Banking: Why Focus on Upscale Hispanics? [INFOGRAPHIC]

Thursday, July 7, 2016

According to a 2014 KPMG survey, 21% of banking executives see Young Rising Professionals as the customer segment that presents the greatest growth potential. This target ranked among the Top 3 opportunities, along with the Top 10% of Earners and the Underbanked.



Upscale Hispanics are a key subgroup of Young Rising Professionals, particularly for banks with a significant footprint in California and Texas where they represent 20% of Upscale households. Thus, failure to cater to Hispanics while addressing overall customer needs can negatively impact the overall success of initiatives designed to drive growth among the young and upwardly mobile.


Here are 3 reasons for banks to address the needs of the 4 million Upscale Hispanic households in the U.S. as part of their go-to-market strategy (view Slideshare presentation below or click here to view it as an infographic):


1. They are buying homes and investing. Hispanics will account for 50% of new home buyers from 2012 to 2020. Among Upscale Hispanics, 43% are investing, especially in mutual funds and stocks (however, opportunities exist to further familiarize Hispanic Millennials with retirement savings plans and mutual funds). Plus, Upscale Hispanic households are growing at a rate 7 times faster than Upscale non-Hispanic households.


2. They are more mobile-centric and open to non-traditional banks. Upscale Hispanics are twice as likely as Upscale non-Hispanics to use a mobile device to access their financial records, receive financial alerts and locate an ATM or branch. This is probably due to Upscale Hispanics being younger – 75% are less than 45 years old. Among Millennials, 58% of Hispanics (vs. 47% of non-Hispanic Whites) are open to banks with few/no branches.


3. They have strong ties to Latino culture. Although 60% of Upscale Hispanics are U.S. born, 30% of them voice a strong cultural duality. As a result, Hispanic Millennials are twice as likely as non-Hispanic White Millennials to define wealth as going beyond money and possessions to include things such as family, relationships and love. A large number (34%) of Hispanic Millennials say that “language factors” are very or somewhat important when choosing a financial institution.



Banking: Why Engage Upscale Hispanics? from Sandra Z. Diaz


Key Takeaway

Recognize Upscale Hispanics as a key segment of Young Rising Professionals with unique needs. Considering such nuances during overall plan development will serve banks to determine which mainstream initiatives have high Hispanic appeal and which targeted tactics to overlay to the plan to further engage Latinos. This will allow them to optimize their offering for multiple high potential customer segments upfront, therefore maximizing ROI.

Please reload

Please reload

Get Hispanic  marketing, selling & merchandising advice in an upcoming blog post

"Sandra's expertise and familiarity with the Latin Markets in the U.S. and outside are absolutely world class. In addition her ability to keep the client calm and moving in the correct direction was invaluable."

— Eric Stein, Partner | ES Web Marketing

Get Hispanic Marketing, Selling & Merchandising Advice

Follow Us

  • LinkedIn - White Circle
  • Twitter - White Circle
  • Facebook - White Circle

DIAZ&CO. Hispanic Experts, Inc.
(646) 580-5842


44-70 21st Street #3020

Long Island City, NY 11101

© 2012-2020

DIAZ&CO. Hispanic Experts, Inc.
All Rights Reserved.

Website Created By:

Nindy Design Studio

The information contained in this website is for general information purposes only. The information is provided by DIAZ&CO. Hispanic Experts, Inc. and while we endeavor to keep the information up to date and correct, we make no representations or warranties of any kind, express or implied, about the completeness, accuracy, reliability, suitability or availability with respect to the information, products, services, or related graphics contained on this website for any purpose. Any reliance that you place on such information is therefore strictly at your own risk. In no event will we be liable for any loss or damage including without limitation, indirect or consequential loss or damage, or any loss or damage whatsoever arising from loss of profits, arising out of, or in connection with, the use of this website.