Ethnic Market Access
Using insert media to reach Hispanic and African-American audiences
February 2006 By Alicia Orr Suman
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Across America’s cities and towns, the general populations are shifting to a more ethnically diverse mix. A new report in December 2005 by the Center for Immigration Studies found that U.S. immigration is at peak levels; 7.9 million people moved to the United States in the past five years.
Current U.S. Census numbers place 39.9 million Hispanic-Americans in the continental United States, or about 13.7 percent of the population. Other ethnic populations are at high levels, as well: African-Americans now account for more than 12 percent of U.S. residents.
Using insert media to reach ethnic markets provides both good targeting and a low cost per thousand (CPM). Targeted catalog and publication inserts have worked well for Lenox Collections in marketing gifts and collectibles to ethnic markets, according to Dan Cassidy, director of customer acquisition for the Langhorne, Pa.-based company.
Of course, be mindful that response levels to inserts typically are lower than to traditional solo mail; however, the reduced costs more than offset the lower response in most cases.
Hispanic Americans: A Hot Market
There really is “no better vehicle” than insert media for tapping the Hispanic market, asserts Kelly Elarbee, vice president of Echo Media, a print media agency in Atlanta. No longer based in one city or region, today’s Hispanic market is “not just Texas, California and Miami, anymore,” she notes. Insert media allows marketers to test broad-based geographic areas to find niche audiences.
For example, credit card statement inserts are a great way to reach credit-worthy Hispanic consumers who definitely will open the mailpiece and see the insert. Echo Media manages the Banco Popular Billing Statement program, which accepts bilingual or Spanish-only advertising.
Another option is free-standing newspaper inserts, or FSIs. Minority newspapers are popular in many areas—cities from Philadelphia to Los Angeles have their own Hispanic newspapers. These offer marketers a chance to reach their audience on a weekly or daily basis at a low CPM. Echo offers FSI programs in 174 weekly Hispanic papers, 23 dailies and 39 monthlies, among others.
Rick Blume, vice president of multicultural marketing for 21st Century Marketing, a list company based in Farmingdale, N.Y., believes the vehicles that are going to provide the best access to the Hispanic market are inserts into packages, invoice programs and ride-a-longs of Spanish-language marketers such as Rodale, International Masters Publishers (IMP), BMG, Latina magazine, Bookspan Mosaico and Latino Direct. Says Blume, “Yes, the younger generation and those born in the U.S. certainly are more mainstream, but for the most part, Spanish is still the language of choice at home.”
He adds that there are other opportunities for Spanish-only and bilingual marketers using co-ops such as Carmen’s Cupones y Consejos, Latin-Pak and Madison Espanol, among others. However, the lists these programs use may not be Spanish-language generated; they could be surname or inferred Spanish-speaking.
The most important factor to weigh into your decision of which insert media to choose should be based on an affinity you have with the host company’s audience, according to Blume. For example, if your target audience is Hispanic young mothers, then BMG, IMP or Madison Espanol—which target families—offer more appropriate vehicles than some other insert media.
Don’t Overlook African-American Buyers
The African-American market is where Lenox has done much of its ethnic marketing in recent years. “We have had great success developing products for and marketing to the African-American market,” says Cassidy.
Elarbee notes, “One of most overlooked target markets in my mind, outside of Hispanic, is the African-American marketplace.” According to Elarbee, there are a significant number of publications—from catalogs to community newspapers—that define themselves as African-American. “The fact that these programs continue to be viable after decades of being in business, suggests there is an audience that distinguishes itself from the mainstream,” she says. Another plus: Accessing any target market through defined vehicles such as these can lend an implied endorsement to an advertiser’s message.
Blume agrees. While marketers were reaching this market over the years, he says, prospects were not responding well until marketers started to segment African-Americans as a group and target mailings just to them. “All of a sudden, they started to respond in better numbers,” he says.
There are very few African-American insert media programs available, however, those few tend to work well. Blume points to the Bookspan Black Expressions ride-a-long, Imani ride-a-long and Black-Pak as programs marketers might want to test.
At Lenox, Cassidy says, “Targeted inserts and targeted publications (Jet, Ebony, Essence, and Heart and Soul) work best for us. We also have had success in FSIs and co-op envelopes when we target geographic areas with high black concentrations.”
In addition to space advertising, Lenox products are being sold via blow-ins into black apparel catalogs, such as the Ashro catalog. Says Cassidy, “The Ashro blow-in is a good one for us: It provides up to 400,000 blow-ins per month.” Another successful insert for Lenox is Bookspan’s Black Expressions book club mailer; its circulation varies, says Cassidy, adding that it tends to run about 300,000 monthly.
One challenge to growing in an ethnic market is a lack of other media options to “grow on.” With some of the insert media Cassidy regularly uses, he says it would be nice to test the mailing list, but oftentimes it’s not available for rent; only the insert program is offered. Other times, when Cassidy can obtain rental lists that seem “on target” to test for his audiences, their circulations are too limited to make them work for full rollouts.
Asian-Americans: Possible Potential
The 10 million-plus Asian-American population has begun to make an impression.
“The Asian-American market has lots of potential in the future,” says Blume. The problem for direct marketers is the market’s diversity: U.S. Census data shows Asian-Americans are comprised of Chinese, Japanese, Vietnamese, Filipino, Indian, Malaysian, Taiwanese—the list of nationalities goes on.
This presents a challenge for marketers, explains Blume, who cautions that, “Right now [the market] is too fragmented by nationality to get any real quantities to sustain a direct mail or alternate media program.”
Alicia Orr Suman is a freelance writer specializing in direct marketing. Reach her at aorrsuman@aol.com.
Current U.S. Census numbers place 39.9 million Hispanic-Americans in the continental United States, or about 13.7 percent of the population. Other ethnic populations are at high levels, as well: African-Americans now account for more than 12 percent of U.S. residents.
Using insert media to reach ethnic markets provides both good targeting and a low cost per thousand (CPM). Targeted catalog and publication inserts have worked well for Lenox Collections in marketing gifts and collectibles to ethnic markets, according to Dan Cassidy, director of customer acquisition for the Langhorne, Pa.-based company.
Of course, be mindful that response levels to inserts typically are lower than to traditional solo mail; however, the reduced costs more than offset the lower response in most cases.
Hispanic Americans: A Hot Market
There really is “no better vehicle” than insert media for tapping the Hispanic market, asserts Kelly Elarbee, vice president of Echo Media, a print media agency in Atlanta. No longer based in one city or region, today’s Hispanic market is “not just Texas, California and Miami, anymore,” she notes. Insert media allows marketers to test broad-based geographic areas to find niche audiences.
For example, credit card statement inserts are a great way to reach credit-worthy Hispanic consumers who definitely will open the mailpiece and see the insert. Echo Media manages the Banco Popular Billing Statement program, which accepts bilingual or Spanish-only advertising.
Another option is free-standing newspaper inserts, or FSIs. Minority newspapers are popular in many areas—cities from Philadelphia to Los Angeles have their own Hispanic newspapers. These offer marketers a chance to reach their audience on a weekly or daily basis at a low CPM. Echo offers FSI programs in 174 weekly Hispanic papers, 23 dailies and 39 monthlies, among others.
Rick Blume, vice president of multicultural marketing for 21st Century Marketing, a list company based in Farmingdale, N.Y., believes the vehicles that are going to provide the best access to the Hispanic market are inserts into packages, invoice programs and ride-a-longs of Spanish-language marketers such as Rodale, International Masters Publishers (IMP), BMG, Latina magazine, Bookspan Mosaico and Latino Direct. Says Blume, “Yes, the younger generation and those born in the U.S. certainly are more mainstream, but for the most part, Spanish is still the language of choice at home.”
He adds that there are other opportunities for Spanish-only and bilingual marketers using co-ops such as Carmen’s Cupones y Consejos, Latin-Pak and Madison Espanol, among others. However, the lists these programs use may not be Spanish-language generated; they could be surname or inferred Spanish-speaking.
The most important factor to weigh into your decision of which insert media to choose should be based on an affinity you have with the host company’s audience, according to Blume. For example, if your target audience is Hispanic young mothers, then BMG, IMP or Madison Espanol—which target families—offer more appropriate vehicles than some other insert media.
Don’t Overlook African-American Buyers
The African-American market is where Lenox has done much of its ethnic marketing in recent years. “We have had great success developing products for and marketing to the African-American market,” says Cassidy.
Elarbee notes, “One of most overlooked target markets in my mind, outside of Hispanic, is the African-American marketplace.” According to Elarbee, there are a significant number of publications—from catalogs to community newspapers—that define themselves as African-American. “The fact that these programs continue to be viable after decades of being in business, suggests there is an audience that distinguishes itself from the mainstream,” she says. Another plus: Accessing any target market through defined vehicles such as these can lend an implied endorsement to an advertiser’s message.
Blume agrees. While marketers were reaching this market over the years, he says, prospects were not responding well until marketers started to segment African-Americans as a group and target mailings just to them. “All of a sudden, they started to respond in better numbers,” he says.
There are very few African-American insert media programs available, however, those few tend to work well. Blume points to the Bookspan Black Expressions ride-a-long, Imani ride-a-long and Black-Pak as programs marketers might want to test.
At Lenox, Cassidy says, “Targeted inserts and targeted publications (Jet, Ebony, Essence, and Heart and Soul) work best for us. We also have had success in FSIs and co-op envelopes when we target geographic areas with high black concentrations.”
In addition to space advertising, Lenox products are being sold via blow-ins into black apparel catalogs, such as the Ashro catalog. Says Cassidy, “The Ashro blow-in is a good one for us: It provides up to 400,000 blow-ins per month.” Another successful insert for Lenox is Bookspan’s Black Expressions book club mailer; its circulation varies, says Cassidy, adding that it tends to run about 300,000 monthly.
One challenge to growing in an ethnic market is a lack of other media options to “grow on.” With some of the insert media Cassidy regularly uses, he says it would be nice to test the mailing list, but oftentimes it’s not available for rent; only the insert program is offered. Other times, when Cassidy can obtain rental lists that seem “on target” to test for his audiences, their circulations are too limited to make them work for full rollouts.
Asian-Americans: Possible Potential
The 10 million-plus Asian-American population has begun to make an impression.
“The Asian-American market has lots of potential in the future,” says Blume. The problem for direct marketers is the market’s diversity: U.S. Census data shows Asian-Americans are comprised of Chinese, Japanese, Vietnamese, Filipino, Indian, Malaysian, Taiwanese—the list of nationalities goes on.
This presents a challenge for marketers, explains Blume, who cautions that, “Right now [the market] is too fragmented by nationality to get any real quantities to sustain a direct mail or alternate media program.”
Alicia Orr Suman is a freelance writer specializing in direct marketing. Reach her at aorrsuman@aol.com.
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