Tag Archives: Ivan Cevallos

Hispanic Entrepeneur on Ivan Cevallos

Ivan Cevallos, CEO & Founder, ethosGROUP Inc.

What do you need to be an entrepreneur?
One of the core qualities of an entrepreneur is the gift of a vision and the ability to execute on it every day. When you run a business, you are exposed to many distractions that can take you on different directions. When you stay on track you are closer to success.

What did inspire you to start your business?
Before starting my business, I was running all kinds of business for other people, from restaurants to film production and distribution companies. I had none or very little supervision and was able to build up from zero to several millions in sales. One day I asked to become a partner and was told no. I thought about it, analyzed the situation and after a couple of days decided to go on my own.

Read More Hispanic Entrepreneur: Ivan Cevallos > www.ethosagency.com

 


The U.S. Hispanic State of Transition

A number of articles related to the U.S Hispanic market were published in the last few weeks. At times they sound contradicting and clearly highlight the transition taking place in this market due to the disruption caused by a new generation of young Hispanics, the shift of media preferences due to the raise of internet audiences and erosion of traditional media.

Illustrating the challenge is the  Wall Street Journal story on Home Depot shuttering its Spanish site while DeWalt is building one. I do not have complete details for either campaign but I imagine the agency/client teams behind both companies did their due diligence, conducted research, looked at secondary information, created a target profile or “persona,” reviewed best ways to communicate with their targets and presented the client with a marketing communications plan for the brand.

There is a wealth of information available for offline strategies that have been extremely successful. After all, Hispanic advertising is a 25 years old industry.  The common denominator among all successful campaigns is marketers with well defined targets and a precise marketing communications strategy.

In the Tecate beer study (above link), the target was Mexican Americans, Spanish dominant, who like boxing. Their effort translated into the number one position in the foreign beer category, and a 6% annual growth in a segment that is flat. In a second stage the marketer is looking at reaching another Hispanic segment: Assimilated Hispanics that are bilingual. I am sure the media mix and strategies will take in consideration this group preference.

Getting back to the online world, most Hispanic advertising agencies have not launched fully integrated online campaigns. They have mostly created Spanish web sites for clients and made digital buys at Spanish language portals. That was fine under a Web 1.0 premise. That period saw the growth of AOL, Yahoo, and display advertising.

In today’s market, a build it and they will come state of mind does not sync with the  online world. In 2009, search accounts for about half of all online advertising. There are about 20 million Hispanics online, the leading Spanish online destination made it to the 55 spot among the top 100 destinations, with 1.6 million unique visitors. Here I invite you to do the math: The U.S. market has about 48 million Hispanics, 20 million of them are online and 1.6 million are at Univision.com, the leading Spanish language site. That leaves about 18.4 million Hispanics visiting other sites, many of which are English sites.

The same report lists other online media properties with a strong following among Hispanics: Facebook (9), CBS Interactive (12), Viacom (14), New York Times Digital (16), NBC Universal (53, which includes Telemundo), Hearst Digital Media (64) and Gannett (66).  E- Commerce oriented websites have very high rankings, including: eBay (7), Apple (10), Amazon (11) and WalMart (25).

Please be aware that some sites may be popular among Spanish speakers but the bulk of their users and traffic comes from overseas. Using those sites will not deliver the U.S. Hispanic market.

Now back to the basic questions:

Do you know how to effectively reach Hispanics?

Do you have a profile or persona for your target?

Who is it?

Where can you find it?

What kind of media he/she consumes?

What is the context for a marketing communications strategy?

The closer you are to effectively addressing the above points (among others) the closer you will be to effectively reaching your Hispanic targets both online and offline.

As marketers, we sometimes have to connect the dots among isolated but interdependent elements to determine the best course of action. To close, I will share a few points about the Hispanic market that will give you an idea of current trends during this stage of transition:

1) Comment from a colleague close to Google: about 85% of searches by Hispanics were done in English.

2) Hispanic online demographic is expanding more than 50% faster than the overall US online population.

3) 78.2% of students enrolled at the Los Angeles School District are Hispanic (Los Angeles is the #1 Hispanic market).

4) 89% of Hispanic teens were online as of 2004. That number is probably close to 95% in 2009

If you have any questions, please leave a comment.


The Sign is at the Box Office

The news of downward trends among many industries paint a scary picture of the current economy but if you do your homework and search, you find areas of growth and opportunity.

Case in point is the entertainment industry that in a down economy continues to grow box office year after year. On March 29, 2009, the domestic B.O. was up a whopping 40% over the same frame last year, thanks to “Monsters” and Lionsgate‘s horror entry “The Haunting in Connecticut.” This was not an isolated incident and continued on April with the opening of “The Fast and Furious” that brought the box office 65 percent ahead of same week last year.

What makes the success of “The Haunting in Connecticut”, “Monsters” and “Fast” unique is the contribution of Hispanics to the box office office success. According to exit poll stats, Hispanics made up 46% of Furious and50% of Haunting’s audience. The core audience for both movies is young man and women (17-24).

I was not able to find exit polls for “Monsters” but the genre of the film (animation) has children and families as their key demo. I will venture to make an estimate and place the percentage of Hispanic audience for this move at 30%. After all, the majority of first graders at the top 10 DMA’s in the U.S. are Latino. You do the math.

Talk about purchasing power, economics and the implications for corporations targeting Hispanics: they generated about 63 million dollars at box office in 2 weekends. Most film studios recognize this market and its potential but few know how to reach it.

Recent news from comScore on the growth of online Hispanics further highlights the value and potential of the market but also presents the need of experts when communicating with them.

My questions for marketers that have not implemented a Hispanic strategy is:
Can any other segment in your business contribute about 63 million dollars in 2 weekends?
And if you already have a Hispanic strategy, is it effective, efficient or are you leaving money on the table?
Do you know how to reach them on line?

It all starts with how you see the current situation: is your glass half full or half empty. If you have done everything possible int he general market and your glass is half full, it is time you look for new opportunities and fill the other half.

By Ivan Cevallos, Founder and CEO of ethosGroup Inc.
April 17, 2009


The Paradigm of Transformation

We are going through a period where media and communication models that have been used to deliver messages to consumers at eroding at a rapid pace. That in combination with the transfer of control from marketers to consumers has left traditional media and the echo system they support wondering what to do next. The shift is taking place among all segments of the population. This is both a tread and an opportunity for companies that develop new communication models and understand the role consumers play in a brand’s strategy under the new paradigm. There is no magic potion but the answer lays on a good understanding of the basics: know your target and how your product or service satisfies a specific need in the target.

Confronted with these changes, marketers can not use the same strategies they have used for the last 30 years. It is not about old or new media, it is about the role consumers have taken as creators of content whose distribution is facilitated by technology. This content can be in the form of a consumer complaining about your product and notifying the entire network in Facebook or all their followers in twitter. So brands listen up to what consumers have to say and use the same technology to empower your brand evangelizers.

The common denominator here is that the same technology consumers use to communicate is available to brands and they can identify trends and truthfully engage audiences in a conversation. You may not have the entire resources in house and need to bring them on board or outsource. There is no single formula for success. What can make a difference is the preparation of your internal resources along with a strategy that was derived from research and arrives at the intersection of a clearly defined consumer profile and how your product or service satisfies a specific need.


Is that time again

As we wrap up 2008 and kick off 2009, there are trends that started this year and will expand into the next. Some are the result of the current inflation and others are the result of technology development, social issues and concern for the environment. Bellow, you will find blurbs and links to the full articles on the said topics.

Local Sports, Events Help Marketers In Hard Times
Advertising Age
The recession might prove to be a boon for out-of-home media and event marketing–especially for local sports. As cash-strapped consumers hunker down and people increasing maintain friendships virtually on the Internet, they yearn for the community of local events. Less appealing are the big national events that advertisers gravitate toward.

The virtual gathering of people in social networks is only intensifying the need for real community gathering, not supplanting it. “Kids now are able to see the whole world,” he said. “It’s worldwide, but it’s an inch deep. And there’s this pane of glass that separates them from experiencing that entire world.”Read the whole story…

Internet Tops Newspapers As News Source, Still Lags TV

by Erik Sass

The Internet is now the most popular source of news after TV, according to the Pew Research Center for the People & the Press, which released its year-end roundup of news media consumption last week. While TV is still king of the hill, its steady decline in the face of Internet competition bodes ill in the long term. … Read the whole story

WOM: Real People Win Deals, Corporate Blogs Spin Wheels

by Erik Sass

Word-of-mouth marketing remains one of the most effective marketing channels–provided that it’s done well, according to two new studies from DEI Worldwide and Forrester Research. Consumers don’t put much trust in corporate blogs or social network profiles, but will readily listen to people. … Read the whole story

YouTube still towers above MySpace, Hulu for online video
YouTube, with nearly 5.6 billion streams to some 85 million unique visitors, was the No. 1 destination for online video viewers in November, according to Nielsen research. YouTube was followed by MySpace, with 244 million streams to 20 million unique visitors, and Hulu, with 221 million streams to about 7.5 million unique visitors. TVWeek.com (12/29)

JWT futurist eyes brand trends for 2009
While corporate budgets and consumer belts are tightening, marketing and media companies that seize on certain social and entertainment trends will successfully ride out the new year, according to Ann Mack, director of trendspotting for ad agency JWT. Among the hot-button trends for 2009 are environmental responsibility, brand authenticity and content mobility. MediaPost Communications (12/29)

Do the Right Thing
10 Rules for Leading Ethically

It’s been all too easy to criticize the unethical behaviors of business and political leaders these days. But if your company isn’t among those generating scandal and scorn, consider yourself warned. CCL’s Cresencio Torres reminds us that lapses in ethical judgment occur every day in our organizations and, likely, in our private lives.  “Ethical leadership isn’t about avoiding the worst behaviors. It isn’t about technically following laws and regulations,” says Torres. “Ethics determines fair and honest behavior and establishes boundaries about how we relate to each other. In that sense, the only way for people to work well together, and to have good professional and personal relationships, is to think and act in an ethical way.” To reclaim ethical leadership for yourself and your organization, Torres offers these 10 Rules for Ethical Leadership here:http://www.ccl.org/leadership/enewsletter/2008/DECdo.aspx


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