Revealed: The Brands ‘Most Effective at Winning Hispanic Consumers’

A recent study of over 250 iconic brands identified the top 10 brands for Hispanic consumers.
The analysis, conducted by cultural intelligence firm, Collage Group, examined brand
performance as part of the firm’s monthly CultureRate survey, which assesses cultural
resonance for each major demographic segment.

Based on Collage Group’s proprietary metric – the Brand Cultural Fluency Quotient (B-CFQ) –
the top brands for Hispanic consumers are Walmart, Netflix, McDonald’s, Nike, YouTube, Ross,
Google, Visa, Amazon, and Dove. These brands, according to Collage Group, showcase both
strong commitment to the Hispanic community as well as excellence in marketing executions
that authentically resonate with the cultural traits and needs of Hispanic consumers.

 

 

The CultureRate database is the largest of its kind available, growing annually by over 200,000
responses or 30 million unique datapoints. Brand leaders apply the findings from
CultureRate:Ad and CultureRate:Brand to build cultural fluency, the capability to drive total
market growth from inclusive, diverse-led marketing.
“We use a measurement we call the Brand-Cultural Fluency Quotient and by this standard, the
10 brands proved to be well ahead of all others in terms of appealing to America’s Hispanic

segment,” said David Evans, Chief Insights Officer for Collage Group. “And three of the brands
don’t appear in the top 10 for other segments, showing how each segment is distinct.”
The B-CFQ reflects brand performance across six dimensions: Fit; Relevance, Memories (of
positive past experiences), Values, Trust, and Advocacy (which is the willingness to spread
positive word-of-mouth).

With regard to Hispanic consumers, all 10 top brands excelled on Fit and Relevance. Fit
measures whether the brand offers a personally desirable product, and Relevance pertains to
whether the brand connects with a consumer’s group identity. Moreover, each of the top 10
brands also scored particularly well on one to two additional B-CFQ dimensions.
“Brands win by taking the lead in the areas of Fit and Relevance,” explained Xue Bai, Director of
Brand and Ad Health Measurement. “But the true winners go one step further by
differentiating in one or more other areas.

“Furthermore, they truly excel at creating positive past experiences for consumers, earning
their deep trust, or driving positive word-of-mouth,” she added. “Each of the 10 brands have
done just that within the Hispanic community.”

After building their core on Fit and Relevance, Bai suggests that brands choose to focus on one
or more of the additional dimensions to build a winning marketing strategy.
Building Relevance requires upholding and activating Warmth and Rootedness – key traits
among Hispanic consumers. Brands should also acknowledge and celebrate Hispanic patriotic
pride, and be mindful to connect with the Hispanic sense of destiny and their Optimism.
Brand case studies show that winners are able to align brand positioning with the cultural traits
of Hispanic consumers. When brands take this approach, shoppers reward them by supporting
or purchasing their product.

Engaging with Hispanic communities and groups at all levels shows a commitment to Values
and builds Trust.

An example of this is seen in Nike’s support of national Hispanic organizations, as the company
engaged through connections to specific Hispanic communities in key areas when it partnered
with U.S. Sports Camps. The collaboration spurred daylong opportunities for Los Angeles area
kids to experience baseball.

Brands also succeed when they effectively build Memories and Fit. This entails that a given
brand tie their brand value proposition to important Hispanic values of hospitality and
intergenerational respect. Further, they should leverage brand strengths that best meet the
fluid needs of time starved bicultural families. This means also enticing the Hispanic traits of
Resilience and Adventurous mindset.

To that point, McDonald’s chose to honor a trailblazing Latino international icon with their “J
Balvin special combo meal.” By placing this item on the menu and recognizing this Latino artist,
McDonald’s taps into the exceptional and adventurous Hispanic pallet and mindset.

“In order to build brand loyalty – whether it be with Hispanic shoppers or another segment –
brands must go beyond promoting superficial insights,” said Evans. “It’s imperative brands do
the research to determine ‘the why’ – how their values and brand positioning actually connects
with Hispanic cultural values.”

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