This article looks at the Proctor and Gamble strategy for catering to the ever growing Hispanic population in this country.
Q: You've said Hispanics are a key cornerstone of future growth in North America for Procter & Gamble. Why?A: It's obvious — the changing face of North America. Today, the ratio of people over 70 years old is one to five [for Caucasians] vs. people of ethnic origin. In the less-than-29-years-old category, the ratio is one to one. So, you can expect that a full one of every two consumers in North America will be of ethnic origin — and about a quarter will be Hispanic.
We're looking at the multicultural arena as the wave of the future. Not participating in this growing demographic is no longer an option. And the Hispanic is a valuable consumer. Look at categories like shampoo — we're significantly over-indexed among Hispanic at a rate of 290. In baby care, it's an index of 304. For fabric conditioners, it's 212. Deodorants and colognes, it's 194.
Any company selling to consumers today needs to think about how the market is changing. As the Hispanic population becomes wealthier, they will become more educated, which will in turn make them even wealthier. There is lots of profit to be had for any company that can invest now in developing brand loyalty among Hispanics.