More Hispanics Use Mobile for Purchases: Study

U.S. smartphone penetration is approximately 57 percent, but when it comes to making actual purchases via mobile phones, Hispanic shoppers are most active, according to the latest issue of "The Checkout," an ongoing shopper behavior study conducted by The Integer Group and M/A/R/C Research.

The research found that 16 percent of Hispanic shoppers are using their mobile device to make purchases, compared to 12 percent of general market shoppers. "Since mobile and online tools are important to Hispanics, there is opportunity to leverage technology to better engage this audience," said Martin Ferro, senior account planner for Velocidad, a Hispanic promotional, retail and shopper marketing capability of The Integer Group. “It's not just about replicating general market strategies and making them bilingual, it's taking those key elements that Hispanic shoppers seek and incorporating them into the shopper experience.”

Use of private label has grown significantly in recent years as shoppers start to perceive these products as quality alternatives to name brand products. Only 28 percent of Hispanic shoppers (compared to 22 percent of general market shoppers) say they immediately go for name brand items while 68 percent (compared to 60 percent of general market shoppers) find their usual brand but then consider a store brand as an alternative. The study also shows that private label is making it into Hispanics' consideration sets, with 78 percent of all Hispanic shoppers regularly comparing prices between name brands and store brands. Although this is the case, there are some product categories where Hispanics remain very brand loyal, including laundry detergent, health and beauty products, and breakfast cereals.

Additional findings on Hispanic shoppers from "The Checkout":

• Hispanics place greater emphasis on their personal networks, with 40 percent saying recommendations from their friends and family influence their shopping list compared to 29 percent of the general market.
• Hispanic shoppers are more experiential, with 25 percent saying that having an enjoyable shopping experience was most important to them compared to 18 percent of general market shoppers.
• When considering value, 53 percent of Hispanic shoppers say finding the highest quality items is the most important factor compared to 40 percent of the general market. Price is also an important factor, with 45 percent of Hispanics saying this is most important to them compared to 43 percent of general market shoppers.

Data for "The Checkout" comes from a national survey conducted by Integer and M/A/R/C where consumers are asked about their shopping attitudes, shopping behaviors and economic outlook.

The Integer Group is a promotional, retail and shopper marketing agency, and a key member of Omnicom Group Inc.