Study: Hispanic customers going online for holiday shopping

With access to more disposable income, Hispanic consumers will up their holiday spending this year — especially through e-commerce.



This was according to “ThinkNow Retail Report 2017,” a study from ThinkNow Research and multicultural market research firm Jelena Group. Compared to last year, the study revealed that Hispanics and African-Americans are feeling as or more optimistic about their ability to spend this holiday season. Conversely, fewer non-Hispanic White and Asian consumers plan on spending more this holiday, compared to their responses in 2016.



Specifically, 33% of Hispanics will be spending more this year. Also revealing is where they intend to spend their discretionary income.



In 2016, 52% of all purchases made by Hispanic consumers were expected to be made at physical stores. This year, only 46% of all Hispanic holiday purchases are planned for physical stores.



E-commerce will gain those purchases, and 62% of Hispanics who will shop online will use their smartphones to place orders. That’s significantly higher than the 50% total market average, and 46% of non-Hispanic White online shoppers who intend to use their smart phones, the study revealed.



Amazon is the top online shopping destination for all consumers (55%), except among African- Americans, who will opt for Walmart (62%). Amazon and Walmart are top destinations for Hispanic consumers, but they are also more likely than other customers to visit the online sites for Target, Macy’s and J.C. Penney.



“Hispanic consumers are shopping more this holiday season despite speculation of a depressed Hispanic shopping trend,” says Mario X. Carrasco, co-founder and principal of ThinkNow Research. “While brick-and-mortar retailers, such as Target, may be seeing a decline in Hispanic consumers anecdotally, our research across 20 retailers shows more Hispanic consumers shopping at Amazon and Walmart.”



Part of the reason for the increase can be attributed to Hispanic consumers becoming more “shopper-savvy” across generations. “Retailers need to recognize that Hispanics are shopping, and connecting with them is more important than ever,” said Jennifer Elena, founder of Jelena Group. “Think mobile first as Hispanics will make purchases from their smartphone to find better deals.”