Hispanic market notes of interest

Growth Strategies, Nov 2003

Although two-thirds of the Latino population is of Mexican origin, there are approximately 17 different groups represented in this "national" community.

Similar Traits

While Latinos consist of many national origins, they share similar characteristics. Latinos as a whole are younger, have more children, have greater family stability, share Roman Catholic roots, and generally have a dominant father figure or male role model. More than half of all Latinos living in the United States are fully bilingual.

An Entrepreneurial Community

In the year 2000, according to the US Census, real household income for Hispanics was more than $42,000; nearly one-third of Latino households had an annual income of $50,000 or more; and Latinos owned 5.8% of all small businesses, some 1.2 million firms.

Latinos as Consumers

Latino households spend more on food, utilities and shelter than average, and less on services and health care. Latinos also spend more on clothes, are label conscious, and are above-average shoppers at discount food and clothing retailers.

Health Insurance

Hispanics are the most likely to be uninsured. Over half of Hispanics under 65 do not have coverage, representing one-quarter of all uninsured people in the country.

Health Care

Hispanics are less likely to receive routine health care services compared to non-Hispanic whites.

The Working Poor

Family size, geographic concentration in large metro areas, high costs of living, scarce affordable housing and lack of public transportation contribute to the large number of Hispanic working poor. To escape this predicament many Latinos have relocated to suburbs of the large metro areas or to smaller, less congested cities. While the percentage of Latinos living in poverty is fairly high, it is counterbalanced by extended family and children contributing to the overall income of the household.

The report profiles three new Latino destinations as examples of emerging Hispanic communities. The locations were picked as case studies because they are representative of the national trends listed above. The three are Cicero, IL ("A Suburban Outpost"); Little Rock, AR ("Lessons in Acculturation"); and Orlando, FL ("A Study in Hypergrowth"). Concludes the study:

Latinos are demonstrating new patterns of dispersal, moving from large cities into suburbs and new areas such as the mid-South. The patterns of growth are variegated and dynamic in the three cities that were chosen for this analysis, yet when compared certain trends stand out.

It is clear that the first places where the impact is felt in the receiving community arc in the areas of education and health care delivery systems, followed closely by emergency services and law enforcement. But the impacts are not necessarily negative. Latinos have also brought back to life many towns that were economically depressed, revitalizing small business enterprise areas that had been stagnant for long periods of time.

The picture painted by these three cities is one of contrast and complexity that is dependent on the size of the influx, the local political and governmental environment, and the ability of the community to organize. While Latinos tend to self-segregate and concentrate in pockets around the country, it is critical that a conscious effort be made not to isolate this population as it prevents a full integration experience and ultimately limits the potential of the community.