Lorena Hidalgo, Hispanic Marketing Manager for Wrangler, explained at the Magic-Magia Conference in Las Vegas that she expects the Hispanic market to grow more in absolute dollar terms than the general market. According to industry projections she showed the Hispanic Jeans market is going to grow by $330 million to $903 million. While general market sales are going to grow by $190 million to $2.577 billion.
“Many Hispanics work in jeans” , Hidalgo said and added that particularly less acculturated Hispanics are big jeans consumers.
Hidalgo spoke about two types of Hispanic jeans consumers, the “Potro” (young, ambitious, stylish) and the “Vaquero” (older, more conservative and formal).
Wrangler distributes its jeans in the following ways: Through Wrangler Western Specialty Stores and 650 Hispanic Mom and Pop Stores. The Genuine Wrangler Jeans (Mid Tier Occasional users) and Jeans that are mostly sold to workers are distributed through Mass Merchandising Stores.
Wrangler is planning to do a Hispanic Advertising campaign later this year. Velocidad, a Lakewood, CO, Agency that is a unit of Omnicom’s The Integer Group is advising Wrangler on this venture.
Velocidad intends to do mostly radio advertising in key markets. Wrangler also does Co-op advertising for which it mostly uses print media. Interestingly, in order to incentivize retailers to do Hispanic advertising, Wrangler finances co-ops up to 80 percent (with the retailer only having to pay 20 per cent). For the general market the ratio is 50:50.