With the buying power of the U.S. Hispanic market now eclipsing $1.2 trillion annually, marketers are more focused than ever on attracting this lucrative segment to their brands. But understanding the “how” in consumer spending is just as important as the “how much.” As the number of payment options available increases, the connection between purchase and payment has far-reaching implications: from how marketing should be planned, to how products are distributed, and even how sales are forecasted and measured.
Hispanics differ greatly from other ethnic groups in their purchasing habits and preferred methods of payment. Nielsen’s Share of Wallet Study found that Hispanic consumers are spending more money per visit on average while making as many—if not more—shopping trips per month.
Hispanics spend at least $10 more per visit than the total market (Hispanic and non-Hispanic combined) on all forms of consumer packaged goods (CPG). Food items like frozen dinners and cereal are the biggest CPG expenditures at $81 per visit for Hispanics, compared with $71 for the overall population. Hispanics also spend $51 per visit on adult beverages (beer, wine and liquor), $47 on household products (such as paper towels and toilet paper), $43 on health and beauty aids (such as cosmetics and hair care products) and $37 on over-the-counter medications (such as allergy medicine and pain relief medication).