Hispanics and radio: A powerful combination
A new report by Nielsen shows that Hispanics accounted for roughly 50 percent of America’s total population growth from 2010 to 2015. Between 2000 and 2015, Hispanics' buying power grew 167 percent, more than twice the rate of growth for non-Hispanics, reaching $1.3 trillion last year.
But more importantly, the study confirms radio’s ability to reach this rapidly-growing and economically vibrant consumer segment.
Among Hispanics ages 18-34, radio ranks ahead of both TV and newspaper in terms of weekly reach. Over the previous seven days, 92 percent of younger Hispanics listened to radio across all formats, which compared to the 82 percent who did any broadcast TV viewing (including websites), 77 percent who watched cable, and 44 percent who read a newspaper (either print or online).
Among Hispanics ages 35-and-older, radio’s weekly reach equaled that of broadcast TV, with each hitting 91 percent during the previous seven days. Cable viewership stood at 79 percent, while newspaper readership trailed at 48 percent for the seven-day period.
In determining weekly media usage for Hispanics in the 18-34 age bracket, radio finished in a virtual tie with social media – 12 hours for radio compared to 12 hours and 1 minute for social media. Radio's weekly total surpassed that of cable TV (9 hours, 52 minutes), internet (9 hours, 24 minutes) and broadcast TV (6 hours, 39 minutes).
Just how important is the Hispanic market to radio and its advertisers? A recent Packaged Facts study revealed that Latino consumers have become the key driver of growth in a wide variety of consumer expenditure categories. For example, between 2012 and 2015 increased spending by Hispanic households represented around 40 percent of the growth in aggregate spending for household equipment such as computers and telephones and 25 percent of the growth in aggregate consumer spending for new cars and trucks. Latino households accounted for double-digit shares of growth in aggregate expenditures for furniture (20 percent), major appliances (18 percent), audio-visual equipment and services (17 percent) and small appliances (16 percent). In addition, between 2005 and 2015, growth in credit card use by Hispanics grew 11 times faster than it did among non-Hispanics.
And one more point to consider: In 2015, Hispanics launched small businesses at 15 times the national rate, according to a report by WalletHub.