Thank you for the opportunity to be with you today. I also want to congratulate you on your outstanding history as an organization in service to its membership. Few organizations throughout the United States can boast a wonderful and prosperous 50-year history with such measurable results while at the same time delivering much needed support services including best practices in land use, design and merchandising.
Equally impressive is your outstanding growth over the years, which interestingly enough, mirrors the growth and presence of our Hispanic community in America.
The states where you maintain your greatest presence are the same as those with our largest Hispanic populations … California, Texas, Florida, New York, Illinois, and Georgia to name a few. Already today, these dynamic Hispanic communities and the International Council of Shopping Centers are partners and share in each other’s growth and productivity when it comes to mutual return on investment.
The Hispanic market is HOT! According to the U.S. Census Bureau there are over 200,000 Hispanics in Wisconsin. Because those seeking citizenship OR those who are not English proficient are reluctant to be counted, experts estimate this number should be tripled.
Realistically, the Wisconsin Hispanic population is somewhere closer to 600,000, and these trends are nationwide.
The Hispanic market is HOT! The Hispanic market is among the fastest-growing demographic segments, making it quite enticing for many marketers and product developers.
Fueled by immigration and population growth, Hispanic buying power will reach $1.2 trillion by 2011 – about six times what it was in 1990 – according to an estimate by the Selig Center for Economic Growth at the University of Georgia in a study released last year.
The Hispanic community will top all minority groups in purchasing power. Companies, developers and investors are taking notice. Advertisers spent more than $3.3 billion to market products to Hispanics in 2005, a nearly 7-percent increase from 2004, according to Hispnaicbusiness.com.
The Hispanic market is HOT! This growth is not lost on major companies in the Wisconsin market. In particular, the spending power of residents within a three-mile radius of South Cesar E. Chavez Drive and West National Avenue on Milwaukee’s south side is estimated at $675.1 million annually on retail purchase alone, according to a study by the University of Wisconsin-Milwaukee Employment & Training Institute.
Furthermore, residents with the 53204 zip code on Milwaukee’s south side spend approximately $91 million each year.
Hispanics hail from more than 20 different nations with countless dialects, different skin colors and varying tastes in food and music. Therefore, the Hispanic market is diverse and has been described as a “culture of many cultures.” However, various segments of the Hispanic market share beliefs and behaviors that can be leveraged to create communication and product offerings that resonate with Hispanic consumers.
A quick cultural overview – as a starting point to understanding the Hispanic marketplace, it is useful to have a few basic facts.
• Hispanic households tend to be larger and younger than non-Hispanic.
• Hispanic households are more likely to have multi-generational and non-related family living together.
• 53 percent have children in the home which is 66 percent higher than the general population.
Beyond their demographics, research shows that the Hispanic community shares at least three broad cultural characteristics which marketers should be aware.
1. Focus on family and home – They often shop as a family and make purchasing decisions collectively.
2. Hold traditional values – Hispanics embrace cultural traditions, embrace their local community. For many particularly older Hispanics, conservative and family-oriented marketing resonates well.
3. Are media friendly – They read local newspapers, listen to radio, rely on magazines. They are also quite receptive to TV advertising and tend to remember ads when shopping.
It is necessary, therefore, to establish new public/private partnerships to attract new businesses, jobs and increased investment. In the process, you will find a re-invigoration and renaissance of our urban communities.
There is most definitely a ripple effect when forces are joined – tomorrow is shaped and communities are transformed!
The Hispanic market in Wisconsin is growing at a phenomenal rate and Hispanic businesses both new and established are doing their best to keep pace. Although this growth is a boom to the local economy, emerging high-growth Hispanic businesses in Milwaukee are in need of an ever-increasing level of services in order to reach their full potential.
This is where the Hispanic Chamber of Commerce of Wisconsin plays an important role. Business is the business of the HCCW. Since starting the journey in 1972, the foundation of the HCCW has been its contributions to the development and progress of Hispanic-owned businesses.
One need not look far to set their sights on the contributions of Hispanics in Milwaukee’s metropolitan area. We see successful business enterprises, celebrated restaurants, impressive art galleries, exciting performing arts and effective community based organizations. Fueled by determination, dedication and discipline, Hispanics are building stronger communities and promoting upward mobility.
In fact, in today’s global economy, Hispanics are no longer just employees and consumers … we are employers and investors who are woven into every fiber of this great and prosperous new American economy, which includes its great successes and it’s significant challenges, including the unfortunate impact related to what is now happening in the mortgage finance arena and the overall financial services sector.
In this ever changing, knowledge-based economy, Hispanic businesses are now part of almost every industry in Wisconsin. Hispanics build wealth, participate in our nation’s political, legislative and regulatory processes – We live out the American Dream!
Most exciting in our community is what is happening in terms of new business start-ups and that of our Latinas that today lead the charge nationwide by a margin of well over 3-to-1. The deeply rooted entrepreneurial spirit is inherently part of our rich Hispanic culture and is second to none.
In Wisconsin, over 3,000 Hispanic owned businesses generate more than $800 million in annual sales. In Milwaukee, over 850 Hispanic-owned businesses generate more than $225 million in annual sales. It is abundantly clear that the immigration of Hispanics to Southeastern Wisconsin is tied to a large degree to the available resources that Hispanics have in the area.
Hispanic enterprise represents a growing number of Wisconsin’s small businesses and this translates into jobs within the Hispanic community where human capital is in abundance.
The high rate of growth in both the size and number of Hispanic businesses is in great part attributable to the high growth in the Hispanic population. In fact, 45 percent of all Hispanic population in Wisconsin reside in the City of Milwaukee, according to the most recent U.S. Census Bureau.
Even more exciting is the fact that we as Hispanics represent a culture that prefers the spice, life, and energy of the person-to-person interaction as opposed to the dry, faceless transactions over the Internet. In fact, we prefer the in-store destination shopping experience over the non-personal transaction approach of other alternatives.
This market characteristic translates to even greater growth opportunities of the International Council and its shopping center members. This attractive characteristic means that in many ways we prefer the brick and mortar store front with a company business model that effectively leverages and distributes quality products and services via multiple easily accessible locations. These same business models are those that drive not only effective but outstanding returns on investment for institutional investors that continue to search for ways to broaden strategies to reach high-growth Hispanic markets.
The key, like any other business objective, is long-term investment!
The Hispanic market is HOT! Come out of your comfort zones! Get to know us – we are doctors, lawyers, professionals and blue color workers from all socio-economic backgrounds. We are an important part in the engine of the local, regional and state’s economy.
The future is bright, the path is clear and the opportunities are at hand. And if you don’t take anything else from this address, please remember: The Latino Market is HOT!
Gracias for your attention and interest and for allowing me the distinct privilege of addressing you this afternoon.
Editor’s note:
Maria Monreal-Cameron, president and the chief executive officer of The Hispanic Chamber of Commerce of Wisconsin, recently delivered the keynote address at the International Council of Shopping Centers (ICSC) Wisconsin Idea Exchange & Alliance Program, which was held at the Midwest Airlines Center. The following is the text of her address.
