Cable penetration stands at 70% nationwide, but according to Strategy Research Corporation only 53.5% of U.S. Hispanic households are cable subscribers. And that percentage is even smaller among Spanish-dominant Hispanics. Cable networks and cable operators have started using direct mail, alone and in combination with other media, to increase subscriptions in key Hispanic markets, retain existing Hispanic customers and promote group adoption of advanced cable services. Cable companies are also hiring Hispanic advertising agencies to help them better connect with their target audience.
Cox Communications recently hired Cultura to market its new “Paquete Latino” package, a combination of diverse cable networks, HBO Latino and local broadcast channels.
Los Angeles based Castells & Asociados developed a direct mail campaign for Adelphia communications, which won first prize at this year's “Excellence in Multicultural Marketing Awards,” presented by ESPN Deportes, Cable World, NAMIC (National Association of Multi-ethnicity in Communications), and CTAM (Cable & Telecommunica-tions Association for Marketing).
The objective of Adelphia's first ever Hispanic campaign was to increase awareness and subscriptions. Castells' ads, which targeted Hispanic consumers between the ages of 18-49, are based on the classic Mexican movie poster. New direct mail pieces are developed each month with special offers and rates. The results so far have been good to excellent. According to presenters at the Multicultural Marketing Awards, “mailings have gotten increasing response rates of 2.5%, 2.8%, 3.0%, 3.5% and 4%.”
Castells & Asociados also created a Time Warner campaign which won 2nd place in the direct mail category. The campaign, developed for Time Warner's new Hispanic package DIGIPic Básico, was entitled “Wall Art.” It was inspired by the brightly colored murals on the sides of businesses in Latino neighborhoods. The murals function as both signage and artwork for business owners. The campaign, which targeted Hispanics 18-49, also included outdoor advertising, in-house direct mail and ADVO shared mail drops. Radio was launched in June, and a new DM and Advo mailer design are developed each month with special offers and rates. The results have been good. The print pieces drew response rates of 3% for direct mail and 2% for the Advo coop mailer.
Additionally, Cox Arizona used direct mail to target moderately assimilated Hispanics (Highly assimilated Hispanics tend to be reached by general marketing efforts). Cox's direct-mail package (including a bilingual letter), resulted in an 18% jump in “sales-lead call volume” and a 32% increase in connect rates compared to 2003.