U.S. Hispanic consumers continue to grow in numbers. And as predicted, they aren’t shy about flexing their spending muscle. One group in particular, Affluent Hispanics, whose earnings top $100K+ per year, are really tipping the scale. While they currently only represent about 12.2% of Hispanic earners, they punch above their weight as compared to non-Hispanic Affluents when it comes to contributing to overall spending.
In an effort to better understand why that is, we conducted a nationwide study among U.S. Hispanics, zeroing in on four main categories of spending:
- Family activities
- Sporting events
Though the study covered all income levels, the following findings are specifically about Hispanic consumers with a household income of more than $100,000.
In this category, we looked at everything from camping and fishing to gambling and golfing. In many categories (including shopping, cooking, reading books and wine tasting), Affluent Hispanics and non-Hispanics measured out at about the same level of activity. For a few of the activities, such as visiting museums and clipping coupons, non-Hispanics rated higher than Hispanics.
But there were a certain activities where Hispanics outspent their non-Hispanic counterparts, in time and money, such as attending live music events and having gym memberships. Being that Hispanics earning $100K+ a year are on average seven years younger than non-Hispanics in that income bracket, perhaps youth plays a factor here.
Everyone likes to get away, but the study suggests that Affluent Hispanics rank vacationing high on the priority list.
In fact, 23% of affluent Hispanics take five or more vacation each year – compared to just 9% for non-Hispanics. And when it comes to really getting away, 44% of Hispanics travel internationally, 9% more than non-Hispanics. And it’s not just frequency.
Affluent Hispanics tend to also spend more on vacations vs. non-Hispanics. On average, affluent Hispanics spend 29.7% more for a domestic vacation and 25% more for one out of the country. This increase in spending may also be a function of larger family sizes among Hispanics.
To read the rest of the article on MediaPost, click here.