With an ever-increasing purchasing power and tightly woven community, the US/Hispanic market represents a wealth of opportunity for nonprofits.
Business leaders across the United States have realized the growing importance and potential of Hispanic consumers and their expanding purchasing power, which this year reached an estimated $1.7 trillion. For brands to successfully reach Hispanic consumers they must recognize them, understand who they are, learn where Hispanic audiences spend their time, uncover platforms most frequently visited by them and how they choose to consume content.
Here are a few numbers to put things in perspective:
- Hispanics account for nearly half of U.S. population growth, making up around 18% (roughly 55 million people) of the total U.S. population. They are the second-fastest growing demographic group in the United States today (after Asians).
- The U.S. Census Bureau projects by 2060 the Hispanic population will account for 28.6 percent.
- S. Hispanics, in 2012, accounted for nearly $2.2 billion of total e-commerce purchases made across the United States within the first quarter of that year.
- Two-thirds of US Hispanics live in five states: California (14.4 million), Texas (9.8 million), Florida (4.4 million), New York (3.5 million) and Illinois (2.1 million).
*These numbers are taken from the Pew Hispanic Center and U.S. Census Bureau
Many organizations, while still careful in their approach, are starting to realize if they don’t act quickly, it’s likely they will not have another opportunity to target this expanding demographic. Businesses making a genuine commitment to the Hispanic market are realizing success will come only through backing business models that focus on the Hispanic consumer.
Nonprofits can optimize success by targeting the U.S/Hispanic market.
What does this mean for the nonprofit space? For nonprofits, the emerging U.S/Hispanic market represents a wealth of seemingly untapped potential, as historically, Hispanic donors are generous.
“Despite a range of cultural and country-of-origin backgrounds, there does appear to be a sense of shared identity for many Latinos that can be related to how they see themselves as donors. “The Apparitional Donor: Understanding and Engaging High Net Worth Donors of Color, Urashi Vaid and Ashindi Maxton, p.33, 2017.
Studies conducted inside the last decade have shown an increased willingness within the U.S./Hispanic community to donate to causes impactful to the lives of children. This fact is revealed in the 2015 Diversity in Giving study, an investigation of nonprofit donors. The study also found an increased willingness among the U.S/Hispanic community to give spontaneously to health organizations, religious institutions, and social service organizations, alongside children’s causes. Strangely, the study found the U.S/Hispanic community to be a population of donors least likely to be asked for donations, and as a consequence, least likely to give through traditional means. The studies’ authors did find, however, that Hispanic donors were the most likely to say they would support more causes if they were asked more frequently. These findings highlight the wealth of untapped potential existing within the Hispanic population inside the United States.
While not viewed as philanthropists among the broader American population, research reveals the willingness of the U.S/Hispanic community to show generosity when focused on culturally aligned organizations.
“A significant amount of the giving that occurs in Latino culture takes place within networks of family and friends and is never formally counted or reported. It is giving that does not qualify for the charitable tax deduction. Although it is sometimes described as informal, this giving often provides on a systematic basis for family, extended family, friends, and employees, and is relied upon by recipients much in the same way that others in this country rely on the social safety net.” Ana Gloria Rivas-Vasquez, Nuevos Senderos: Reflections on Hispanics and Philanthropy, 1999, p.116.
Nonprofits interested in raising dollars from the U.S./Hispanic community need to be aware of the unique cultural factors inherent to this population, as informal giving is a deeply rooted aspect of the Latin American social fabric.
Some tips for nonprofits interested in targeting the growing U.S/Hispanic population.
- Understand how culture defines the uniqueness of the Hispanic consumer.
- Leverage an omnichannel and bilingual experience to win the attention (and business) of the Hispanic market.
- Giving among this population is personal in nature. Focus your strategy on developing personal relationships and real connections.
- Eliminate your preconceived ideas about the U.S/Hispanic market and start from scratch.
- Peer beyond demographics and instead, examine the habits of Hispanic donors: how they give compared to general market donors?
“Hispanic donors are least likely to be approached as donors but are more interested than most in learning more about nonprofit causes.” Urashi Vaid and Ashindi Maxton
How can ListenTrust help your nonprofit achieve success in the emerging U.S/Hispanic marketplace?
To run a successful Direct Response campaign, your nonprofit must work with a partner who has optimized infrastructure and staffing for this purpose. DR charitable campaigns have the potential to generate a large volume of calls, often 40,000-50,000 within a handful of days. Your contact center partner must be capable of not only tackling this high call volume; agents must be specially trained to maximize the giving potential of campaign callers. ListenTrust is a pioneer in Direct Response marketing for nonprofits, explicitly targeting the U.S./Hispanic market. Because of our history in the space we understand scripting flow, the right questions to ask at the right time, and our agents are trained to empathize with callers when the situation calls for it. Beyond this, ListenTrust contact center agents share an affinity for these calls, as for them, the U.S./Hispanic market hits close to home. Our agents want to be a part of this process, they believe in the causes our contact center supports and enjoy providing help.
Our experience, culled from over a decade serving the emerging U.S./Hispanic market, as well as our extensive understanding of the needs specific to achievement in marketing for nonprofits, give your nonprofit access to the resources needed for success. If you are a nonprofit ignoring the emerging U.S./Hispanic market, you are missing out. It’s that simple.
It is our goal to help support the mission of nonprofits doing great work. Get in touch to learn how we can help support you.
For more information, contact Tom Sheppard, VP Business Development, at: email@example.com.