AMA Houston presents AMA Houston presents

the Seminar: the Seminar:

Hispanic Hispanic MillennialsMillennials: :

Best Practices to Engage Best Practices to Engage

Houston’s Fastest Houston’s Fastest

Growing DemographicsGrowing Demographics

Multicultural segments are the

fastest growing market in the

US. Primarily driven by

Hispanics

With Hispanic Millennials

already accounting for 41% of

Houston ‘s Total Millennial

Population1, companies in

Houston are paying close

attention to this group

1

AMA Houston organized a

seminar on May 8, 2014 that put

together elite panelists who

addressed how to harness the

purchasing power that these

ethnic groups represent

This presentation addressed the

challenges that Hispanic

Millennials’ purchasing power

brings and provided key best

practices on how to circumvent

them

You will learn:

• The importance of the

Hispanic Millennial Influence

Power

• Key best practices to leverage

the Influence Power to

influence older generations’

purchase decisions

1: Geoscape, 2013-2018 State Hispanic Gen Y Population; American Marketscape DataStream™ 2013 Series

Big Big

opportunity opportunity

but aware of but aware of

33important important

numbersnumbers

1.- Median Income: Nielsen Report: Millennials – Breaking the myth 2014

2.- Live in Multi-gen HH: MTV Tr3 Ipsos – HISPANIC ADULT MILLENNIALS LIVING THE NEXT NORMAL: AGE OF UNCERTAINTY – 2013. 118 index vs NHW

3.- MTV Tr3 Ipsos – HISPANIC ADULT MILLENNIALS LIVING THE NEXT NORMAL: AGE OF UNCERTAINTY - 2013 2

Hispanic Millennial’s generation size and

potential is well discussed and documented in

marketing circles

However, Millennials have been hit hard by

the recession, creating a big dent in their

wealth and income

As marketers, there are 3 important stats we

need to be aware of as a result of this

environment:

• According to Nielsen, Millennials’s median

income is 48K1

• Ipsos identified that more than half (60%) of

Hispanic Millennials live in multi-

generational households2

• Same Ipsos study recognized that 72% of

Hispanic households make purchase

decisions as a family team3

Is it worth Is it worth

investing in investing in

Hispanic Hispanic

MillennialsMillennials??

3

This very last Monday, May 5, Adam R.

Jacobson, from the highly regarded online

publication HispanicAd.com asked this

question in his 2014 Hispanic Market

Overview Special

Is it worthwhile to invest in a target that is

broke?

A target that also, lives with mom and dad and

,moreover, that the older generation considers

smart but lazy

And the answer is, absolutely yes

Let me show you why and how we do it at

Lopez Negrete Communications

It’s not the It’s not the

demographics; demographics;

the battle is in the battle is in

the “Mindset”the “Mindset”

4

The Hispanic Millennials conversation is now

centered around the demographics but the

actual battlefield is the “Mindset” not the

demographics

Addressing the Mindset, we can use the

Millennial Influence Power, the ability of

Millennials to influence older generations in

purchase decisions

Hispanic non-Millennials know that this

generation is:

• More educated

• More connected (in the know)

• Street smart

• Tech savvy

How Millennials and Non-Millennials see the Millennial Generation

(BCG April 2012)

Person who Person who

argues for, argues for,

pleads, or pleads, or

supports a supports a

cause…cause…

AdvocateAdvocatehttp://www.merriamhttp://www.merriam--

webster.com/dictionary/advocatewebster.com/dictionary/advocate

5

If Influence Power is the key, the question is

how to trigger this power

And the answer is: “Create Advocates”. Only

Advocates will support your product or service

in order to influence others

However, when we look at the traditional

consumer purchase path, Advocacy is at the

end of it

Then, Advocacy happens after product

purchase and we know that Hispanic

Millennials do not have that purchase power

So we have to redefine the funnel in order to

trigger this insight

Recruit Recruit

Hispanic Hispanic

MillennialsMillennials and and

convert them convert them

to Advocatesto Advocates

7

In order to make use of Millennial Influence

Power, we rearrange the traditional funnel in

order to effectively create brand Advocates

who influence the purchase of the products

You need to connect with them, relate to their

passion points, gain their trust, know what

moves them and talk in their own terms

How do I How do I

Recruit them?Recruit them?

8

Hispanic Hispanic

MillennialsMillennials

diverge from diverge from

NonNon--Hispanic Hispanic

MillennialsMillennials in in

what moves what moves

themthem

9

Hispanic and Non-Hispanic Millennials share

some commonalities.

However, there are certain specific dial-ups

that marketers can use to relate to them

These dial-ups include:

• Spanish considered an advantage

• Risk-takers by nature

• Still maintain strong ties with their families

• Visual content spread fast through social

media channels

• Technology a helpful tool to be in the know

and connected

Talk in their Talk in their

terms but terms but

keep it real keep it real

and authenticand authentic

10

Hispanic Millennials consider the quality of the

products and the trust for the products/brands

as the two most important drivers of brand

affinity,

Brand must avoid the “marketing/corporate”

talk and converse with Hispanic Millennials in

their own terms. However, it must be

authentic; if not it will fire back

Brand must seed the conversation but it is in

the Millennials’ hands if the conversation

takes off among them

1: Hispanic Millennials Project 2014 Think Now Research, May 2014

Talk in their Talk in their

terms but terms but

keep it real keep it real

and authenticand authentic

11

Hispanic Millennials consider the quality of the

products and the trust for the products/brands

as the two most important drivers of brand

affinity,

Brand must avoid the “marketing/corporate”

talk and converse with Hispanic Millennials in

their own terms. However, it must be

authentic; if not it will fire back

Brand must seed the conversation but it is in

the Millennials’ hands if the conversation

takes off among them

1: Hispanic Millennials Project 2014 Think Now Research, May 2014

Talk in their Talk in their

terms but terms but

keep it real keep it real

and authenticand authentic

12

Lopez Negrete and Dr Pepper engaged the

ubiquitous Latino Pitbull and created a huge

consumer-reaching music content platform

directed to extremely elusive consumer

segment: bi-cultural Hispanic Millennials

(18-34)

The campaign extended into TV spots,

website, social media, promotional tie-in and

even a Premios lo Nuestro appearance

Air dates for the 2011 campaign were March–

December 2011, and March–December 2012.

While the overall CSD category and other

trademarks were in decline, Dr Pepper was

the only one with a positive Hispanic volume

change.

Case study URL:

http://bit.ly/drpeppercasestudy