Latino Marketing: How Curacao, The Innovative and Trendsetting Retailer, Captures the Hispanic...

How Curacao, the Innovative and Trendsetting Retailer, Captures the Hispanic Market

Jerry Azarkman2

How Curacao Started

Leaving Israel after the Yom Kippur War, seeking the American Dream

3

Vision of the American DreamNothing can stand against my will

4

The Value of $20.00

5

Finding the Niche, the Hispanic Market

6

Door to Door SalesBeing in their Home

7

Learning their Language and Culture

8

The Importance of Family

From their kids to the grandparents, family is very important

9

Customer Referrals

10

Get to KnowYour Customer

11

Learning their needs in Products and Services

12

Finding Products that fit their Cultural Needs

13

Building a Value for our Customers

14

What will make them listen to you?

15

Speak to Their Heart

Helping the Community• Community Assistance

Programs• Tutoring Program–

“Learn to Read – Read to Learn”

• Community Events –“La Feria de los Niños”

• Scholarship Programs• Toys for Guns Program• Image Commercials

16

Speak to Their Mind

Creating a Value• Special Sales• Exclusive Offers• Traffic Builders• Gifts with Purchase• Direct Mail Hard

Sale Offers• Hard Sale

Commercials

17

What is important for this Community?

• Being part of an organization

• Credit• Membership

Programs• Loyalty Programs

18

Building Loyalty with the Hispanic Market

• Always deliver above their expectations.

• Have in-house service for your products.

• Specific Merchandising with high value designed for the Hispanic Market.

• Internal Marketing for loyalty and membership programs.

• Provide Gifts with Purchase.• Create a segmented customer base

and create exclusive events by segments.

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Building Trust with the Hispanic Market

20

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Understanding the Hispanic Market

Hispanic Concentration 1990

23Source: Geoscape 2014

Hispanic Concentration Today

24Source: Geoscape 2014

Percent distribution of U.S. Hispanic Population by type of Origin (2010)

Mexican63%

Guatemalan2%

Salvadoran3%

Other C. American,

2.5%

South American

7%

Caribbean16%

Other Hispanic8%

U.S. Hispanic Population by Type of Origin (2010)

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Mexican/ Central American 70.9%Mexican 63.0%Guatemalan 2.1%Salvadoran 3.3%Other C. American 2.5%

South American 5.5%Caribbean 15.5%Other Hispanic 8.1%

Source: U.S. Census Bureau

U.S. Hispanic Population by Acculturation (2013)

• HA1 (Americanizado)– English Dominant (nearly No Spanish)– Born in US and 3rd + generation– Few Hispanic cultural practices

• HA2 (Nueva Latina) – English preferred (some Spanish)– Born in U.S. and typically 2nd generation– Some Hispanic cultural practices and often

“retro-acculturate”• HA3 (Bi-Cultural Hispanics)

– Typically bilingual (equal or nearly)– Immigrated as child or young adult – Has many Hispanic cultural practices

• HA4 (Hispano) – Typically Spanish preferred (some English)– Immigrated as adult and in U.S. 10+ years; – Pre-dominant Hispanic cultural practices.

• HA5 (Latinoamericana)– Spanish dominant (nearly no English)– Recently immigrated as adult (less than 10

years ago)– Primarily Hispanic cultural practices and

identifies with home country more so than U.S. Hispanic.

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HA117%

HA229%

HA326%

HA415%

HA513%

U.S. Hispanic Population by Acculturation (2013)

Source: Geoscape 2014

HA1

HA2

HA3

HA4

HA5

San Francisco/ Oakland/ Hayward

HA1 152,397 HA2 269,745 HA3 284,241 HA4 169,756 HA5 131,666 

HA1

HA2

HA3

HA4

HA5

San Jose - Sunnyville -Santa Clara

HA1 91,982 HA2 146,274 HA3 145,470 HA4 92,426 HA5 64,823 

HA1

HA2HA3

HA4

HA5

Fresno

HA1  98,807 HA2  137,611 HA3  123,749 HA4  77,439 HA5  59,271 

HA1 86,318 HA2 131,847 HA3 113,663 HA4 65,664 HA5 46,910 

HA1

HA2HA3

HA4HA5

Stockton / Lodi

HA1 56,493 HA2 87,148 HA3 82,065 HA4 36,348 HA5 27,752 

HA1

HA2HA3

HA4HA5

Modesto

HA1 42,587 HA2 71,707 HA3 67,901 HA4 29,663 HA5 22,198 

HA1

HA2HA3

HA4HA5

Bakersfield

Hispanic Population by Acculturation per City

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South GateOpened in 2000

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Total Pop (5Miles) 853KTot Hispanic: 733KNon Hispanic: 119K

H4 and H5 combined: 292,81634.35 % of TOTAL Pop.

86.03

13.97

Ethnicity Distributionat 5miles

Hispanic %

Non Hispanic%

HA1

HA2

HA3

HA4

HA5

Acculturation

48%

Penetration(195K Accounts)

Santa AnaOpened in 2006

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Total Pop (5Miles) 722KTot Hispanic: 379KNon Hispanic: 342K

H4 and H5 combined: 160,65622.24 % of TOTAL Pop.

52.5147.49

Ethnicity Distributionat 5miles

Hispanic %

Non Hispanic %

HA1

HA2

HA3

HA4

HA5

Acculturation

12%

Penetration(86.4K accounts)

AnaheimOpened in 2007

30

Total Pop (5Miles) 577KTot Hispanic: 287KNon Hispanic: 290K

H4 and H5 combined: 103,80417.98 % of TOTAL Pop.

49.6550.35

Ethnicity Distributionat 5miles

Hispanic %

Non Hispanic %

HA1

HA2

HA3

HA4

HA5

Acculturation

8%

Penetration(43.4Kaccounts)

Advertising

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Television and Radio

• Novelas and Television Hosts are big in the Hispanic market, using their talent will create a buzz for your business and bring an endorsement.

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Gabriel SotoActor

Don FranciscoTV Host: Sabado Gigante

Penelope MenchacaTV Host: 12 Corazones

Jenni RiveraSinger

Edgar VivarActor

Segmentation and Direct Mail

Create Segmentation models on your database.

• Demographics – By Country– By Acculturation– By Credit Utilization– By Behavior– By Appeal to type of

Product– By Membership or Credit

Level– By Date of last purchase

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Measure your Response

0.0%0.5%1.0%1.5%2.0%2.5%3.0%3.5%4.0%4.5%5.0%

Mother's Day Father's Day Main Xmas

201120122013

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Social Media and Digital Marketing

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US Hispanics are Google Users

38

TV is an effective Trigger Search

Hispanics maximize Mobile Media

• 93 % of US Hispanics use a mobile device regularly.

• 53% of US Hispanics use search engines to shop for and gather information on products.

Source: Google 2010, Hispanics 2010. October 2010

Use all types of Digital Advertising at a fraction of the cost of traditional

Advertising

• Facebook• Twitter• YouTube• Pintrest• Instagram• Text Messaging• Email

• Search Engines• Mobile Applications• Social Media

Applications• Online Reviews &

Ratings• Blogs• Forums

Make sure you are Rated Correctly

43

Be Trendy

Don’t be afraid of change

44

Why Companies need to Re-Brand?

From inside and out

45

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Questions?

47

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