The Hispanic group has already become a powerful force in the American economy. Within three years, the Latino population will reach $1.5 trillion in buying power, an amount larger than that of many countries. Its economic clout is outstripping that of both majority and minority populations, and will continue to do so.
One of the reasons for their influence is the greater size of Hispanic families, and the resulting larger budgets for food and other essentials. Young Hispanics are earning advanced degrees, which is another reason for their growing disposable income. As young Latinos advance in their particular careers, their buying career will increase proportionately.
More and more vendors in the consumer, financial, transportation and entertainment sectors are waking up to the fact that they need to tailor their campaigns to Hispanic audiences. Mainstream ad campaigns are already featuring an increased percentage of Hispanic actors. Brand loyalty is a trademark of Latino consumers, and many business owners are learning Spanish to make them feel welcome.
The following states contain the largest Hispanic populations, and their brick and mortar businesses will need to increasingly cater to Latinos:
Hispanics are expected to represent one-quarter of the U.S. population by 2050, and Latinos skew younger in the census than the general population. One of the results of this influx of younger citizens will be a mini real estate boom, as this segment settles down to start families.
In the last decade, the number of American businesses helmed by Hispanics has increased almost by half to 2.3 million and in Florida, one-quarter of all companies are Latino owned.
What is behind the entrepreneurial spirit of this ethnic group? They possess a powerful and effective work ethic and a strong desire to succeed in America.
The ever-increasing Hispanic population, whether through immigration or growing families, will play a large part in stimulating the U.S. economy.
Latinos are aware that they are a powerful force in the U.S. economy, with an influence extending beyond business and tourism into politics. How can your business benefit by accepting, appreciating and building relationships with the Hispanic consumer?