The 2010 census reports Hispanics are the largest minority group in most of the metropolitan areas in the United States. It is projected that Hispanics will make up 30.2% of the nation’s population by July 1, 2050.
Consequently, Forbes has found that Hispanics in the U.S. have an astounding $1.7 trillion in purchasing power, which is only set to rise in coming years. Given the huge amount of purchasing power the Hispanic market has, companies must strive to understand this large ethnic minority group.
The following facts about Hispanic purchasing power may surprise you:
- The Marketing Insider has found that Hispanics in the U.S. have $1.7 trillion in purchasing power ― this is larger than the GDP of Canada, Russia, Spain, or Australia.
- According to the Truman Center, Latinos tend to be more optimistic than other demographic groups when it comes to their financial outlook. As a result, Hispanics end up spending more on costly brand-name items than other consumer groups.
- Forbes reports that only less than a third of Latinos who currently reside in the U.S. were born outside of the United States. This statistic proves that the number of Hispanics who are not born in the U.S. is currently declining. Therefore, brands should be aware of the fact that the rise in the Hispanic population in the United States will lead to a greater purchasing power within this demographic.
Overall, Hispanic purchasing power is significantly huge. Hispanics contribute immensely to the U.S. economy as they make up for a large percentage of the overall spending in the nation. Companies can’t let these facts go unnoticed.
If you are interested in learning more about marketing to a multicultural audience, contact us today. We offer marketing consulting, social media management and branding services.