Hispanic population is fastest-growing and youngest in US
The new landscape of marketing for CPG is a rapidly, and radically changing US population. If you are an English speaker, you may have noticed the fairly new TV commercials that are in both English and Spanish. Not surprising that companies are doing this, because the Hispanic population is the fastest-growing and youngest segment of the US population. This population is a key target for growth among CPG brand manufacturers.
What do we need to know about the changing population? A recent eMarketer article had some valuable statistics every CPG manufacturer should know about the Hispanic population: Hispanics do more grocery shopping than the average US shopper and they also spend 20% more. Food is very important to Hispanic culture: 75% of Hispanic families sit down for a meal together every day.
American population is getting older
I have to admit I was taken aback this spring when I saw online ads showing Dancing With the Stars and NFL players sporting Depends. No longer fodder for late night talk show humor, products for the “Depends wearing set” are (literally) coming out of the closet and hitting the mainstream. There’s a good reason for this too – the US population approaching is middle age and getting older. According to the US Census the median age of the US is 37.2 – right now there are the same number of people older than that age as younger.
And what about the growing population of older folks? What do CPG companies need to know about them in order to attract their dollars? RetailWire recently devoted a blog discussion to the new Amazon site devoted to the 50 plus crowd called “50+ Active and Healthy Living Store”. The articles’ many comments are telling – readers called the site anything from “clinical” to a “turnoff” with a too heavy focus on “incontinence”. Hopefully Amazon read that article and is now thinking about ways to improve the way they market to a graying American population.
There will be some growing pains. This is a new challenge for advertisers who have thought of the US population in very different ways up until now. I can give a pretty funny example. I recently witnessed a 65 plus woman watching a commercial at a local restaurant. The commercial showed active, pretty older ladies dancing around in colorful outfits to upbeat music – then at the end it flashed the name of a product briefly up on the screen. I had to smile when I heard the woman comment, “I like the commercial but I am not sure what it was for”. In their attempt to change the way it marketed a traditionally not very hip item, the manufacturer really confused the target audience – or at least the potential customer I was sitting next to.