Article originally published on Orlando Business Journal
Tourism is one of the world’s largest industries and is the No. 1 industry in Central Florida and the Sunshine State. In fact, there are cities in the U.S., and countries like Mexico, Spain, Costa Rica and many others in South America that have been even transformed by this great economic resource.
In the U.S., Hispanic travel is growing at a faster rate than the general market and has an estimated annual economic impact of more than $56 billion. While travel and tourism in the U.S. have taken huge hits in recent years because of high unemployment and rising gas prices, Hispanics still continue with their family trips, spending more money per trip than the general population.
On average, Hispanics spend $785 per person on a trip while the general population only spends $708 per person. Plus, Hispanics live in large households. Based on the latest Census, the average household for Hispanics is 3.6 compared to 2.4 for whites. It is also estimated that 51 percent of Hispanic households have children in the household, compared with 38 percent of the general population. And of those, 42 percent of Hispanic households have children under 8 years old, compared with 38 percent overall.
So, it is important to understand that when they are ready to take a vacation within the U.S. or overseas, Hispanics don’t travel away from their families; they travel to them and with them. Even on business trips, they tend to bring their family members, making a family event out of it.
Hispanics represent a multibillion-dollar market for the travel industry, promoting tourism in the U.S. and abroad. However, there are still many companies — from airlines and departments of tourism to hotels — that are still not taking advantage of this booming market. It all boils down to a lack of understanding and taking charge.
Here are some important tips that will help your company excel:
- Understand the language differences: Hispanics often travel in large groups. Within those large groups are several generations, all of which factor into vacation planning, but only some of them are bilingual. Sometimes the person who is paying for the trip might speak one language while the person who is taking the trip speaks another. Many companies believe that they are already tapping into this market with their Anglo campaigns. Additionally, some of them assume that Hispanics have to travel regardless, so they think there is no need to divide their marketing efforts and sell “the family experience” in the language Hispanics feel more comfortable with. If you are only advertising in one language you are missing a big portion of the market — and that can translate into a big loss.
- Make it a better experience for the whole family: Hispanics tend to travel more with their families. Their top preference is beach destinations; second is national parks, and third is visiting friends and relatives. Cruises are usually on the bottom of the list by older Hispanics, but it is growing popularity among 35- to 54-year-olds. There is a great opportunity to up-sell vacation activities that incorporate the whole family, especially the kids — from sightseeing, horseback riding, snorkeling, boat rides, shopping and outdoor activities. To up-sell these activities make sure to have right sales person on your team. Not just someone who is bilingual, but someone who also truly understands the Hispanic culture.
- Fortify your online presence: The Internet is the main resource U.S. Hispanics rely on to book their travel. Make sure your website is mobile-friendly and also available in Spanish. Based on the latest Nielsen report, The State of Hispanic Consumers, it is estimated that nine out of 10 Hispanics have Internet access but are less likely to have it at home. They are three times more likely to have Internet access via a mobile device and are 28 percent more likely to own a smartphone than non-Hispanics.
If the Spanish language and culture already unites Latin Americans, then tourism should unite them even more. It is just a thought — and, one that could be easily capitalized on right now. Remember, it is crucial to understand the Hispanic culture and their travel behaviors if you want to capture this booming market.