
Initial food for thought: how can the multi-billion dollar Hispanic and Spanish-language marketing ecosystem—including marketers, advertisers, media networks, web platforms, agencies, producers, content creators, and others—reframe the narrative about the Hispanic community to demonstrate the valuable contributions of Spanish-speaking immigrants and their descendants to American society? This reframing could potentially influence public opinion, particularly regarding the support for policies like the indiscriminate deportation of migrants without a criminal record and the sanctuary cities debate
Core facts about the present environment
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- The Hispanic population in the United States is incredibly diverse, encompassing a wide range of backgrounds. This includes U.S.-born citizens, foreign-born immigrants (both legal and undocumented), and individuals with varying levels of English and Spanish proficiency.
- Not every undocumented immigrant is Hispanic and not every Hispanic is undocumented; It’s essential to avoid generalizations. The term ‘undocumented immigrant’ encompasses individuals from diverse origins, while ‘Hispanic’ refers to a broad spectrum of nationalities and ethnicities, the majority of whom are legal residents and U.S. citizens.
- Hispanics are a driving force in the American economy, their dedication fueling progress across various sectors:
- Estimates of the unauthorized Hispanic immigrant population in the United States vary, ranging from 11 to 15 million individuals. This represents approximately 21% of the projected 70 million Hispanics residing in the U.S. today.
- The pervasive fear of mass deportations is a significant concern within the Hispanic community, with nearly every individual having a relative, friend, or acquaintance affected by this anxiety. Estimates suggest that unauthorized Hispanic immigrants reside in 6-8 million households, encompassing over 25-30 million individuals. These households constitute 4-6% of the approximately 132 million U.S. households. In 86% of these instances, either the head of household or their spouse is an unauthorized immigrant. Moreover, nearly 70% of these households are considered “mixed-status,” meaning they include both lawful immigrants and U.S.-born citizens.
- While a pressing concern today, it’s important to remember that anti-immigrant attitudes have been a persistent feature of the U.S. landscape, gradually intensifying and taking various forms since the early 1900s. Anti-Mexican sentiment, in particular, has been prevalent in the U.S. Southwest and West since the Mexican American War, suggesting a long history of prejudice and discrimination against Mexicans in the United States.
Food for thought: although undocumented immigrants are a minority within the U.S. Hispanic population, their portrayal as criminals negatively impacts the entire Spanish-speaking community. This branding obscures the significant contributions Hispanics make to population growth, GDP, job creation, and economic prosperity. How might public perception change if people understood the positive impact of immigration on their daily lives? Consider the potential consequences and increased costs if the contributions of all Hispanics, regardless of documentation status, were suddenly absent.
A perspective on Hispanic Sentiment about Immigration and what the recent U.S. Presidential Elections reflected.
While most Black and Latino voters turned out for Vice President Kamala Harris in this election, president-elect Donald Trump made significant inroads with both groups, especially Latinos, to help him secure the White House. Voter surveys from the Associated Press show that the president- elect won 43 percent of the overall Latino vote. That’s an eight-point increase from 2020. And, this year, 48 percent of Latino men voted for Mr. Trump.
Elected officials effectively leveraged the issue of illegal immigration by employing several key arguments:
- Erosion of National Identity: they successfully framed immigration, particularly illegal immigration, as a threat to the very essence of American identity. The recurring image of an “invasion” by foreign elements fueled anxiety and fear among the populace.
- Economic Concerns: public sentiment towards immigration, including among Hispanic communities, was closely linked to economic conditions. When Americans feel financially secure and optimistic about the national economy, they tend to be more receptive to immigration. Conversely, economic uncertainty can fuel an anti-immigrant sentiment.
- Law and Order: politicians skillfully tapped into public anxieties about public safety, order, and the rule of law. This created a dilemma for many, who often grappled with empathy for immigrants while simultaneously harboring concerns about security and the enforcement of immigration laws.
Food for thought: most U.S.-based Hispanics, whether for themselves or their children, strive to assimilate and acculturate. The very precariousness of their position, whether undocumented or perceived as such, acts as a strong deterrent to criminal activity. Studies consistently demonstrate that immigrants, as a group, commit significantly fewer crimes than the general population. Regarding economic anxieties, it’s important to re-examine the relationship between perception and reality. How does scapegoating immigrants, and by extension all Spanish speakers, create economic uncertainty without addressing the actual underlying causes?
Some Insights to consider from the Hispanic electorate and recent events.
Many Americans, including a significant portion of the Hispanic population, believe that regular children and families should feel safe accessing essential services like education, healthcare, and religious institutions without fear of immigration enforcement. Current deportation policies are often perceived and sometimes proven to be rigid and inflexible, failing to address the underlying reasons why people get to migrate to the United States without authorization. These policies carry the potential for severe consequences, including family separation, economic disruption in local communities, and widespread social unrest.
- Support for Legal Immigration: while many Hispanics support the principle of immigration, there is a strong preference for legal pathways. Legal residents and citizens of Hispanic origin often emphasize the challenges they faced in achieving legal status, including lengthy processes and significant personal sacrifices. This perspective often leads to opposition towards undocumented immigration and the provision of immediate financial assistance to those who entered the country illegally.
- Concerns Regarding Government Overreach: a significant portion of the Hispanic population perceived government overreach in various areas. This includes concerns about parental rights in education, mandatory vaccinations, the erosion of religious freedoms, and the politicization of social issues such as gender identity and abortion. These concerns resonate deeply within the Hispanic community, where family and faith are deeply valued.
- Defining Acceptable Deportation Policy: the issue of mass deportations remains highly controversial within the Hispanic community, particularly now that schools, hospitals and churches are fair game for undocumented roundups. There is a strong desire to ensure that deportation efforts are targeted primarily towards individuals involved in criminal activities, including terrorism, while protecting law-abiding, tax-paying families who have established themselves in the United States. These families, often comprised of long-term residents and U.S.-born children, should not be subjected to the threat of deportation. This is where the public, including Hispanic communities, may reach a breaking point, leading to increased opposition and peaceful protests soon.
Food for thought: the immigration system is demonstrably broken. Focusing solely on one aspect, such as the border, oversimplifies the complex issue and frames it as a singular “problem.” How might reframing the issue as one of integration rather than invasion reshape the broader immigration debate?
Looking towards the future: Stick with the Basic Elements of Hispanic success
Whether you’re a company, marketer, content creator, or advocate, you all have heard that delving deeper into the Hispanic community unlocks significant growth potential. Given the recent events, there are many marketeers debating on what is the best way to move forward or whether there is even a Hispanic market to work with today.
The answer to the latter question is a resounding YES. Regardless of current deportation activity, minorities will be the majority in America by 2050 and Hispanics will continue to disproportionately drive economic and population growth across the nation in the years to come. In other words, without a sanguine and safe U.S. Hispanic labor consumer market, labor force and entrepreneurial movement there is no chance that the country will ever come close to its GDP growth projections.
We have all heard in one way or another about the Hispanic opportunity in the U.S. market, which remains true today:
- This vibrant community now boasts the world’s 5th largest GDP, surpassing the economic might of most developed nations. Furthermore, Hispanic America stands as the world’s 3rd fastest-growing economy, and the undisputed champion within the U.S.
- Hispanics drive growth in multiple product categories including home and auto sales, food and beverage, beauty and health, entertainment and theatrical releases, domestic travel and leisure and streaming, cable and mobile phone services, among others.
- Their youthful energy fuels America’s population growth, making them a critical consumer segment for long-term success: 28 years is the average age of the Hispanic population, versus 44 years old for non-Hispanics.
Hispanics hold the key to unlocking future market growth. However, this potential can only be realized if decision-makers prioritize cultural integration and develop robust Hispanic strategies for their businesses and major initiatives. This is no longer optional, it’s essential.
The vibrant mosaic of Hispanic America defies a one-size-fits-all approach. Diverse countries, cultures, and backgrounds weave this rich tapestry. As this influential population continues to flourish, understanding its nuances becomes paramount for brands seeking to connect. The key message despite the challenges of today is that there are some characteristics that remain critical in connecting with Hispanics regardless of their origin and level of acculturation. They apply to all kinds of initiatives and business ventures dealing with this critical population and will continue to be your key to success:
Hispanics often express great pride in their culture, particularly valuing the strong emphasis on family, community, traditions, vibrant food, music, and language, which are often seen as central pillars of their identity and a source of personal pride; this includes celebrating festivals like “Dia de los Muertos” and maintaining a strong connection to their heritage through storytelling and shared customs across generations.
Key aspects of Hispanic cultural pride that remain valid regardless of the current environment:
- Family focus: placing immense importance on family unity, respect for elders, and strong familial bonds.
- Community involvement and collectivism: a strong sense of belonging and responsibility towards the wider community.
- Rich traditions: celebrating cultural practices like “fiestas”, religious ceremonies, music and traditional food preparation.
- Language: pride in speaking Spanish and preserving the language’s nuances.
- Artistic expression: appreciation for music, dance, art forms, and vibrant colors that are unique to their culture.
- Culture of Resilience, perseverance and hard work: recognizing the struggles faced by their ancestors and the strength of the Hispanic community this group will continue marching forward. Hispanics, which always sees light at the end of the tunnel, will decisively power the growth of America through a culture of progress orientation and hard work.
When working with Hispanics it is key to keep these insights in mind. Working with Hispanic professionals, as opposed to professional Hispanics, will help you keep best marketing practices and avoid costly mistakes that are easy to prevent with the right people around you.
Food for thought: marketers who calculate the lifetime value (LTV) and long-term return on ad spend (ROAS) of Hispanic consumers will likely find it nearly double that of the non-Hispanic market across most product categories. How would a wider recognition of the U.S. Hispanic GDP, including the contributions of undocumented labor and consumption, alter public perception of the Hispanic community?
Key Considerations for Marketers targeting hispanics:
- Cultural Nuance: understanding the diverse cultures and values within the Hispanic community is essential for effective marketing.
- Authenticity: building authentic connections with the Hispanic community requires genuine understanding and respect for their values and experiences.
- Multilingualism: effective communication often requires bilingual or multilingual approaches to reach the diverse segments of the Hispanic market.
- Inclusivity: creating inclusive marketing campaigns that reflect the diversity and richness of the Hispanic experience is crucial for building trust and loyalty.
By focusing on understanding the Hispanic market, building authentic relationships, and embracing inclusivity, businesses can effectively tap into this significant growth opportunity.
FINAL MESSAGE: integrate Hispanic cultural insights into your organization and marketing plans. This means investing in understanding the passion points, cultural cues, and values of the U.S. Hispanic consumer segment. Acknowledge, welcome, and celebrate these elements. What are the potential consequences if we fail to do this?
Let us help you build your Hispanic Strategy. We want to be your trusted advisors. Thanks for reading!