By Curtis Tingle, Chief Marketing Officer, Valassis
Published Tuesday, Jul 26, 2016
What We All Know: Hispanics have tremendous buying power. The Selig Center for Economic Growth projects that Hispanic annual buying power will increase to $1.7 trillion in 2020. This conveys the importance of these consumers to retailers and marketers for driving their success and makes Hispanics an essential audience to target, influence, engage and activate.
What We May Not Know: Hispanics not only have substantial buying power, but they are some of the most savvy shoppers and savers in their purchase habits. Influential Hispanic consumers rank high in print and digital coupon usage according to findings from the Coupon Intelligence Study conducted by Ipsos on behalf of Valassis. Overall, 92 percent of Hispanic consumers surveyed use coupons (vs. 90 percent of all consumers).
With data stemming from an in-depth survey focusing on consumer packaged goods purchases of 1,000 participants – 15 percent of whom were Hispanic – a glimpse into their couponing habits illustrates how they utilize print, in-store promotions, mobile and digital savings. Among Hispanic coupon users surveyed, 37 percent increased their use of mobile devices for couponing, compared to 28 percent of all coupon users. Over the past year, 33 percent of this group also increased time spent seeking, clipping, organizing and preparing coupons compared to 24 percent of all coupon users. This is a highly engaged group.
First, let’s look at their “digital” saving habits: This audience ranks high when it comes to visiting websites for coupons and deals. It’s obvious digital is a go-to channel for deals with 75 percent printing coupons from the internet, 73 percent downloading paperless coupons and 67 percent indicating they search for coupons on store websites. Furthermore, 53 percent of Hispanics surveyed said they look to social media sites like Facebook, Twitter and Pinterest to search for deals.
Second, there is a tremendous opportunity to influence Hispanics on-the-go: Mobile can have a massive influence on their purchase decisions – 81 percent of Hispanic consumers surveyed decide where to shop based on where they can use paperless discounts such as those received through mobile devices or those downloaded to store loyalty cards, 67 percent regularly search for discounts on their smartphones while in store and 63 percent make purchases based on mobile notifications received in store. Lastly, mobile influences purchases during the trip; 67 percent of Hispanic consumers surveyed switch brands based on mobile discounts while shopping in-store vs. 50 percent of all consumers.
Third, as with the general population the planning starts at home: When it comes to finding savings before they go to the store, Hispanic shoppers tap multiple sources. In addition to the powerful digital behavior we mentioned above, it is clear print is a key resource for Hispanic consumers as well with 85 percent finding print coupons in the free-standing insert coupon book or in the mail.
They are looking for deals everywhere along their path to purchase. They are planning ahead, influenced where to shop by deals, enticed to switch brands based on a deal and actively seek out added savings while shopping.
With the increasing buying power of Hispanic shoppers, retailers and marketers have a captive audience when it comes to their strong desire to save. By tapping into online and offline data to get to know this audience even better, marketers can drive relevancy to influence where they shop and what they buy.