Latino Consumers Key to Beauty Sales Growth

Hispanic consumers drive beauty sales revenue

Recent Nielsen research data has shown that beauty categories, including cosmetics, hair care, personal care appliances and shaving needs have experienced a decline in sales. While general market sales are pacing behind, these same categories have experienced sales growth within Hispanic households. Not only does Hispanic spending outpace non-Hispanic consumption across these categories, it over indexes in half of the top 20 consumer packaged goods.

As Nielsen reports, “U.S.-born Latinos outspend both foreign-born (Hispanics) and non-Hispanics in the beauty category.” But digging deeper into the numbers there is clearly not “one” Hispanic consumer. Nielsen also found that Hispanic beauty shopping preferences varied by language. Products indexing the highest with Spanish-speaking Latinos include hair coloring, hair growth products, personal care and disposable diapers. English-dominant Hispanics favor hair spray and powders for women.

Furthermore, U.S.-born Hispanics are most often found in the aisles of high-end retail stores and drug chains while foreign-born Latinos make greater use of club outlets and discounters.

But the differences do not end there. Generational differences among Hispanics are also reflected in preferences and purchasing behavior. For example, younger Hispanics are influenced more by celebrity endorsements and samples and are more likely to make spontaneous purchases. Other influencing factors outside of language and age are gender and income level. Understanding the complexities of the Hispanic market is key to effectively targeting and engaging consumers to generate sales growth.

Source: Nielsen Target Track, October 2014

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