The New Hispanic Shopper

THE NEW HISPANIC SHOPPER: HOW THIS AUDIENCE’S PATH TO PURCHASE IS

EVOLVING

APRIL 6TH, 2011

Martin Ferro Senior Planner, Insight & Strategy The Integer Group®

Craig Elston SVP, Insight & Strategy The Integer Group®

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@shopperculture #PMA100

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We are one of the worlds best and fastest growing Promotional, Retail, and Shopper Marketing

agency networks.

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North America Denver Des Moines Dallas New York Chicago Toronto*

*PENDING

Central America Mexico City

South America São Paulo – Ponto | Integer

Asia Tokyo Shanghai Singapore Mumbai

Australia Sydney South Africa

Johannesburg

Middle East Dubai

Hamburg Milan Paris

Helsinki Istanbul Moscow* London*

Europe

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Denver

Dallas

New York

Atlanta

Sacramento

San Diego

Tampa

Edison

Bentonville Orange County

San Jose

Charlotte

Milwaukee

Baton Rouge

D.C.

Phoenix

Chicago

Seattle

Minneapolis

Des Moines

Cincinnati

Kansas City Indianapolis

Los Angeles

Greenville

Full-Service Office

Field Office

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30, 18, 12, 8 ?

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We all form bias

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HISPANIC SHOPPING STEREOTYPE

So we are here to present a picture of Hispanics that adds and doesn’t

subtract, an evolution, one that doesn’t try to simplify but that tries

to be truer to their richness

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(and from a shopper perspective)

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OUR STUDIES

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1,200 per month

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AT-HOME ETHNOGRAPHIES

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THE CHANGING HISPANIC SHOPPER

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1. The value equation is shifting 2. Shopping practices are evolving 3. Shopping loyalties are changing 4. New shopping behaviors adopted 5. Digital shopping is booming 6. Hispanic males adapt to shifting roles

THE SHIFTING VALUE EQUATION

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0%

5%

10%

15%

20%

25%

30%

35%

Spend as little as possibe

Satisfy family expectations

RELATIONSHIP BETWEEN VALUE AND TRIP TYPE

Source: The Integer Group | M/A/R/C Research 2009 Checkout Study

Feb ‘09 Jun ‘09 Sept ‘09 Nov ‘09

0%

5%

10%

15%

20%

25%

30%

35%

Spend as little as possibe

One stop shopping

Satisfy family expectations

RELATIONSHIP BETWEEN VALUE AND TRIP TYPE

Source: The Integer Group | M/A/R/C Research 2009 Checkout Study

Feb ‘09 Jun ‘09 Sept ‘09 Nov ‘09

EVOLVING SHOPPING PRACTICES

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0% 10% 20% 30% 40% 50% 60% 70%

Floor graphics

Packaging

Sampling

On-shelf messaging

Circular

Non-Hispanic

IN-STORE SHOPPING TOOLS

Source: The Integer Group | M/A/R/C Research 2009 Checkout Study

0% 10% 20% 30% 40% 50% 60% 70%

Floor graphics

Packaging

Sampling

On-shelf messaging

Circular

Hispanic Shoppers Non-Hispanic

IN-STORE SHOPPING TOOLS

Source: The Integer Group | M/A/R/C Research 2009 Checkout Study

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CHANGING SHOPPING LOYALTIES

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BUYING PRIVATE LABEL

0% 5% 10% 15% 20% 25% 30% 35% 40% 45%

Buying fewer store brands than last year

Buying same amount store brands as last year

Buying more now ...will switch back to brand name in future

Buying more now ...will continue to buy more in future

Buying more now …will stick with store brand in future

41%

Source: The Integer Group | M/A/R/C Research 2010 Checkout Study

NEW SHOPPING BEHAVIORS

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20%

25%

30%

35%

40%

45%

50%

55%

Coupons from a manufacturer

42%

49%

IN-STORE SHOPPING AIDS

Source: The Integer Group | M/A/R/C Research 2009 - 2010 Checkout Study

20%

25%

30%

35%

40%

45%

50%

55%

Shopper card discount 39%

45%

IN-STORE SHOPPING AIDS

Source: The Integer Group | M/A/R/C Research 2009 - 2010 Checkout Study

20%

25%

30%

35%

40%

45%

Coupons from the store 31%

36%

IN-STORE SHOPPING AIDS

Source: The Integer Group | M/A/R/C Research 2009 - 2010 Checkout Study

BOOM IN DIGITAL SHOPPING

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ONLINE SHOPPING AIDS

0% 10% 20% 30% 40% 50% 60%

Social media (e.g. Facebook, Twitter, etc.)

Real-time chat

Product demonstration videos

Online coupon services (e.g. Groupon)

Real-time price and inventory checking

Non-Hispanic

Source: The Integer Group | M/A/R/C Research February 2011 Checkout Study, N = 1,228

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ONLINE SHOPPING AIDS

0% 10% 20% 30% 40% 50% 60%

Social media (e.g. Facebook, Twitter, etc.)

Real-time chat

Product demonstration videos

Online coupon services (e.g. Groupon)

Real-time price and inventory checking

Hispanic Non-Hispanic

Source: The Integer Group | M/A/R/C Research February 2011 Checkout Study, N = 1,228

SHIFTING ROLES OF HISPANIC MEN

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RELATIONSHIPS WITH RETAILERS BLOSSOMING

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1. The value equation is shifting 2. Shopping practices are evolving 3. Shopping loyalties are changing 4. New shopping behaviors adopted 5. Digital shopping is booming 6. Hispanic males adapt to shifting roles

SO WHAT?

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HISPANIC SHOPPING STEREOTYPE

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CREATING STEREOTYPES IS BAD BUSINESS

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OR WE CAN EMBRACE THEIR COMPLEXITY

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Be engaging, create stronger bonds, build stronger brands, and therefore stronger ROIs

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QUESTIONS? Craig Elston

SVP, Insight & Strategy The Integer Group®

+1.303.393.3474 celston@integer.com

Download or subscribe to The Integer Group’s white papers, presentations and editions of The Checkout at

www.shopperculture.com

Martin Ferro Senior Planner, Insight & Strategy The Integer Group® +1.303.393. martinferro@integer.com

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