At the Advertising Research Foundation’s (ARF) 2011 annual re:think convention, a key issues forum presentation was held entitled Marketing to the Multicultural Consumer. Gonzalo Perez, Owner and Principal of Motivo Insights, LLC & Betsy Frank, Chief Research & Insights Officer of Time Inc. presented. Concepts of cultural relevancy and identity were discussed. One of the findings included how the Latino/Hispanic population, identify more with culture than language.

2. Marketing to the
Multicultural Consumer
New Insights on Culture,
Context and Brands
Gonzalo Perez Betsy Frank
Owner and Principal Chief Research &
Motivo Insights, LLC Insights Officer
Time Inc.

3. Background: That Was Then…
• 2008: “The Multicultural Media Consumer:
What Divides, What Transcends, and What Does
it Mean to Us?”

4. Background: This Is Now
• 2008: “The Multicultural Media Consumer:
What Divides, What Transcends, and What Does
it Mean to Us?”
• Current recovery in US economy, including the
advertising economy
• 2010 Census will validate the size and growing
influence of multicultural consumers

5. Today’s Agenda
• Background
• Key Findings
• Methodology
• Behind the Key Findings
• Conclusions and Implications

6. The Three Big Insights
#1 – In-culture advertising works to increase the
relevance and effectiveness of the messaging

7. The Three Big Insights
#1 – In-culture advertising works to increase the
relevance and effectiveness of the messaging
#2 – Multicultural Consumers don’t just want
“reflection;” they want to go “beyond the mirror.”

8. The Three Big Insights
#1 – In-culture advertising works to increase the
relevance and effectiveness of the messaging
#2 – Multicultural Consumers don’t just want
“reflection;” they want to go “beyond the mirror.”
#3 – The mainstream media may define Latinos
based on language, but Latinos define
themselves based on culture

9. Cultural Identity is Contextual
• Multicultural consumers are defying
traditional marketing definitions
• Instead, they are exhibiting a
contextual cultural identity that
allows them to express different
aspects of their lifestyle, culture and
interests depending on where they
are and who they are with
• Marketers must recognize that they
need to evolve their approach to
account for this dynamic and
fluid identity

10. The Framework for Learning
• Five categories were selected:
– Beauty
– Household Products
– Fashion/Retail
– Auto
– Insurance
• One representative advertiser selected for each category
• Criteria for selection: Used both in-culture (AA and Latino)
and General Market executions, across three media
platforms: TV, magazines, web
• The challenge of finding marketers who fit those criteria
was a key insight in itself!
• Our research partners: IPSOS OTX and Motivo Insights

11. Methodology
Qualitative: 3 Key Insights Tools
Discovery Sessions Blog Assignment Video Diaries
• Conducted in NYC, • Moderated blog session • Used flip cams to
Chicago, Houston and • Exposed to GM and document effective or
Los Angeles in-culture creative ineffective in-culture ads
• African American, • Live interactive dialogue • Interviewed themselves
Hispanic and Non-Hisp with their opinions of ads
White • 12 total participants
• 12 total participants
• 18 total groups

12. Methodology
Quantitative: Immersive and Customized
Who What How
• N=2,850 Media Users Media Reel Ad Campaign • Online & In-person
– Non-Hisp White: n=500
Evaluation intercept to web
– AA=850 • GM Ads in GM or • Surveys offered in
– Hispanic*: n=1500 in-culture media English and Spanish
• Acculturated: n=500 • In-culture ads in GM for Hispanics
• Bicultural: n=500 or in-culture media
• Unacculturated: n=500 – 40 different executions
• National Census – 800 media locations
Campaign PRINT ADS
representation by embedded in consumer-
age/gender & region controlled virtual magazines
Campaign TV ADS
embedded in
TV program segment
Campaign WEB ADS
embedded in
mirrored web sites
*Acculturation based on language usage & media consumption levels to English and Spanish media

13. #1 In-culture Advertising Works
What We Learned
• Multicultural consumers don’t mind, and, in fact,
expect to be “targeted”, since it implies recognition
of their uniqueness and economic power
• In-culture advertising drives purchase
consideration and message relevance
• While general criteria for a “good ad” are
comparable across groups, multicultural consumers
also need personal relevance to make ads more
appealing to them

14. #1 In-culture Advertising Works
In-culture content enhances the relevance of in-culture creative
messaging and creates an environment in which multicultural
consumers expect and look for targeted messaging
49%ABC
More interested in 36% A 38% A
product after exposure to
in-culture advertising in 24%
in-culture content
(Top 2 box agreement)
NHWhite AA/Black Hispanic Hispanic
English Spanish
A B C D
Base: n=850 African American, n=1500 Hispanic & n=500 Non-Hispanic White Media Users
(Q6_s1) How does the advertising campaign affect your interest in ?

15. #1 In-culture Advertising Works
While all groups agree that advertising needs to “be good” to
appeal to them, Hispanics and AA also find importance in
cultural elements that Non-Hispanic Whites do not
Someone my own age
Top seven things that make
Mix of different ethnicities/races
advertising appealing NH White,
Elements identified with my culture
AA & Hispanic (i.e. visuals, music)
Someone of my own gender
Be funny AC
51%
Be informative A
43%
Be of good, high quality C
32%
A
30% 30%
27%
Show benefits, features of product 24% AC
21%
23%
20%
15% 15%
Be exciting
Be colorful
A B C
Include music NonHisp White AA/Black Hispanic
Base: n=850 African American, n=1500 Hispanic & n=500 Non-Hispanic White Media Users
(Q11) what types of different things advertisers can include in their advertising messages that will make them more
appealing to you

16. #1 In-culture Advertising Works
In-culture ads in GM media have a role to play and can further
enhance a marketer’s message with consumers…
Among AA/Black
When I see an ad aimed at African American/Black
on/in non-African America/Black TV, magazines, radio
or websites it stands out and makes me feel that the
company advertising values me as a consumer
Among Hispanic/Latinos
When I see an ad aimed at Hispanic/Latino on/in
non-Hispanic/Latino TV, magazines, radio or websites
it stands out and makes me feel that the company
advertising values me as a consumer
Base: n=850 African American & n=1500 Hispanic Media Users
(Q12_s1) How strongly do you agree with each of the following statements as they relate to advertising?

17. #2 Multicultural Consumers Want to Go
“Beyond the Mirror”
What We Learned
• It’s more than just visually “representing” them in advertising;
marketers need to tell genuine, respectful and aspirational stories
• Both Hispanic and African Americans like to be targeted as ethnic
consumers …. as long as it is done respectfully and for a product they
will use
“I do like when they “I think it is important to be
target us because it shows recognized as a group that needs to
they value our dollar just as be marketed to, so yes I do like it.”
much as another person of a
different race.”
Paul, African American Lauren, Hispanic

18. #2 Multicultural Consumers Want to Go
“Beyond the Mirror”
Multicultural consumers want ads to reflect not
just what, but who they are…
African American Hispanic
Ad is more engaging when I see myself or elements
of my culture in reflected the ad
50%
49%
When I see myself or elements of my culture
reflected in an ad, I am more likely to consider
purchasing the product
50%
53%
Base: n=850 African American & n=1500 Hispanic Media Users
(Q12_s1) How strongly do you agree with each of the following statements as they relate to advertising?

19. Base: n=850 African American & n=1500 Hispanic Media Users
(Q12_s1) How strongly do you agree with each of the following statements as they relate to advertising?

20. #2 Multicultural Consumers Want to Go
“Beyond the Mirror”
The multicultural consumer’s definition of “cultural cues”
includes family-focused elements that carry more weight
than for the Non-Hispanic White consumer
Appeal of Multiple Generations Depicted Appeal of Family Depicted
in Advertising in Advertising
NonHisp White (A) AA/Black (B) Hispanic (C)
A A A A
51% 53% 50% 51%
33% 34%
When I see and ad that show multiple family When I see an ad that shows a family and children,
generations I am more likely to pay attention I am more likely to pay attention to the ad
to the ad and consider using/buying the product. and consider using/buying that product.
Base: n=850 African American, n=1500 Hispanic & n=500 Non-Hispanic White Media Users
(Q12_s1) How strongly do you agree with each of the following statements as they relate to advertising?

21. #2 Multicultural Consumers Want to Go
“Beyond the Mirror”
Among AA/Black
Ads targeted to AA/Black consumers should only
have AA/Blacks in them
Ads that reflect different ethnicities are more
likely to connect with AA/Black consumers
Among Hispanic/Latinos
Ads targeted to Hispanic/Latino consumers should
only have Hispanics/Latino in them
Ads that reflect different ethnicities are more likely
to connect with Hispanic/Latino consumers
(Q12_s1) How strongly do you agree with each of the following statements as they relate to advertising?

22. #3 Latinos Define Themselves Based on
Culture, Not Language
• Hispanics embrace their bicultural reality as an
advantage
– As a driving force in the “New Mainstream,” Hispanics
across acculturation levels are increasingly likely to
define themselves as bicultural, and being bicultural
is a source of pride
• It isn’t just about language. Although language
does offer an immediate “cue” that something is
“for me,” values, traditions, collectivism, and
spirituality are just as important

23. #3 Latinos Define Themselves Based on
Culture, Not Language
Acculturated and bicultural Hispanic’s language preference
does not drive their cultural self-identification
American First/Only Equally Hispanic & American Hispanic First/Only
English Dominant 39% 38% 23%
English/Spanish Equally 9% 53% 39%
Spanish Dominant 6% 23% 72%
Base: n=1500 Hispanic Media Users
(DEM8) What language do you personally prefer to speak?
(DEM9) Which of the following best describes you?

24. #3 Latinos Define Themselves Based on
Culture, Not Language
Ads targeted to Hispanic/Latino consumers
should only be in Spanish
Unacculturated
(C)
43%
Bicultural AB
(B)
32%
Acculturated A
(A)
13%
(Q12_s1) How strongly do you agree with each of the following statements as they relate to advertising?

25. Cultural Relevance Hierarchy
There are key elements marketers need to keep in mind in
order to connect with Hispanic and African American
consumers, with product relevance being the most basic
point of engagement
Product relevance and usage
Context, Cultural Representation (Imagery)
Deeper
Level of
Engagement
Cultural Representation (Values)
Cultural Representation (Values) + Lifestyle

26. Conclusions and Implications
• In-culture ads are no longer “nice to haves”
• Cultural identity is contextual
• In-culture ads do not alienate Non-Hispanic Whites
• Using in-culture ads in mainstream content signals
acceptance broader than their own communities

27. Conclusions and Implications (cont’d)
• Use brands and advertising to dispel negative
perceptions, rather than reinforce them
• Social Media is a greater imperative for
multicultural efforts
• Reflect the “new mainstream” and use diverse,
not monochromatic, talent

28. Thank You!
Questions?