Home Shopping Latino Inc. (HSPG:PK) to Target One of the World’s Largest Markets
Culturally relevant marketing plans will become increasingly critical as the population becomes more diverse and the buying power of U.S. Latinos becomes more significant.
Research shows that while Hispanics (“Latinos”) respond to every type of media, most Latinos believe that television-based ads and marketing are the most effective. When asked about advertising effectiveness, 38% of Latinos surveyed found English language ads less effective than Spanish ads in terms of memory and 70% less effective than Spanish ads in terms of persuasion.
Latino spending power has reached $700 billion and is expected to top $1 billion by 2010. In fact, the latest U.S. Census Bureau figures estimate the total Latino population in the United States at 42.7 million, making them the largest minority group in the United States. Perhaps no other statistic displays the loyalty and size of the Latino market than the fact that Univision has now become the 5th largest television network in the United States behind ABC, NBC, CBS and FOX.
For marketers, reaching the largest minority market in the United States presents some unique challenges. For example, the single most important piece of data for any marketing company when marketing to Latinos maybe the consumer’s country of origin. The U.S. Latino market is comprised of subcultures from over 20 countries in Central and South America, the Caribbean and Spain, with the majority (63%) of Mexican heritage. In order to effectively market to the Latino community, marketers can’t simply blueprint a marketing manual for the Latino community and expect it to work. In order to affectively market and sell to the Latino community, advertisers must understand the culture and beliefs of that consumer’s country of origin. Our challenge has been to find the company that truly understands this unique challenge.
Home Shopping Latino Inc. (“HSL) (HSPG:PK) is developing a QVC-style television network aimed at selling products that tend to sell well on home-based shopping channels. HSL will begin marketing VIVA Telecompras, its television channel, to consumers in North America, Central America and South America although the main focus initially will be Latino customers in the United States.
VIVA Telecompras and its parent company Home Shopping Latino Television Network are niche networks that plan on selling gemstones and jewelry, vitamins, beauty care products, household items, computers, and other items comparable to those offered on HSN and QVC for the English-speaking audiences.
The company’s goal for the U.S. Latino market is to penetrate the top 25 Latino TV household markets. Between the two tiers of the U.S. Latino television markets, Home Shopping Latino plans to have the ability to reach more than 85 percent of the total U.S. Latino TV households. Another part of the strategy will be to get airtime at a number of low-power television stations (LPTV) in a number of key markets.
Home Shopping Latino Inc. has a unique business plan to address one of the world’s largest markets. With little inventory risk, the company may offer just one of the best ways for any investor to capitalize on one of the fastest growing consumer bases in the world.
Notice:
1800blogger.com, Inc. has been compensated 6000 common shares of Home Shopping Latino Inc. to publicize the Home Shopping Latino Inc. (HSPG:PK) story to investors. Please read the rest of our disclaimer which could be found by clicking on the link (disclaimer) at the top of any page on this blog.
