(March 24, 2003--Dallas, TX) Hispanic market expert Redan Media has inked a deal with the Texas Rangers for translation services and grassroots marketing to the Hispanic community. The company will provide translation services for the Rangers' Hispanic initiatives. Redan has completed translation of a new Rangers' Hispanic Fan Guide and the Rangers' Pocket Schedule. The effort is part of the Rangers' first major initiative into the Hispanic community.
"We are helping the Rangers connect and communicate with the Hispanic consumer," said Brent Murphy, President and Managing Partner of Redan Media.
"Our main focus is to let the Hispanic community know that they are an important part of the Texas Rangers' future."
In addition, the Rangers are using Redan's Mercado Bilingüe, an "in-culture" marketing publication supported by the number one Hispanic radio station in Dallas (KLNO-94.1 fm), to deliver a monthly marketing message right to the front door of Hispanic fans in Dallas and Fort Worth.
Redan Media is a Dallas-based strategic marketing company that specializes in helping companies reach the exploding Hispanic American population. Redan's clients include Cinemark, Donruss Trading Card Co., Methodist Hospital, Comcast, Telemundo, Hispanic Broadcasting Corporation, Bank One, Holiday Inn, city governments, and several large auto dealerships in Texas.
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Media Coverage
La Estrella
05/09/2003
05/09/2003
The market for the Hispanic community is an ignored oasis
It represents economic strength but continues to be left unattended
By Adriana Torrez
It represents economic strength but continues to be left unattended
By Adriana Torrez
With its rapid growth in population and a buying power that has increased, the Hispanic market could convert itself into an oasis in a desert of the United States' economy.
Since the 2000 Census showed the growth of the Hispanic population, a reported population of 35 million in this nation, any companies have began to recognize the growing importance of the Hispanic consumer by increasing advertisements, developing products and incorporating promotions directed to this market.
But according to various academic and marketing studies, there are still many companies that are not investing the necessary money to attract Hispanics or they have yet to understand the needs of this specific market.
"I think that many people are entering the market for the first time," asserted Brent Murphy, administrative partner of Redan Media, a marketing company based in Dallas. He added that many of his customers do not understand the statistics, which not only shows how strong the Hispanic market is but also that its projected growth is even more promising for the economy.
According to studies done by the Census Office in 2001, Hispanic growth will continue. In between 2000 and 2001, for example, the Hispanic population increased 14 times faster than the Anglo-Saxon population. In only three years since the last national census, Hispanics have grown by two million, reaching a total of 37 million of the national population. In the year 2050, it is predicted that Hispanics will constitute 25 percent of the population in the country. They represent 13 percent presently. According to information from Global Insight, an international company that studies information about industry, economy, and finance, Hispanics have an annual average attained buying power (the money available after expenses such as shelter and food) of $56,431.
This means, according to Rincón & Associates (marketing company in Dallas), that the Hispanic market has a buying power of 600 billion dollars, more than Mexico's gross domestic product in 2000.
That is why many companies try different methods to attract Hispanics. Some develop products with Hispanics in mind, like the company Kerns that recently launched a brand of flavored ready-to-drink refrigerated waters in traditional flavors such as horchata, tamarind, and strawberry. Other companies incorporate important Hispanic figures into their personnel, such as the clothing store Mervyn's that has introduced the Mexican actress Indra Zuno as their first Latin spokeswoman. Some, like the brewery Coors, have launched advertisements with titles such as "Chilaquiles" which focus specially on Hispanics. There are also those that have developed special promotions, such as the telephone service Verizon, that organize contests, concerts, and magazines in Spanish that may very well not have anything to do with its product but that do boost understanding in the Hispanic community.
To focus on the Hispanic market is simply a good decision for businesses, according to various companies' officials. But these also mention that it is necessary to understand the market, their culture, their preferences in products and their necessities in regards to language, before addressing it.
"The fact that this market is so big makes it very important for any company that wishes to compete," says Emilio Coronado, Hispanic marketing manager for Verizon. "But many companies fail when it comes to the Hispanic market because they have the illusion that they can do it with just one advertisement. There needs to be an investment, everything that is done in the general market from beginning to end needs to be incorporated in a Hispanic infrastructure."
According to Edward Rincón of Rincón & Associates, the difficulty in directing one's self to the Hispanic market is the fact that there are few people studying it, especially in Dallas and Fort Worth where they have the seventh largest Hispanic market in the nation. He asserts that there are national organizations that focus at this level but that it is difficult and expensive for local companies to work with them.
This is why Rincón organized a seminar a few weeks ago that went over the Hispanic market. He also organized the first class about the Hispanic market at the University of Texas at Arlington (UTA) and he awaits to be able to develop other courses over the internet over the same subject.
"The good thing is there are people looking at growing markets, but the bad part is there are few places to go to learn about them," said Rincón. "We do not offer these in the universities, and national conferences take place on the east and west coasts. Travel is needed for that and it can be costly."
Carl McDaniel, president of the department for marketing in UTA, said the first class about the Hispanic market is proof of the Hispanic population's buying power. "It is something that cannot be ignored," he said. "We feel it is necessary to direct ourselves to the Hispanic's needs and to the strategies we could use to arrive at these."
The strategies vary. For example, Verizon publishes the Spanish magazine La Voz de la Plaza and coordinates many music concerts across the nation and their customers receive tickets and subscriptions. They also created the youth drawing contest "Éste es mi México" in partnership with Mexico's Secretary of Foreign Affairs, giving away trips to the Mexican capital to the winners. This, according to Coronado, is a tactic to go beyond business relations and to fulfill the human needs of his customers.
Mervyn's also tries to reach the Hispanic market in different ways. For example, they give information in Spanish, special contests, community activities with not-for-profit organizations, and have a Hispanic spokeswoman.
"Close to 30 percent of our customers are Hispanic and the Hispanic market is very important to us because it is very loyal to us," explains Neyda Ibarra of the department of public relations of the company.
On top of the efforts exerted by these companies, many ignore the Hispanic market or spend less in their marketing towards Hispanics according to recent studies done by the Association for Hispanic Advertising Agencies (AHAA).
In accordance to the study of 2002, "Lost Opportunities: Less spent in the Hispanic market by American companies," the companies - which focus primarily on Hispanics only - spend 3.2 percent of their budget in the Hispanic market. This is something that AHAA says is very low given the dimension of the Hispanic market and its level of consumption.
In their 2003 study "The Ideal Expense II," AHAA affirms that the companies who look to focus themselves in the Hispanic market should manage the quantity necessary depending on their category of products, their market, and their level of consumption.
According to Aída Levitan, AHAA President, this means, for example, that a corn tortilla producer in Los Angeles, which has the largest Hispanic market in the country, should spend up to 74 percent of its marketing budget in Spanish advertisements. But a producer of frozen foods in Houston, for example, would need to spend 11 percent of its marketing budget in Spanish advertisements.
Levitan says the increase in what is now spent and what should be spent is a lot, but it is confirmed with the success of the companies that use it.
"It is scientifically and mathematically proved," said Levitan. "According to a study done by Global Insight for Telemundo, the employment level for [Hispanics] was three percent higher in March 2003 than in March 2001. In other words, in spite of being in a terrible economy, we, Hispanics, are progressing. Without the Hispanic market, [the companies] will not advance."
According to Ed Bromley of Bromley Communications Advertising Agency in San Antonio, the growth in the Hispanic population and their buying power is influencing the amount of money that these companies spend in reaching the Hispanic market. This will also increase.
"It has evolved budgets from $3 million all the way up to $25 million," said Bromley. "I have to say the Hispanic market has been very brave during these difficult times. The future looks promising because the growth of the population will continue strongly. We see it as an opportunity of growth both for our customers and, at the same, to us."
The Dallas Morning News
03/25/2003
03/25/2003
Rangers form Spanish radio network; Move an effort to woo Hispanic fans
By Richard Alm
By Richard Alm
ARLINGTON - The Texas Rangers formed their own Spanish radio network as part of an expanded marketing campaign aimed at Hispanic fans.
Under a three-year agreement announced Monday with Dallas-based Hispanic Broadcasting Corp., the team will air all home and away regular-season games on KESS-AM (1270) and selected games on other HBC stations. The Rangers will produce the broadcasts and sell ads.
KESS has been broadcasting Rangers' home games for five years, but this will be the first time the Spanish-language package includes road games. The Anaheim Angels are the only other American League team to broadcast the entire schedule in Spanish.
The Rangers have had Hispanic marketing campaigns for several years. This year, the initiatives take on added importance for a franchise coming off a season where attendance declined by 500,000 fans.
"The Rangers are making a significantly increased effort to reach out to this group through broadcasting, advertising, marketing and community initiatives," Rangers president Mike Cramer said.
In addition to expanded Spanish-language broadcasts, the Rangers will rely on a beefed-up Hispanic marketing lineup.
The team hired Dallas-based Ornelas & Associates to produce the Rangers' first television advertising in Spanish. The advertising agency will also create radio spots.
Redan Bilingual Media, a Dallas-based marketing firm, will focus on grass-roots marketing, including translating the Rangers' fan guide and pocket schedule into Spanish. Redan will include Rangers' messages in its Mercado Bilingüe, delivered directly to Hispanic homes each month.
Redan will distribute 75,000 fan guides and 70,000 pocket schedules, the team said. An additional 250,000 Spanish-language pocket schedules will reach the community through Rangers' sponsors and media partners.
"We are helping the Rangers connect and communicate with the Hispanic consumer," said Redan Media managing partner Brent Murphy.
The rest of the Rangers' Hispanic outreach includes Spanish-language pages on the team's Internet site and Hispanic-themed events at games in May and September. The KESS broadcast will be available as a secondary audio feed on the 75 games televised on KDFI-TV (Channel 27).
The Star-Telegram
3-25-03
3-25-03
Also appeared in the March 25, 2003 edition of The Puerto Rico Herald
Rangers woo Hispanic fans
By Sean Wood
By Sean Wood
ARLINGTON - The Texas Rangers are taking another run at reaching out to the Hispanic community with a new campaign that includes radio, television and print advertising along with special promotions and Spanish-language game broadcasts on radio and television.
Mike Cramer, president of the team, said the baseball club is spending hundreds of thousands of dollars in man-hours and direct spending on this project.
The club launched a campaign to attract Hispanic fans late in the 1999 season, but that attempt didn't go far enough, Cramer said. The 1999 marketing program included announcement of a new Spanish-language broadcast team and a special promotion for Mexican Independence Day.
"It was a step," Cramer said of the effort in 1999. "If it takes 10 steps to get a job done, we took two or three steps. We didn't do the job. We didn't know enough to do the job."
As part of the latest effort to tap into the Hispanic market, the team has hired Ornelas & Associates in Dallas to produce a series of radio and television spots in Spanish.
The Rangers also hired Redan Bilingual Media to translate and distribute Spanish-language versions of the 2003 pocket schedule. And Redan has translated and distributed the Rangers' first Spanish-language fans' guide, La Guía Oficial para los Aficionados de los Texas Rangers.
"Hispanics love baseball," said Sal Morales, chairman of the Arlington Hispanic Chamber of Commerce. "This is a great initiative and the reason is there are so many Latin players and they are great role models for our children."
The fans' guide features pictures of Juan Gonzalez, who is originally from Puerto Rico; Rafael Palmeiro, who is from Cuba; Ismael Valdes, who is from Mexico; Alex Rodriguez, who is from New York; and Francisco Cordero, who is from the Dominican Republic.
Max Leseld, executive creative director with Ornelas & Associates, said the Rangers players, with their diverse backgrounds, reflect the diversity in the community. The next step is to get that diverse community into the stands, he said. "We want them to come and cheer for the Hispanic players who are playing on the field."
The club has signed a three-year agreement with Hispanic Broadcasting Corp. to carry all home and away games during the regular season. KESS/1270 AM will be the flagship station. Also, the KESS Spanish broadcasts will be available for 75 televised games on KDFI/Channel 27 for viewers with the SAP simulcast option. The first Spanish-language telecast will be April 1 from Anaheim, Calif., at 9:05 p.m.
Dan Migala, executive editor of Chicago-based Team Marketing Report, said teams' efforts geared at the Hispanic community are more the exception than the norm. But that is slowly changing, he said, with more teams making it a major initiative.
It is incumbent on the Rangers to cultivate new fans. Last season was the second-worst year for the team, in terms of drawing fans, since it moved to The Ballpark in Arlington in 1994. The only year that was worse was 1995, the year after a baseball strike.
Hispanic fans represent a potentially large, and mostly untapped, market for the Rangers.
According to the Census Bureau, Hispanics make up the fastest-growing segment of the U.S. population. Hispanics make up 35 percent of Texas' population and 19.7 percent in Tarrant County. The combined Hispanic population of Tarrant and Dallas Counties is 948,019.
"Everybody in the DFW area is a potential constituent," Cramer said. "Here is this big group that we weren't reaching."
He said the club estimates that about 250,000 Hispanic fans came to Rangers games last year. "The good news is, that's 10 percent of our fans," he said. "The bad news is that it's only 10 percent of our fans."
