Hispanic millennials which as of 2017 figures are 57 million strong, and represent 18 % of the population, Latinos represent one of the fastest growing minority groups with an expected purchasing power of 1.8 trillion by 2021.
And although these figures are astounding, it is quite baffling how Hispanics as a market segment are still so undeserved with the total market approach applied to their marketing plan.
The total market approach tries to set a large net and see how many people it can reach while minimizing cost and maximizing profit. It has been proven that this structure does not work with the Hispanic market because this group does not like to be sold to but will demonstrate brand loyalty if the brand caters to their cultural identity and identifies their needs.
For example, among millennials as a whole and Hispanic millennials included corporate responsibility or cause marketing rates very high on the list of priorities at work and as shoppers.
Their employment decisions and shopping habits are centered on how much the company they work for or the products they sell are in some way “giving back” to a cause.
Corporations also know this and as part of their incentive to lure millennials to their business are establishing a platform for corporate responsibility. They realize that it is good for business as well.
The incentive to buy a product or be employed by a company increases when the company is associated with corporate social responsibility.
The Renewal Project which studied studied thoroughly a group of 3,000 millennial respondents (all ethnicity and races) about their activism and the causes they support, The Latino group which totaled 19% of the total, mentioned immigration as the number one cause and civil rights and discrimination second.
So, how do you reach these millennial Hispanics? By partnering with companies that practice social responsibility.
- As I see it, I find that every generation has the young, idealistic perspective of wanting to change the course and improve the world around them. Millennials are not different; what differs is that they are connected and for that matter highly connected to their smartphones able to research, disseminate news, make purchases button, and writing reviews on company forums.
- Their dependence on social media is especially true among Hispanic millennials where they can and do make decisions based on what they read online. They research and their purchases are highly influenced by what the read online, so it is not surprising that they are the biggest consumes of cause marketing far more than any other group.
- On the other hand, Hispanic donors give more to “charitable” causes such as the church and to families back home in the form of remittances and culturally speaking they do not see donations to family or church as charitable, they see it as are responsibility towards community and family.
- Given that not much money has been given to the institutions to advance their communities, they see these donations as a “giving back” to its community. Partly the reason, why in the study mentioned above, immigration and education were the primary interests in social responsibility.
What motivates Hispanics to give and support Corporate Social Responsibility?
- Many contributions are made with the desire to give back to the Latino community.
- Including religious organizations and family, their interest are education and youth.
- Donors give back to advance opportunities for Latinos and strengthen the American society.
Examples of Corporate Responsibility
- Univison Foundation