Last Monday I presented a special subset of the American data from The 2018 Edelman Trust Barometer at Hispanicize, a gathering of CMOs and CCOs in Miami. For this supplement, we interviewed 400 Hispanics online last October and November as part of our general population study in the U.S. The findings reveal that the U.S. Hispanic community has undergone a significant change in mindset: prior to the 2016 election they were more optimistic than the general population in the U.S., and today, they are substantially more skeptical than other Americans.
Among Hispanics, trust declined across every institution, most notably, business where trust fell 24 points. The Hispanic community’s vote of no confidence in business and the other institutions should be viewed as a warning, but also as an opportunity to improve relations and communications with a rising demographic of 55 million young and ambitious citizens whose spending power and influence continues to grow.
Here are a few observations from last week’s convening:
- Retailers Go All In — CVS is rolling out its CVS y Mas concept from 50 stores to 400 in 2018. The focal point is the Hispanic mom. The primary states are California, Florida and Texas. The need for a health partner is clear. Hispanics have 25 percent higher incidence of hypertension and obesity, plus a 50 percent higher likelihood of diabetes. The CVS team has implemented a new layout for Hispanic customers; one example is putting oral care in the beauty department due to the significantly higher purchase rate for cosmetics among Hispanic women.
- The Importance of Home Delivery — The CMO of Church’s, the fried chicken chain, said that use of home delivery is rising. Part of this is attributable to homes with two working parents. The other is fear of going out to restaurants.
- Someone I Can Talk To — The CMO of iHeart Radio said that talk radio patronage of Hispanic channels is rising because the listeners “need somebody to talk to. It is the last line of defense.”
- Brands Have Deeper Meaning — AT&T has a brilliant campaign in Spanish that shows a bilingual millennial operating in two cultures. The phone is a way to stay in touch with family overseas. Meanwhile, the Toyota campaign is all about a car that can take someone home to see their family. One of the more endearing ads was from Hallmark, which featured an Anglo man and his Hispanic girlfriend going to her house for Christmas. He endures several awkward moments, including the first meeting with her father. Somewhat freaked out, he attempts to eat the tamale with the corn skin still on. In the end, the father presents him with a Hallmark card saying welcome to the family.
- We Are Americans — Johnnie Walker broke a campaign just before the 2016 election. The creative approach was to adapt the Keep Walking campaign to the U.S. Hispanic community by remaking Woody Guthrie’s 1945 classic “This Land Is Your Land” using Hispanic artists such as Chicano Batman. It shows compelling images of Hispanics at work and play, including soldiers coming home and a spectacular cowboy shot. With the election result, the campaign was perfectly timed, generating huge social media support and earned media results. In a flat category, sales rose 9 percent.
- American Hispanic Museum — There are plans for a museum on the Mall in Washington honoring the contributions of Hispanics, from athletes to CEOs such as Carlos Gutierrez of Kellogg and Oscar Munoz of United Airlines. A bill is pending in Congress to provide half of the funding, the balance will come from private contributions.
- Combat Stereotypes — HP spoke on a panel around brands advancing diversity. The session featured a five-minute video that highlighted the unconscious biases that exist in the workplace. The first segment featured man-on-the-street interviews with six non-Latino Americans who were asked, “What jobs do Hispanics have in America?” Their answers were construction workers, janitors or store clerks. The next segment highlighted six Hispanics, including a programmer, a scientist and an academic. This is the growing reality.
- Media Platforms — Thrive Hispanics was launched at Hispanicize to promote Ariana Huffington's message of work-life balance. It also offers a place for Hispanics to talk about their successes. Within this group specialist media is rising as Hispanics turn away from mainstream media, with 59 percent of those surveyed telling us they do not read or watch at all during a week.
The Hispanic consumer expects the business community to recognize its broader needs and ambitions. That includes access to jobs in technology and healthcare, opportunities for training to learn new skills and most important, giving financing to those small business owners with big dreams. And for CEOs, voicing their positions on issues or signing petitions is no longer enough, they must take action and become activists on the topics that matter most to the Hispanic consumer, such as DACA and the broader debate on immigration.
Richard Edelman is president and CEO.