Hispanic and African-American consumers rate the importance of a company’s presence in the community, through corporate social responsibility and cause related marketing programs, as more significant in their buying decisions than do Non-Hispanic whites, according to new data from the Yankelovich Monitor Multicultural Study 2010, analyzed by The Futures Company and co-announced with VanguardComm, a public relations firm with a specialty in diverse markets.
“Simply put, engaging in multicultural communities to make a positive difference pays off for businesses in purchasing and brand loyalty,” says Esther Novak, founder and CEO of VanguardComm. “The results present excellent opportunities to those businesses looking to increase their brand reputation and sales. If you want to establish long-lasting relationships with Latino and Black consumers and businesses, you need to show that you understand and support their causes and community needs.”
The study found that about one-third of Hispanic and African American consumers almost always choose brands because they come from companies that support causes they believe in, compared to just one in five Non-Hispanic Whites.
Hispanic and African-American consumers also expect companies to champion their causes and stand up for issues which affect their communities to a greater degree. Seventy-nine percent and of Hispanic and 84 percent of African-American respondents agreed with the statement “companies that make sincere efforts to be part of the Hispanic/African-American community deserve my loyalty.”
There were also strong feelings about the current level of business support for Hispanic and African-American communities and their causes. Sixty-two percent of Hispanic and 68 percent of African Americans agreed that very few brands and companies genuinely care about the state of their communities.
“The good news for marketers,” according to Novak, “is there are many ways to reach out, have an impact, connect and grow a brand. Be prepared to invest, show consistency and, over the long term, get great returns.”