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We talked to Terry Sell, national truck manager at Toyota Motor North America, about Toyota’s recent soccer campaign featuring Jorge Campos.  Toyota is one of the top 10 spenders in broadcast TV advertising, with $157 million spent in 2017. Through the campaign “Choose the Toughest Field”, the car company has managed to reach out to three audiences: Hispanics, soccer fans, and car lovers. Here’s what Sell had to say.

Toyota Campaign
Photo via Toyota.

Portada: Tell us what the “Choose the Toughest Field” soccer campaign is about.

Terry Sell: “The ‘Choose the Toughest Field’ soccer campaign is the 2019 soccer platform for Toyota. It builds powerful connections between the sport of soccer, players, fans, and trucks. The campaign was inspired by some of the more traditional playing conditions in Latin America. We considered that soccer is often played in dirt fields rather than nicely groomed grass. Those tough fields are where players exhibit their true potential, just like our trucks. The campaign’s commercials capture the toughness of the Tacoma and Tundra trucks as they take on tough terrains in a rough, non-traditional environment, thus their connection to the sport.”

To learn about another automotive brand that is reaching out to U.S. Hispanics, read  How to Market to Hispanic Consumers According to Kia’s Senior Director of Multicultural Marketing.

P: Who is the target of the campaign?

TS: “Toyota has long recognized Hispanic guests as a linchpin of its success. Hispanic vehicle registrations account for over 20% of overall registrations, making the Hispanic market a significant portion of Toyota’s overall success. In fact, Toyota has been the number one automotive brand among Hispanics for 14 consecutive years.”

Hispanic vehicle registrations account for over 20% of overall registrations.

P: On which platforms will it appear?

TS: “The campaign broadcast elements were timed for the 2019 Concacaf Gold Cup. But it will continue through March 2020 on other soccer media properties that we sponsor such as the UEFA Champions League, the U.S., and Mexican National Teams and Liga MX.”

P: Why did you choose retired Mexican goalkeeper Jorge Campos as your spokesperson?

TS: “We are delighted to partner with Mr. Campos. He is the embodiment of someone who has taken on the toughest terrains throughout his life and career as a legendary soccer player. His personal story, very much in sync with the attributes of the vehicles, resonates incredibly well with fans.”

Mr. Campos is the embodiment of someone who has taken on the toughest terrains throughout his life and career as a legendary soccer player.

P: How will you measure the success of the campaign?

TS: “Our goal is to drive consideration for Toyota trucks by increasing model association within their competitive set, and elevate ad awareness, vibrancy, opinion, consideration, and imagery. On the ground, through our interactive footprint at events, we are looking at engagement levels that funnel into sales leads.”

Photo via Toyota.

P: What other activities will you do around the campaign, off-screen?

TS: “The campaign has a diverse and robust digital and social component, including videos and rich mobile display ads and banners. For our social channels, we teamed up with Jorge Campos to develop a series of soccer technique videos. These showcase his great foot skills to engage guests in the sport.

Off-screen, we’re bringing the campaign to life through an interactive soccer footprint. It was present throughout the Gold Cup games and will be present during our sponsorship of Tour Aguila with our Club America partners in July. Also, it will appear at the Toyota Copita Alianza youth tournaments that continue through September.”

Off-screen, we’re bringing the campaign to life through an interactive soccer footprint.

P: Does this campaign appeal to any other market apart from Hispanics?

TS: “Soccer is part of the Hispanic culture. It is part of their life and brings generations together to enjoy the game. In fact, we know that Hispanics over-index when it comes to viewership in the U.S. With that in mind, our campaign fully focuses on this important target market for our brand.”

This is not the first time Toyota uses a Mexican celebrity to reach the Hispanic audience. Check out the campaign with movie star Diego Luna.

P: What challenges do you face with this campaign and how will you overcome them?

TS: “As soccer continues to gain popularity in the U.S., we have seen more brands getting into this space. Toyota has supported the sport and engaged with its fans for more than a decade so we’re appreciative of the brand loyalty we’ve received from fans and owners over the years. We’ll continue to engage with fans by developing creative campaigns that leverage partners, properties and celebrity talent that truly speak to the fans and to the essence of the game.”

As soccer continues to gain popularity in the U.S., we have seen more brands getting into this space.

P: What else are you working on?

TS: “As I mentioned, our campaign ambassador, Jorge Campos, engaged with us on a series of videos showcasing soccer techniques. In August, Jorge Campos hosted a soccer clinic at one of the Toyota Copita Alianza youth tournaments. We’ll also recognize a stellar student-athlete with a scholarship for their outstanding accomplishments in the classroom and on the field as part of our partnership with Alianza de Futbol.”

 

The Mexican LigaMX can be a much better soccer marketing vehicle to engage U.S. Hispanics than the MLS, Nick Kelly, Head of U.S. Sports Marketing at Anheuser -Busch, said during last week’s  Portada New York.

Kelly, a member of Portada’s Sports Marketing Board, said that his company partners with the LigaMX particularly for soccer activations in the Southwestern U.S. which has a very large Hispanic population. In particular, he mentioned Texas, Arizona and Nevada as well as cities like Houston, Dallas and, surprisingly Nashville. “All our world cup campaigns were about the Mexican National Team” (not the U.S. National Team), he told Portada’s Janet Grynberg during the keynote interview at Portada New York in the Westin Times Square last Thursday.

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Chicharito Soccer Activation

Mexican soccer player Javier Hernandez (“Chicharrito”) has also been sponsored by Anheuser-Busch In-Bev brands. “The Chicharrito sponsorship worked very well and showed lift in the markets that mattered most”.”We don’t need brand awareness lift, what we have seen is retail lift in markets such as San Antonio and El Paso,” Kelly noted. “We activate 100% retail”, he added..

Anheuser Busch also activates jersey sponsorships of LigaMX teams through Corona (which is a Grupo Modelo brand; Grupo Modelo was acquired by Anheuser Busch InBev in 2012). LigaMX Club America recently switched its jersey sponsorship from Corona to Bud Light.

One of our objectives is to find out how to activate on a hyperlocal level.
Nick Kelly (right) at the Portada Sports Marketing Board meeting (on his left, Jose Antonio Ortega,(Prisa Brand Solutions), Manny Gonzalez, (Moët Hennessy USA) and Eugene Santos (Kia).

Asked by an audience member at Portada New York whether it makes sense to bring a LigaMX team to play in the U.S, Kelly said that while this type of soccer activation would be popular in the region the match is played, beer wholesalers in other regions would not necessarily like it.
However, Bud Light recently gave soccer fans in Las Vegas a chance to virtually experience a game 1,500 miles away with immersive technology. The four “Seats of Glory” were featured at Beerhaus, a beer hall on the Las Vegas Strip, for a Liga MX playoff match between Club América and Cruz Azul. Every fan over age 21 who visited the bar was able to watch part of the game in VR.

Anheuser-Busch InBev brands spent US$ 591 million advertising to the U.S consumer in 2017, according to Kantar Media.

What: Digo Hispanic Media and NGL Collective have announced an exclusive partnership. NGL’s Studio division will create custom content that will be anchored on Digo’s network of publishers and culturally relevant sites.
Why it matters: The combination of NGL Studio’s full-scale production services specialized in U.S. Hispanics and multicultural millennials and Digo’s culturally relevant premium publisher network, is tailor-made to deliver against the firms’ growing demand for content with distribution at scale.

Digo Hispanic Media and NGL Collective are companies with a lot in common. Both were born from the need to cater to the needs of U.S. Hispanics. While NGL Collective, co-founded by David Chitel and Ben Leff, focuses on media and entertainment for the “New Generation Latinos”, Digo was born from the need to address the specific subsegment of U.S. Hispanics whose roots are in Puerto Rico, Cuba or the Dominican Republic.

The leaders of these two companies have over half-a-century of experience in the field between them, and now they have officially joined forces. Augusto Romano, founder and CEO of Digo Hispanic Media, and NGL Collective’s co-founder and Chief Operating Officer, Ben Leff, will lead a strategic partnership of their firms. Together, they will leverage Digo’s audience and NGL’s production services in order to reach U.S. Hispanic audiences through the right channels and messages.

NGL’s Studio division will produce custom content, which will then be distributed and amplified via the NGL Media and NGL Social platforms, and anchored on Digo’s culturally relevant sites and social channels.

“We are super excited to have found the perfect match for Digo’s audience engagement and content strategy. With NGL, we will not only be able to continue offering our audience high-quality content, but we will also be able to offer very relevant, familiar and even nostalgic content to our U.S. Hispanic audience. Even though our audience lives in the U.S., they deeply connect to the different publisher sites in our network. There’s a strong need to know what’s going on in their countries of origin, and what’s impacting their friends and family back home. Our audience also loves to share stories of success of other Hispanic men and women just like them with their friends and family here in the U.S.,” said Romano.

The combination of NGL Studio’s full-scale production services specialized in U.S. Hispanics and multicultural millennials and Digo’s premium publisher network, is tailor-made to deliver against the firms’ growing demand for content with distribution at scale.

“It’s great to be partnering with Augusto and his team to extend NGL Studios’ best in class production capabilities to their clients looking to engage Digo’s audience with premium content,” said Leff.

“Digo’s unique publisher base, especially amongst Hispanic audiences from the Caribbean, represents a great complement to NGL’s existing massive video distribution platform,” adds Javier Chanfreau, President of NGL Publishing.

“This is perfect for brands that want to connect with a true premium U.S. Hispanic audience in a brand safe environment. Our Hispanic composition is the highest in the market at 93%. Brands will have access to sponsor these content series via our sales team and we will insert them in the storytelling to ensure their brand and products are showcased in a relevant and engaging manner,” said Aisha Burgos, SVP of Sales & Marketing for Digo Hispanic Media.

 

What: H Code has announced it has signed an exclusive partnership with the largest media conglomerate in Perú, Grupo El Comercio. We talked to Pablo Rivera, VP of Publisher Development at H Code, about the strategy behind this deal and what’s next for H Code.
Why it matters: This exclusive partnership is one of many signed by H Code in 2019. In order to create authentic connections, H Code reaches out to potential media partners in order to fulfill the needs of the Hispanic market.

The Most Recent Partnership

H Code has announced it has signed an exclusive partnership with the largest media conglomerate in Perú, Grupo El Comercio. Once upon a time El Comercio was a daily newspaper. It’s the second oldest Spanish-language newspaper in Latin America. Now, Grupo El Comercio offers H Code the great opportunity to monetize U.S. traffic across its multiple sites:  Depor, Diario Correo, El Bocón, El Comercio, Gestion, Mujer y Pandora, Ojo, Perú, Perú21, Publimetro, and Trome.

“For the past 180 years, El Comercio has been a top source for national and global news for the people of Perú, and now through the group’s 11 digital sites, for those of Peruvian or other Hispanic origin or descent living in the United States. To be able to partner with such a prestigious organization allows H Code to access the most reliable digital properties and connect U.S. Hispanics with top brands through high-quality content,” said Parker Morse, CEO and Founder of H Code, in a press release.

Working exclusively with leading media companies across Latin America allows H Code to utilize large, engaged U.S. Hispanic audiences and maximize campaigns for brand partners. This exclusive partnership is one of many signed by H Code in 2019, including deals with Radio Mitre, AmericaTV, and Artear

We reached out to Pablo Rivera, VP of Publisher Development at H Code, in order to find out more about the strategy behind these partnerships.

A Friend of H Code’s

 

Portada: How is H Code’s year going so far? What results have you seen from the deals you’ve closed already?

P.R.: We just celebrated our fourth year anniversary and our growth has been incredible to say the least. We started originally with 4 members and have now grown to 50+ employees across our offices in Santa Monica, San Francisco, Chicago, New York, and San Salvador. Part of our success has been thanks to our incredible relationships with 375+ publisher properties that resonate with the U.S. Hispanic audience and allow us to reach, target, and influence this powerful consumer market.

 

Portada: What does it take to become an H Code partner? What do you look for in the media companies you sign deals with?

Pablo Rivera

Pablo Rivera: Creating authentic connections between publishers, advertisers, and U.S. Hispanics is imperative to H Code. In order to be able to do so, we reach out to potential media partners we know align with the needs of the U.S. Hispanic market. Our audience of 32 million Hispanic users come to our sites to consume content in their native language because they wish to stay connected with their culture and countries of origin while living in the United States.

When we search for our publishers, we consider the leading digital properties across Latin America, Spain, and the United States that we know Hispanics use most and look into their total reach in the U.S. We also examine the performance of each ad format, encouraging publishers to place their ad spaces in a very visible location on their sites.

 

 

Our goal is to partner with every digital publisher from North America, Central America, South America, and Spain that publishes content in Spanish.

 

Approaching Peruvian Culture

 

Portada: Why did you decide to sign with El Comercio? Why Peru?

P.R.: Grupo El Comercio is known throughout Latin America. It’s premier site, for which the corporation is named, is the leading newspaper in Perú. We are proud to partner which such a respected publisher. H Code understands the diversity that exists within the U.S. Hispanic population, which is composed of groups from many countries of origin. Hispanics of Peruvian origin or descent are one such group, and it is important to us that we represent and become familiar with the nuances of their audience segment. Along with El Comercio, we have also closed exclusive partnerships with major newspapers from other LATAM countries like Mexico, Argentina, El Salvador, and others. As we continue to grow our goal is to partner with every digital publisher from North America, Central America, South America, and Spain that publishes content in Spanish.

 

Similarities vs. Differences

 

Portada: What sets Peruvians apart from Peruvian Americans, or from the rest of U.S. Hispanics? 

P.R.: U.S. Hispanics—whether foreign-born or U.S. born—are ambicultural, because they expertly navigate between Hispanic culture and American culture. Peruvian culture is unique to that country and, in this instance, can be defined as a subculture that exists as a part of the larger Hispanic culture. There are many similarities between Peruvians living in Peru and those of Peruvian origin or descent that live in the United States. Both groups, for example, share cultural passion points like food, family, Peruvian traditions, and more.

Relatively speaking, there are also significant differences, which is what we hope to address with our exclusive partnership with Grupo El Comercio. Due to the different brands that operate in Peru and those that operate in the United States, Grupo El Comercio will be able to deliver the right message from the right brands to the intended Hispanic audience via H Code.

 

Next Stop: Why Not the Whole Region?

 

Portada: What are H Code’s plans for the near future? What other markets are you looking to connect more with?

P.R.: In conclusion, we hope to continue to educate brands and publishers on the power behind a diverse audience. Especially the impact and influence of Hispanics in the United States. We continuously strive to maintain and grow our relationships with media partners in every Latin American country. Thus we ensure we reach every segment of U.S. Hispanics.

 

 

What: For years, large chains have targeted Hispanics by adding a special aisle with select items from their home countries. These days, this approach can be a bit outdated. Here are some Hispanic grocery shopping insights, as diversity and globalization demand a more integrated approach.
Why it matters: Marketers are well aware that Hispanics are a huge consuming force that will only grow in time. It’s important to come up with ways to really cater to the community’s needs.

 

The Hispanic Cooking Rites

Us Latinos love our food. We love preparing it, we love planning it, we love buying fresh ingredients. Cooking and sharing is the ultimate family-bonding experience. Homemade meals are the first thing we miss when we’re away. We make them anywhere to feel at home. All these cultural traits not only make us great cooks, but also great produce and grocery shoppers. According to The State of the Plate, a 2015 Study on America’s Consumption of Fruits & Vegetables published by the Produce for Better Health Foundation, Hispanic grocery shoppers rank highest in produce consumption amongst 3 other ethnic groups (White/Non-Hispanics, Asians, and Black/Non-Hispanics).

There’s something all food marketers in the U.S. need to understand in order to cater to their Hispanic customers: From the moment the menu for a Hispanic table is conceived, every step of its preparation matters. Supermarkets appealing to the target can assert everything they must do to satisfy an ever-growing consumer base by being aware of the particularly ritualistic nature of Hispanic kitchens. Latinos love hand picking their food, buying enough ingredients to last for several meals, and trying out new ingredients on a permanent effort to enrich and expand their gastronomic experiences. But there’s one problem. Even though marketers are well aware that Hispanics are a consuming force, some have chosen to label and separate Hispanic (and generally ethnic) foods and products. This segregation rings counterintuitive and obsolete.

Finding the Balance Between Diversity and Globalization

Hispanics are widely diverse as a group. Every single Hispanic country has different ancestral dishes that require specific ingredients for their preparation. In addition, Millennials have been exposed to the culinary options of a globalized economy. This surely has an affect on traditional menus, even if Latino families have a specific and deep-rooted meal preparation routine.

Nearly six in ten Hispanics are Millennials or younger, according to Pew Research Center’s 2014 report, The Nations Latino Population is Defined by its Youth. 40% of American Millennials are multicultural, and more than half of this group are Latinos. As a global society would have it, we want to be able to make corn flour tortillas, but we want them filled with swiss cheese. According to The Why? Behind the Buy, a study conducted by Acosta Marketing and Univision in 2015, 57% of Hispanic Millennial Shoppers ages 25-34 say they often try new flavors/products.

 For years, the larger chains have catered to the Hispanic consumer (primarily) by adding an ‘Hispanic’ or ‘International’ aisle and placing select merchandise from Latin America. […] It is unclear if this format is successful.

Nothing more American than… Pizza?

As we have said before in other articles, foods that used to be foreign at some point, like pizza, sushi, and tacos, are such a big part of a global food culture that no one hardly ever questions their place in American households. These days, being able to find a wide variety of products from around the world is expected. In some cases it’s a given, because we live in a connected world in which boundaries are more blurry each day. As Rishad Tobaccowala, Chief Growth Officer at Publicis Groupe, said to Portada in a recent interview, “An idea that is not aligned with the unstoppable trends of diversity and globalization is doomed from the start.”

How to Include a Niche

For a minority seeking inclusion, all manifestations of inclusion are welcome. Supermarkets could start by dropping the label “Hispanic groceries” to call them just groceries. Yet, many supermarkets have tried to cater to the Hispanic audience by adding “exclusive” sections with the products Latino audiences may find at home. “For years, the larger chains have catered to the Hispanic consumer (primarily) by adding an ‘Hispanic’ or ‘International’ aisle and placing select merchandise from Latin America […] Some of the largest, such as HEB in Texas, developed their Mi Tienda (My Store) format which is located in a high dense Hispanic neighborhood. A larger store than a neighborhood store. It is unclear if this format is successful” says Randy Stockdale, director of Solex Marketing Solutions.

Problem is, inclusive as this effort may appear at first glance, Latinos already comprise 17% of the total American population. Inserting a Hispanic section surrounded by aisles of  “non-Hispanic” products might end up falling short for this ever-growing segment. “I don’t subscribe to a Hispanic aisle”, says Stockdale. “I would rather see the stores, particularly the larger chains, place like-items together and provide a greater convenience. Have you ever found Goya Olives in the general Olives section? Likely not.” Think of it this way: limiting their space is also limiting their consumption to one tiny section of an entire store.

Frozen Hispanic

In July 2017, a tweet got viral because one man saw the mockery potential of a supermarket freezer labeled “Frozen Hispanic.” He decided to pose as just that… a frozen Hispanic. The tweet got 152,278 retweets of people that didn’t see the need to separate frozen tamales from frozen chicken wings. Supermarkets would greatly profit from including Hispanic products without differentiation. It’s been proven that Hispanic consumers are generally willing to try new, different things.

An Emotional Connection

Brands like Jarritos spark the joy of feeling represented and identified while being abroad. Many people immediately purchase products that make them feel homesick when they’re abroad. This speaks of the great importance of having a supermarket experience that appeals not only to your needs, but to your emotions, comfort zone, and memories of home.

And just like it would at home the store needs to feel just like any other supermarket with staple sections. In Canadian supermarkets, for example, diversity is tangible all around. A variety of multicultural shoppers experience all kinds of international foods available to everyone. Anyone can add tzatziki, udon noodles, and jasmine-infused rice pudding to their shopping basket.

Just as the world’s boundaries are thinner, the gaps between demographic segments are narrower. We want to connect to our heritage, but we don’t want to feel isolated by it. We all want to feel human. So, if including a separate Hispanic grocery section on the supermarket is no longer a viable option, what is? How to attract Hispanics and make them feel welcome and included while strongly driving purchase intention? The answer lies in the power of emotions.

What Should Supermarkets Do, Then?

 In short? “Enhance their joy of shopping”, conclude Acosta and Univision on The Why? Behind the Buy. Perhaps general retailers could learn a thing or two from Hispanic grocery concept supermarkets like Northgate González Markets. The chain not only features an in-store tortillería, carnicería, and cocina, but that also offers children cooking classes and a gift certificate upon completing six lessons.

Or Fiesta Mart in Texas, offering a variety of fresh, organic, locally sourced produce with a side of social community programs to educate children and help feed the hungry. “I would not say [larger chains] are not doing a good job,” says Randy Stockdale. “They are trying at least. But, I would state that the larger chains should provide a friendlier-Hispanic atmosphere and improved merchandise. I am a strong proponent of bilingual in-store signage where the store is high-Hispanic density”. Therefore, the wisest move is to be inclusive and open-minded in both directions.

Both Fiesta Mart and Northgate Gonzalez are on the other side of the spectrum. Just as there are Hispanic aisles, there are entire stores that focus on the Hispanic community. But this doesn’t mean the general market should not come. There’s no reason to separate minorities, communities are not separate anymore. Everyone is welcome because everyone is from everywhere. No man is an aisle.

 

Digo Hispanic Media has opened an office in midtown New York to service its growing base of New York area based agency and brand direct clients. Digital Sales & Programmatic Specialist Stefan Garcia will be working out of the NYC office, which is led by Augusto Romano, CEO and Aisha Burgos, SVP.

Digo Hispanic Media has opened an office in midtown New York to service its growing base of New York area-based agency and brand direct clients.

Digo Hispanic MediaDigital Sales & Programmatic Specialist Stefan Garcia will be working out of the NYC office, which is led by Augusto Romano, CEO and Aisha Burgos, SVP of Digo Hispanic Media. Digo Hispanic Media was born when two of the largest media companies in the Caribbean, GFR Media from Puerto Rico and Grupo Corripio from the Dominican Republic. Digo exclusively represents premium publisher brand-safe websites, of which it owns and operates the majority.

According to the Comscore June 2019 report, Digo has the largest percentage of Hispanics (93%) as part of their audience compared to its competitors. Digo’s websites also exceed their competitors when comparing their audience engagement with an average of 4.7 minutes per visit, providing advertisers a more premium, pure and engaged U.S. Hispanic audience to connect with.

 

What: Toyota has launched a campaign centered around young Latinos to promote its new Corolla sedan.
Why it matters: One-third of Toyota’s Corolla buyers are Hispanic, and the company expects this number to grow by targeting young Latino’s via emotional connections and a multi-channel strategy.

 

Toyota, one of the brands that are already known for great success among Hispanic consumers, has launched a campaign to promote the new Corolla sedan. Developed by Conill, Toyota’s Hispanic marketing agency, the campaign tries to convey the spirit of the new Latino generation: expressive, straightforward and determined. The commercial, titled “WE” and directed by David Vergés, features the voice of Mexican actor, director, and producer, Diego Luna; as well as a mural by Mexican graphic designer and artist Ricardo Gonzalez.

For some years now, Toyota has put great effort into multicultural marketing, and it’s been known as an example of success in the matter. The new campaign follows this path and draws a comparison between the new Corolla and the most important traits of the young Hispanic generation: as Gonzalez’s mural Mas Loud implies, a generation that will speak up, loud and clear.

For Toyota’s vision of how to reach Hispanic millennials, one only need to listen to Luna’s words: “True. We’ve changed,” he says in Spanish as we see the driver’s sneakers pushing the car’s pedals. “We are a whole new generation. Confident, more expressive, adding our touch everywhere we go.” Portada talked to Samuel De La Garza, Small Car Group, Senior Manager, Toyota Motor, North America, to find out more about the campaign’s conception.

 

Portada: What are the key insights about the Hispanic car buyer behind this campaign?

S.G.: In the campaign, Corolla celebrates young Latinos’ unique points of view, stories, and contribution to culture. Their creativity and ingenuity are bringing freshness to the mainstream. The new Corolla’s more progressive style, connectivity, and power make it an ideal partner for building their own stories, free of labels. Young Latinos are also the most open and curious about hybrid vehicles. Corolla also offers a hybrid engine which gives them the option to choose the Corolla that suits their story best.  And to reach younger Latinos, we use multiple channels combining digital and social, featuring dynamic copy lines and various creative assets.

Portada: What is the growth potential of Toyota in the Hispanic market? Is it larger than in the overall U.S. market?

S.G.: Over 50% of Corolla buyers are multicultural and most importantly, the compact sedan segment is the top volume segment in the Hispanic market. With the new redesigned Corolla and a campaign aimed to connect with young Latinos, we plan on regaining our segment leadership. It’s no secret that the auto industry is seeing a shift in sales from sedans to SUVs and trucks. This shift is happening at a slower pace in the Hispanic market, which makes Latinos a bigger priority for the brand in terms of overall Corolla sales.

 

Portada: How many of the 46 million Toyota Corollas were sold in the U.S? How many of those had Hispanic specific buyers?

S.G.: Currently, one out of three Corollas are sold to Hispanics, and we expect this number to increase.

 

Portada: Has the mural by Ricardo Gonzalez become viral? What social metrics can you share?

S.G.: The intention of the mural and Toyota’s partnership with its creator, graphic artist Ricardo Gonzalez, is to illustrate the bold spirit and cultural pride of Latinos. Hispanic youth resonated with the branded mural driving user-generated content. We have been very pleased with the feedback we have received for the mural in the commercial, located in Los Angeles, as well as murals we created in Las Vegas for the Latin Billboard Music Awards and at our Corolla plant in Blue Springs, Mississippi.

 

Portada: How does Toyota measure brand-lift through campaigns (overall and Hispanic specific)?

S.G.: We measure brand-lift through campaign ad trackers and/or specific brand lift studies via third-party vendors such as Kantar Added Value, Facebook, etc.

 

What: Energy BBDO has published the results of a study conducted to find out the true impact of the new government administration in Hispanics’ shopping and spending habits.
Why it matters: The truth couldn’t be farther from the rumors that started after the new administration: Hispanics are shopping and spending more than ever, and will likely continue to do so.

As soon as the new administration took office, a wave of anti-immigration policies spurred predictions that Hispanics would start spending less. Companies across the country wondered how this would impact them as headlines all over reported that Hispanic communities would stay home more and spend less often. Therefore, Energy BBDO decided to conduct a study to go beyond those headlines in order to find out exactly how the administration change impacted Hispanics’ minds and shopping habits during the last year.

Energy BBDO conducted more than 1000 surveys of documented and undocumented Hispanics, as well as of non-Hispanics for comparison. The quantitative research was supplemented by in-depth focus groups in Chicago and Los Angeles, and the work was supported by data from Kantar, Univision, and Pew Research.

The main takeaways from the study, explained below, proved the exact opposite of what the headlines foretold: not only did Hispanics not slow their shopping or spending, 49% of survey respondents reported shopping more often than the previous year.

 

Even Undocumented Hispanics Are Spending More

According to the study, even though headlines predicted Hispanics would spend less after the change of administration, 49% of documented respondents reported shopping more often than the previous year, while 56% of their undocumented counterparts, who could feel more threatened by the new administration, responded the same way. And since shopping is necessarily linked to spending, the increase goes hand in hand. 60% of Hispanics claim they are spending more than the previous year, just as 68% of undocumented Hispanics, vs 45% of non-Hispanics. The reason for this could be, quite simply, that “life goes on and family needs remain, no matter the political climate.”

Hispanics Aren’t Shopping Less; They’re Shopping Different

According to survey respondents, there has been a shift in the retail channels Hispanics go to. For example, outlets such as mainstream grocery and convenience stores have seen slowdowns, while preferences have shifted towards a more value-centric experience. Therefore, Hispanics have been spending more at mass merchandisers, club retailers, and dollar stores, as well as Hispanic-owned stores or community bodegas. As the study suggests, “This change in behavior seems to be the sole data point that suggests a shift generated by the current socio-political atmosphere, as Hispanics may be consciously staying within their communities for everyday purchases.”

The Real Shift Has Taken Place in Hispanics’ Attitude

U.S. Hispanics are known, among other things, for their optimism. A group that has expressed a positive mindset in spite of hard circumstances is suddenly doubting its place in the new America. Energy BBDO’s research has revealed that 50% of Hispanics have more doubts about their place versus a year ago, and 70% report an increase in prejudice displays since the last election. To quote the study, “Hispanics do not feel free to be themselves, at least not out in the open. They feel pressure to limit expressing their cultural heritage and identity. This, in turn, is causing them to find comfort in what’s familiar and welcoming within their communities.”

Conclusions

Now is the time to consider a more direct and custom approach that reaches out directly to the Hispanic community with empathy and recognition. […] Also, look for ways to show an authentic and long-term commitment, not an opportunistic one-off.

Based on the projected growth of the Hispanic population, and seeing that they’re younger than other demographics, it is likely that they will continue to increase their spending and shopping. However, they tend to prefer value-centric shopping trips as well as community-owned stores. Moreover, even though Hispanics will not stop spending, there is a lot brands can do to make up for the feelings of loneliness and not-belonging caused by the increased prejudice climate. Energy BBDO recommends that brands 1) stay true to their values, 2) celebrate inclusiveness, and 3) show empathy. “Now is the time to consider a more direct and custom approach that reaches out directly to the Hispanic community with empathy and recognition. […] Also, look for ways to show an authentic and long-term commitment, not an opportunistic one-off. Trying to fit something into Hispanic Heritage Month probably won’t have the desired effect.”

[All images by Energy BBDO]

What: Adsmovil offers technology and data for the mobile advertisement business with operations in the U.S., Brazil, Mexico, Colombia, and Argentina.
Why it matters: The company’s focus on the U.S. Hispanic market enables its clients to reach more than 90 million monthly mobile users.

Digital marketers looking to reach U.S. Hispanics should talk to Adsmovil. That’s the clear implication of comScore’s March report, which shows that Adsmovil, the leader in digital advertising for Hispanic audiences, reaches 48% of U.S. Hispanics.

Adsmovil has built a network of more than 400 premium English and Spanish-Language publishers in the U.S. Adsmovil is also fully compatible with Integral Ad Science, DoubleVerify, Grapeshot, MOAT, and Nielsen.

What makes Adsmovil Number 1 on comScore? 

  • It starts with high-quality publishers. Adsmovil works with elite publishers from the top Hispanic sub-demographics.
  • Adsmovil’s publisher base is diverse. Adsmovil is able to scale large campaigns across different high-quality verticals.
  • Adsmovil uses advanced technology to keep brands safe. Partnerships with Integral Ad Science, DoubleVerify, MOAT, and others ensure maximum security.
  • In addition to that technology, Adsmovil assigns a dedicated account team to ensure that all publishers offer high-quality inventory onlyBrands know that their content will not appear on sites that lack credibility.

“Adsmovil customizes its first-party Hispanic audiences based entirely on their mobile behavior,” said Adsmovil Chief Revenue Officer Andrew Polsky. “Depending on the type and frequency of content they consume, audiences will see relevant ads for entertainment, sports, food, travel, and more. We identify Hispanics via Spanish-language settings on their phone, the apps they’ve installed on their devices — e.g., Telemundo, Hulu, SlimTV, Semana, Western Union or Univision — and keyword searches in Spanish and English. We also use location to determine if a user frequents Latin restaurants or grocery stores and/or attends a soccer match. We then serve the appropriate ads to the appropriate people.”

 

What: Nestle’s Multicultural Shopper and Marketing Strategist Margie Bravo tells Portada her insights on how to reach the Hispanic market and do it right.
Why It Matters: Too many brands are failing to recognize Hispanic consumers are a significant percentage of their future growth. Margie Bravo shares best practices for the multicultural world, how many brands are misusing data, how to reach the Hispanic market, and the danger of cultural messaging be driven by assumptions.

 

The Largest CPG Brand in the World

Over half of the United States’s population growth can already be attributed to Hispanic Americans. This demographic is increasingly diverse in their language preferences and expressions of Latin culture. As they become the largest ethnic minority in the United States, they are carving out a new place for themselves in American culture. But brands are still scrambling to find a way to respond to these shifting social groups.

Nestle is widely recognized as the largest CPG brand in the world. They recorded $90 billion in revenue and $8.6 billion in profit for the trailing twelve months that ended on April 7, 2017. The United States is Nestle’s largest market, bringing in $27.4 billion in sales across all brands in 2016. But if Nestle and other similar CPG heavyweights are to stay on top, they will have to stay at the vanguard of multicultural marketing, particularly Hispanic.

Margie Bravo, the food and drink giant’s Multicultural Marketing Manager, is a Mexican-American mother of three bicultural children. From her position, she tries to reach the Hispanic market from the perspective of both a consumer and a marketer.

 

When Researching How to Reach the Hispanic Market, Assumptions Are Dangerous (But All Too Common)

According to Bravo, one of the most prevalent mistakes that marketers make is assuming anything about particular demographics. Failing to back up conclusions about Hispanic consumers with real data also happens often. “I think to win with multicultural marketing you need to be curious and open-minded,” Bravo explains. “Many times, when we work for a specific brand at Nestle, we think we know everything about it. We tend to answer the consumers’ questions from our perspective, thinking they are just like us.”

She pointed to Nestle’s Tollhouse cookie brand. During the holidays, Nestlé has to remember that while acculturated Hispanic-American children like to leave cookies for Santa Claus, campaigns should not assume that these children’s parents have grown up with the same tradition.

Language use among Hispanics is also varied. While Hispanic Americans are disproportionately young and tend to speak English as well as Spanish, their language preferences are not clear-cut. When discussing sentimental topics like family, love, tradition, Spanish may be preferred. However, English may be spoken at school or among groups of young friends.

 

Handle Data With Care

Bravo insisted that assumptions are still keeping marketers from connecting with Hispanics. This is a mistake, since the demographic will be key to driving brands’ growth in the United States. She pointed to a persistent lie that Hispanics don’t purchase Premium Brands. In reality, the demographic actually contributes some of the most valuable consumers for Haagen-Dazs, Nestle’s Super Premium ice-cream.

The process we follow at Nestle is to first start with business analytics, in order to identify where our sales are coming from, and then to immediately look at contributors to growth.

For all the fuss that brands are making about multicultural marketing, it appears that they need to learn to walk the walk, not just talk the talk. This means they need to invest in understanding what drives different consumer behavior within the Hispanic demographic. Brands are still figuring out how to read and make use of their data. This is part of the problem.

Even the world’s largest brands are struggling to make data analytics work in their favor. According to Bravo, too few marketers are giving growth — as opposed to current sales — the attention it deserves. “The process we follow at Nestle is to first start with business analytics, in order to identify where our sales are coming from. Then, to immediately look at contributors to growth.” Bravo said.

The American Consumers of Tomorrow Are Largely Hispanic

Marketers are still learning how to use data to dig into deeper levels of consumer trends and demographic patterns. As a result, it’s surprisingly easy to ignore the obvious, and become stuck on who is buying the products now instead of who is likely to be buying them in the future. (Spoiler alert: it’s Hispanics).

The Hispanic market accounts for around 24% of Millennial consumers. At their age, they are still in the “acquisition stage,” when they are forming their first long-term relationships with brands. If brands only pay attention to their current customers, they may find themselves ignoring a very different population and paying a large price for it in a few years.

Also by Portada: Multicultural Marketing: How to Use Seamlessly in Total Market Campaigns

Use Data to Understand Their Importance

Brands that do pay attention will see that there are significant opportunities to approach the Hispanic market. One way is by connecting and creating long-term relationships with consumers in the demographic. “They also have larger households with multigenerational family members. They’re having more kids, which opens consumption for a great number of categories,” Bravo added. But not enough brands are taking even this much into account.

“I think sometimes brands don’t ask how much Multicultural consumers are already contributing to sales in their category,” Bravo lamented. The world’s most innovative brands need to invest in training analysts to go deeper with data. They must use their information to identify variables and reveal the motivations of diverse Hispanic consumers.

When brands don’t understand where their growth is coming from in terms of the different Multicultural groups, it is very difficult to be able to defend budgets.

What’s more, brands that don’t understand data will have a hard time defending Multicultural budgets. “When brands don’t understand where their growth is coming from in terms of the different Multicultural groups, it’s very difficult to defend budgets,” Bravo said.

Multicultural Masters Will Have Significant ‘Foundational Research’

Bravo asserted that in order to reach the Hispanic market, brands are going to have to lead a special effort. They need to educate themselves and do “foundational research” so that they can truly “speak the language of culture, not just the language.” This means creating degree programs dedicated to the field and encouraging exploration of new methods and metrics that assign values to complex and evolving consumer behavior.

“Brands just need to understand that growth is the name of the game.”

Presented By NGL Media

A comprehensive roadmap to discovering U.S. Hispanic programmatic video provided by leading Latino video marketing solutions company, NGL Media. Catch NGL Media‘s CEO & Founder, David Chitel, who spoke last week at Portada’s 11th Annual Multicultural Marketing & Media Conference.

The digital video landscape provides amazing opportunities for advertisers to connect with U.S. Hispanics across paid, owned and earned media. Be it branded entertainment, social influencer campaigns, managed media buys or programmatic, the choices are many.

According to the latest IAB Ad Spend Study, 69% of digital video ad spending — or nearly US$6 billion dollars — will be allocated programmatically this year alone. U.S. Hispanic programmatic video spending has been growing in tandem.

Yet navigating the Hispanic online space can be challenging, given that the publisher landscape is extremely fragmented by different cultural identities and countries of origin. Programmatic is a particularly useful strategy to reach the U.S. Latino market at scale by facilitating access to this fragmented audience across many outlets simultaneously.

As a premiere supplier of U.S. Hispanic programmatic video, NGL Media has been blazing a trail in the space with an offering of 300+ premium publisher partners. For those who are ready to jump into the U.S. Hispanic programmatic world, we’re happy to share some best practices.

1. Understand Open Marketplace vs. Private Marketplace vs. Programmatic Direct

All programmatic is bought via DSPs and the majority through trading desks — essentially buying arms of agencies. Three basic types of programmatic deals currently dominate the field: open marketplace, private marketplace and programmatic direct.

The open marketplace is a virtual auction. Using software, buyers place bids on billions of ad impressions made available on the ad exchange. For buyers and sellers, the process can feel chaotic. For brands seeking a more premium and transparent environment, however, private marketplaces have proven to be even more attractive.

A private market place (PMP) offers a more controlled environment. The difference between open marketplace and PMPs? With the latter, the buyer sets up a direct connection to a seller’s inventory. The buyer knows exactly what inventory they’re getting, which provides a greater level of quality assurance. The seller and buyer agree on key performance indices (KPIs) and targeting specs, working together to optimize for performance and scale. A PMP brings full transparency to buyers, greater publisher control, and more premium inventory at scale.

Programmatic direct agreements are automated buys that leverage programmatic platforms, but more closely resemble a managed buy albeit with certain guarantees arranged in advance. Negotiations may include premium inventory at a set price for a guaranteed set of impressions. It’s like calling a car rental company and reserving a specific make and model rather than asking for a “mid-sized auto.”

As more and more clients jump into the programmatic space, the prevailing trend is for brands to lock up inventory in the private, rather than open marketplace. This helps assure inventory demands will be met. Demand for programmatic direct deals is also growing for this same reason.

Programmatic is a particularly useful strategy to reach the U.S. Latino market at scale by facilitating access to this fragmented audience across many outlets simultaneously.

2. Choose Your SSP or DSP Partners Wisely

Supply-side platforms (SSPs) automate the SALE of advertising by using software. Demand-side platforms (DSPs) automate the BUYING of advertising by using software.

What’s the difference? Publishers and their reps use SSPs to try to maximize pricing and provide access to buyers that might otherwise not buy their properties as a standalone but will as part of a larger programmatic buy.

Brands, agencies and their representatives use DSPs to purchase the best quality inventory at the best possible price. However, perhaps even more crucial is the search for critical mass and optimization across a broad list of sites. The other important piece — perhaps the biggest in the eyes of many marketers — is that DSPs and programmatic allow you to overlay targeting data through the DSP.

Whether you’re looking for a DSP or SSP, the process can be overwhelming. The market is inundated with options. Make sure you look for a supply side platform that’s well-connected. The wider the range of associations to inventory outlets, the wider the potential ad inventory.

Other important considerations include technical support offered and the ability to optimize campaigns for frequency caps, budgets and creative. Transparency about how the DSP or SSP makes its money is another item to be mindful of.

Finally, data is the name of the game here. Look for vendors who have access to reputable data management platforms (DMPs) and allow buyers to leverage first- or third-party data sources.

3. Avoid Data-Overlay Over-Targeting

The holy grail of marketing is to find the perfect message to deliver during points along the consumer decision journey. The use of data now allows marketers to pinpoint by specific demographics, activities and interests.

Scale can be hard to find in the U.S. Hispanic marketplace, especially if you’re looking for high-quality inventory. During the planning stage, coordinate with your SSP or publisher partner to determine the viability of an upcoming campaign and to see how much data targeting will prove useful. When setting up a PMP, be sure to include in your request for proposal (RFP) a question about how much data overlay the SSP or publisher can offer while still providing the necessary scale you seek.

Remember: Each layer of data targeting filters out more consumers. Too many layers will hinder your ability to reach desired impression goals. When targeting the Hispanic market, many clients want to add multiple layers of Hispanic user data. Some even want to target by browsers set to Spanish language. Doing so can be problematic, given already limited U.S Latino online video inventory. By finding a supply partner that has already aggregated premium Hispanic specific inventory (such as NGL Media), you have the flexibility to remove overly restrictive data targeting.

4. Hold Your Supply Chain Accountable

Huge brands like P&G and Unilever are leading the charge against digital pain points. Issues like brand safety, bot fraud/invalid traffic and performance errors have filled the trade headlines as of late. Every part of the supply chain must be held accountable: from exchanges to media companies to ad tech partners.

As you’re exploring new business relationships, be sure to address the following with your supply partners:

Invalid Traffic (IVT) and other forms of fraud: Some estimates say 20-25% of all digital expenditures goes towards fraudulent inventory, or more than $15 billion. The Media Rating Council defines two types of non-human traffic. “General IVT” is relatively simple to detect, while “Sophisticated IVT” is much harder, given that it “originates from hijacked devices, malware or misappropriated content.”

Keep in mind that some bot traffic is legit. Google runs legitimate bots across the Internet to obtain information. Most agree that some level of IVT is to be expected given all of the converging technologies that often don’t perfectly line up. Moreover, advertisers seeking 0% is less practical in today’s evolving digital environment.

Use third-party vendors to measure IVT, such as MOAT, Integral Ad Science (IAS), DoubleVerify (DV) and White Ops.

Viewability: Standards vary by company, agency and even campaign. The Internet Advertising Bureau (IAB) defines viewability as 50% of the video must be in view for two seconds or longer.

Others have set the bar higher, requiring 100 percent of pixels be in view with the sound on for half the duration of the video. Native and outstream video in some cases are allowed to play with or without the sound, and be auto-played or user-initiated.

Talk about this metric and make sure every partner in the supply-chain is clear about the client’s expectations. Define how viewability will be measured. Will it be with a third-party vendor like DV or MOAT? How will the metric be reported back to the programmatic platform?

Measurement technologies are not perfect, so if you’re requesting guarantees against viewability performance, expect to pay a higher cost per thousand (CPM).

Brand Safety: It’s always been important for clients to know their advertising is supporting content free of hate, pornography, strong language, gratuitous violence, etc.

Use a brand safety technology like IAS or DV to avoid non-safe brand sites, but also strive for transparency with your supply partner. Strike a balance.

Technology might flag an article about parenting on a premium site that mentions “breast feeding” because of the word “breast,” causing that site to be listed as inappropriate and thus blocked. Watch the blocked list, and then use common sense to determine if publishers were blocked for good reason — or because of the limitations of the technology.

Financial transparency: Clients should be able to see where their dollars are going and how well the campaign is going. Programmatic trade can help increase transparency for every impression.

5. People Still Matter

Find a partner with the resources, experience and drive to continuously update its technology. Like every area in the modern world, the pace of change is brutal. Just to keep pace with the competition, companies must innovate. Make sure you choose a partner that understands and anticipates market changes. At NGL Media, we’ve heavily invested in our proprietary video technology stack, which allows us to be nimble and agile in an ever-changing digital market.

A programmatic deal should be a true partnership between buyer and seller, especially when running PMPs. It’s easy to set up the software and let the machines run on autopilot, only interacting with the technology platforms, rather than other humans. But communication between buyer and seller is key to making sure the systems work smoothly and the campaign achieves the desired scale. People often make all the difference between a successful and an unsuccessful programmatic video advertising campaign.

Join us at PORTADA Mexico!

What: Stephanie Borges, VP for North America Strategic Marketing & Partnerships at Six Flags Theme Parks, shared insights on how the park deals with marketing to Hispanic consumers.
Why it matters: Six Flags Theme Parks is trying to expand by targeting U.S. Hispanics. It is also growing in the Latin American market.

 

Six Flags Reinforces Its Marketing to Hispanic Consumers

Portada: Why did you decide to reinforce your marketing strategy towards U.S. Hispanics at this particular moment?

SB: The Hispanic market has always been important to us. With its growth, we have put a dedicated focus on creating unique and innovative platforms in partnership with other brands that want do Hispanic marketing.

Portada: What have you discovered in these consumers that makes them great clients?

SB: Our research shows that Hispanics are very family-focused and want opportunities to spend quality time together.

Portada: How are you approaching U.S. Hispanics?

Six Flags Marketing to Hispanic ConsumersSB: As a brand, we purchase Spanish-language media in markets across the U.S. We constantly monitor media consumption and the growth of SL audience delivery. Each year, we have increased our SL media investments. From a partner perspective, we have built a variety of in-park Hispanic focused programs. Through “Festival Latino,” “Cinco De Mayo,” “Día Del Muerto” and “Fiesta Fin De Verano,” brands and guests interact in a relevant way. As an example, Ortega was a “Cinco De Mayo” partner, utilizing Six Flags’s in-park assets, and conducted an on-pack in market retail program. Additionally, Six Flags host concerts with some of the hottest and up-and-coming Latino artists.

Also by Portada: Multicultural Marketing: How to Use Seamlessly in Total Market Campaigns

Differences Between Hispanics and General Market

Portada: What differences have you found in how you do marketing to Hispanic consumers compared to your strategy for targeting the general American market?

SB: From a marketing perspective, we recognize the importance of family. We understand how it connects the Six Flags experience with moments and media we select to reach the Hispanic audience.

Spanish-language TV provides programming that delivers co-viewing, and enhances our opportunity to motivate a family visit to Six Flags.

For example, Spanish-language TV provides programming that delivers co-viewing and enhances our opportunity to motivate a family visit to Six Flags. We will tailor advertising developed in the Spanish-language, but always communicate how Six Flags delivers thrills on a broader level. Our “Go Big” campaign in the general market becomes “A Lo Grande” for the Hispanic market.

Portada: What advertising platforms are you using and which ones have been working best?

SB: Broadcast TV and radio have been our primary mediums for reaching the Spanish-language market. Six Flags buys media on the local level, and these mediums help us reach our local Hispanic markets while tailoring relevant creative for each. Spanish-language TV and radio also offer us the opportunity to bring our brand to life with messages that deliver news, reasons to visit and a sense of urgency.

Growing in Latin America

Portada: You are also growing in Mexico, where you are opening a new water park next year. How important is the Mexican market for you?

SB: The Mexican market is very important for us. Our existing park is the gem in Latin America and we are excited to add a water park in that market that will open in early 2017.

Portada: Are you using similar marketing strategies for reaching out to U.S. Hispanics and Mexicans? Why does it, or doesn’t it, work?

SB: We have found that all cultures across the world understand the language of thrill. At its core, the Six Flags brand is synonymous with delivering thrills for all ages.

We found that staying true to our ‘thrill’ brand heritage while communicating the brand in a manner that is relevant to each culture and tailored to the market and language is the key to success.

As a result, we have found our park in Mexico City to be one of our top-performing parks, and recently announced the addition of a new water park to open in the spring of 2017.

Join us at PORTADA Mexico!

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