Latin population growth in the United States causes transformations in the country's retail

The latest study of University of California at Los Angeles (UCLA), made in partnership with the Center for Research and Economic Forecasting of the Lutheran University of California, reveals that currently Hispanics present in the United States correspond to 19.2% of the country's population.This segment is responsible for 70% of the population increase recorded annually in the US and accounts for 41.4% of the real growth of the American GDP since 2019, according to UCLA. The numbers linked to the Hispanic population 0 with emphasis on the average of 1 million immigrants from this community entering the country every year, according to the The Per Research Center ''they make it one of the main themes of the electoral debates between Kamala Harris and Donald Trump, candidates for the next presidential term in the country.

In addition to the electoral nature, Hispanics also stand out as a market agenda, especially for the food and beverage retail sector. According to the survey of Circana, a global company of data tech for analysis of consumption behavior, the population of Latin origin present in the US is responsible for 14% of spending on dollars on food, a number that has been growing at 0.4 points per year, counteracting the reduction of 0.3 points in the consumption of the white population and exceeding the average expenditure of other communities, such as African-Americans and asio-Americans.

With an eye on the economic power of this segment, companies such as the CVS Pharmacy drugstore chain and Kroger supermarket franchises have invested in unit remodeling hispanic-focused that is, focused on Hispanics.As revealed by the Circana market study, CVS added “y more” (“e plus” in literal translation), developed specific designs to promote a personalized shopping experience for the Hispanic population, bet on lower prices and hired bilingual employees.Kroger, in turn, remodeled the Houston franchise, with Spanish signage, and invested in exclusive products such as canned ceviche & launch the private label brand Kroger Market, whose products are developed on the basis of ingredients consumed in Latin countries.

Toy, clothing and beauty brands such as Target, Kohl’s, Macy’s, Build-A-Bear and Nike have also looked with special attention to the segment, which is responsible for 17% of dollar spending in these sectors and presented an increase of 0.1 point in consumption in 2024. In common, these retailers have recently invested in products with commemorative editions, recalling important dates for the Latin population, highlighting the National Hispanic Heritage Month (celebrated in the US between September 15 and October 15), to the Mexican calendar of May (the first month of May 1st and last year)

According to Daniel Morimoto, LATAM vice president of Circana, the expenses and demands of Hispanics in the retail of food, beverages and non-food products have increased more than average, but it is worth noting that in the consumption of goods in general there has been a decrease of 0.1 point, which reflects the performance of the American market itself. For the executive, understanding the exclusive compensations of this community, which must grow more than 50% in the next 35 years, can help better meet the needs of an audience increasingly fit for consumption.“In 2060, the American population will be able to reach a point of the United States, the executive-to purchase of the first-regionic people, with the 9 million people, the consumer-resources, the consumer-resources, the consumer-are the one-are the one-are the one-are the one-respective of the country's.

To know in depth this and other studies developed by Circana, go to: Unlock Growth with Complete Consumer Insights (circana.com).