Hispanic Family Camper Market - InsideOutdoor Magazine
Hispanic Family Camper Market - InsideOutdoor Magazine Hispanic Family Camper Market - InsideOutdoor Magazine
CALL TO CAMPISTAS Camping Outlook ’04 Issue #9 Wild Fire Forecasts Markdown to Up Profits Outdoor Gatherings Rec Metrics
- Page 2 and 3: 14|IO
- Page 4 and 5: Trip and Traveler Characteristics,
- Page 6 and 7: Trail Runner Same-day shipping •
- Page 8: (Continued from page 19) Media Cons
CALL TO<br />
CAMPISTAS<br />
Camping Outlook ’04<br />
Issue #9<br />
Wild Fire<br />
Forecasts<br />
Markdown to<br />
Up Profits<br />
Outdoor Gatherings<br />
Rec Metrics
14|IO
Pitching<br />
Campistas<br />
Camping vacations<br />
could be an inroad to<br />
<strong>Hispanic</strong> travelers<br />
According to United States Census figures, one in every three<br />
Americans now belongs to a minority group, though one couldn’t<br />
always tell by looking at the customers of most outdoor retail<br />
shops. And when considering that certain minority populations<br />
are growing at a much faster clip than the overall U.S. population,<br />
it’s no surprise that some within the outdoor industry are looking<br />
at ways to address what’s been called the “demographic shift”<br />
taking place across the country.<br />
Fortunately for folks playing in the camping market, especially<br />
family camping, a recent report from the Travel Industry<br />
Association of America (TIA) notes a significant increase in travel<br />
activity among minority Americans, specifically <strong>Hispanic</strong>, African<br />
and Asian American travelers. While overall U.S. travel grew by<br />
about 2 percent during the last three years, minority travel has<br />
increased by about 11 percent during the same time period. In<br />
2002, TIA estimates that minority travelers generated about 18<br />
percent of all “person trips” taken in the U.S. and 19 percent of<br />
domestic travel expenditures.<br />
That’s good news because the growth is coming exclusively<br />
in “leisure” travel, which is the primary objective of more than<br />
three quarters of all person trips taken, says TIA. The largest<br />
percentage of these trips occurs in the summer months – the<br />
traditional “camping season” – and are made by folks who like<br />
to head to the beach, shop, visit relatives and hit amusement<br />
parks while out vacationing. In other words, it’s many of the folks<br />
camping companies call customers.<br />
And if camping acts as a “gateway activity,” as its been called,<br />
what better opportunity to entice emerging minority markets to<br />
the world of human-powered recreation than a summer camping<br />
vacation? Zeroing in on minority “travelers” in particular<br />
appears attractive since these groups tend to skew higher than<br />
normal in areas such as income and education level, home and<br />
car ownership and access to media, suggests TIA research.<br />
Among the groups of travelers studied by TIA, <strong>Hispanic</strong><br />
American travelers, for many reasons, seem to represent the best<br />
fit for companies dependent on camping goods sales. And lots of<br />
those reasons are matters of simple numbers.<br />
Minority Travel Growth, Person Trips<br />
Taken in Millions<br />
Segment 2000 2002 Growth<br />
<strong>Hispanic</strong> Americans 64.1 77.1 20%<br />
Asian Americans 30.0 33.1 10%<br />
African Americans 72.2 75.2 4%<br />
Total U.S. 997.6 1,021.3 2%<br />
Source: TIA<br />
The Major Minority<br />
For starters, <strong>Hispanic</strong>s now represent the largest minority<br />
group in the nation, accounting for more than 13 percent of<br />
the total U.S. population in 2002 or about 39 million residents.<br />
<strong>Hispanic</strong> travelers also are the most apt to participate in outdoor<br />
recreation among the three groups surveyed by TIA. “Outdoor<br />
recreation” was listed as the second most popular trip activity<br />
among <strong>Hispanic</strong> travelers, behind only “shopping,” with 16<br />
percent of <strong>Hispanic</strong> person trips involving outdoor activities of<br />
one sort or another. That’s slightly more than Asian-Americans,<br />
IO|15
Trip and Traveler Characteristics, 2002<br />
Characteristic<br />
Total U.S.<br />
Travelers<br />
Hisp-Am.<br />
Travelers<br />
which listed “outdoor recreation” as the third most popular activity (14<br />
percent of person trips) and widely ahead of African Americans, for<br />
which outdoor sports (at 8 percent) fail to crack the list of top five most<br />
popular trip activities.<br />
What’s more, camping marketed as a classic “family” activity would<br />
seem to have the most appeal to <strong>Hispanic</strong>s, as “the primary theme for<br />
African-Am.<br />
Travelers<br />
Asia-Am.<br />
Travelers<br />
Avg. households traveling each month 31% 28% 22% 37%<br />
Trip involves “outdoor activities” 17% 16% 8% 14%<br />
Outdoor activity is primary purpose 10% 8% 5% 8%<br />
Trip includes visit to National/State Park 10% 9% 5% 9%<br />
Avg. trip duration (includes 0 nights) 3.4 days 3.8 days 3.3 days 3.1 days<br />
Avg. trip duration (excludes 0 nights) 4.1 days 4.5 days 4.2 days 3.3 days<br />
Avg. trip spending $457 $480 $428 $515<br />
Trips as solo travelers 44% 41% 51% 50%<br />
Party includes adult(s) with children 24% 33% 26% 22%<br />
Household median annual income $56,600 $45,400 $40,500 $73,300<br />
Married household 64% 58% 42% 48%<br />
Avg. age household head 47 years 40 years 45 years 38 years<br />
Household holding Visa card 73% 69% 65% 84%<br />
Household owning PC 82% 77% 71% 91%<br />
Cable TV household 66% 64% 71% 60%<br />
Household considered “young parents” 11% 22% 15% 7%<br />
Source: TIA<br />
<strong>Hispanic</strong> American travelers<br />
is family,” says Suzanne Cook,<br />
TIA senior vice president<br />
– research & technology.<br />
Consider, for example,<br />
that a third of trips taken by<br />
<strong>Hispanic</strong> households includes<br />
children under 18 years old.<br />
Conversely, adults traveling<br />
alone or with someone outside<br />
their household make up 51<br />
percent of African American<br />
trips and 50 percent of Asian<br />
American trips. All the while,<br />
one in four trips taken by<br />
African American households<br />
(26 percent) includes children<br />
under 18, while one in five<br />
Asian American household trips<br />
(22 percent) include children.<br />
<strong>Hispanic</strong> American travelers<br />
also are most likely to include a<br />
group of four or more.<br />
Likewise, according to Census figures, more than half of U.S.<br />
<strong>Hispanic</strong> households (58 percent) have children under the age of 18<br />
at home, compared with just more than a third (36 percent) of total<br />
U.S. households.<br />
<strong>Hispanic</strong> American travelers also tend to be younger than average,<br />
reflecting the generally youthful <strong>Hispanic</strong> population in the U.S. The
States with Highest Projected<br />
<strong>Hispanic</strong> Population, 2005<br />
California 12,268,000<br />
Texas 6,624,000<br />
New York 3,071,000<br />
Florida 2,845,000<br />
Arizona 1,269,000<br />
Illinois 1,450,000<br />
New Jersey 1,196,000<br />
New Mexico 821,000<br />
Colorado 682,000<br />
Massachusetts 524,000<br />
Washington 437,000<br />
Pennsylvania 391,000<br />
Nevada 350,000<br />
Connecticut 332,000<br />
Virginia 322,000<br />
Michigan 289,000<br />
Maryland 258,000<br />
Source: U.S. Census Bureau<br />
median age for U.S.<br />
<strong>Hispanic</strong>s is 25.9 years<br />
old compared with 35.3<br />
for the overall population,<br />
according to Census figures.<br />
More than a third of Latinos<br />
are under the age of 18.<br />
According to the research<br />
group HispanTelligence,<br />
younger <strong>Hispanic</strong>s control a<br />
greater share of their ethnic<br />
group’s total purchasing<br />
power than their non-<br />
<strong>Hispanic</strong> counterparts.<br />
<strong>Hispanic</strong>s age 15 to 34 earn<br />
37 percent of total <strong>Hispanic</strong><br />
income versus 21 percent for<br />
non-<strong>Hispanic</strong> whites, says<br />
HispanTelligence research,<br />
all of which doesn’t hurt<br />
efforts to inject some youth<br />
into the outdoor industry<br />
customer base.<br />
Counting the Dinero<br />
So how big is the potential U.S. <strong>Hispanic</strong> camping market? According<br />
to industry associations, anywhere from 20 to 25 percent of the total<br />
U.S. population participates in camping. If we can assume a 15 percent<br />
adoption rate by the 39 million U.S. <strong>Hispanic</strong>s, there could be up to 5.85<br />
million <strong>Hispanic</strong> campers in the states.<br />
In 2002, NSGA estimated that a base of about 60 million camping<br />
participants purchased about $1.4 billion in “camping equipment” at<br />
retail, or about $23.3 per camper. At 5.85 million <strong>Hispanic</strong> campers, the<br />
market for equipment purchased by U.S. <strong>Hispanic</strong>s could equal more<br />
than $136.3 million annually. At 20 percent penetration, there could be<br />
$181.7 million in <strong>Hispanic</strong> camping equipment purchases.<br />
SGMA, for its part, estimates that camping products created about<br />
$1.7 billion in wholesale value in 2002, spread amongst 58.3 million U.S.<br />
campers (tent and RV), for a wholesale value of $29.1 per camper. At<br />
those figures, the <strong>Hispanic</strong> camping market could have a wholesale value<br />
of $170.2 million, assuming 15 percent participation, and $227 million at<br />
20 percent participation.<br />
Of course, an adoption rate of 15 to 20 percent is a lofty goal and<br />
assumes any industry efforts to target <strong>Hispanic</strong>s would be highly<br />
effective. There are reasons, however, to believe they can be. While much<br />
of the 20 percent increase in <strong>Hispanic</strong> American travel can be attributed<br />
to population growth (<strong>Hispanic</strong>s accounted for half the growth in<br />
population for the entire U.S. from 2000 to 2002), TIA president and<br />
CEO William Norman believes industry efforts deserve at least some of<br />
the credit.<br />
“Every sector of our industry – hotels, theme parks, city visitor<br />
bureaus – has begun to reach out to the minority traveler through targeted<br />
advertising, minority travel guides and special ethnic promotions, and I<br />
think we are seeing the results,” says Norman.<br />
The sheer numbers also instill hope. After all, <strong>Hispanic</strong>s took more<br />
than 77 million person trips in 2002 or 8 percent of all trips taken by U.S.<br />
households. Furthermore, <strong>Hispanic</strong> American travel activity mirrors the<br />
overall population enough to suggest there could be similarities in their
Trail Runner<br />
Same-day<br />
shipping<br />
•<br />
Huge selection<br />
•<br />
100’s of<br />
manufacturers<br />
•<br />
No order<br />
minimums<br />
•<br />
Free freight<br />
programs<br />
U.S. States with Highest Rates of <strong>Hispanic</strong><br />
Population Growth, 1995 to 2015<br />
State Pop. 1995 Pop. 2015 % Change<br />
North Dakota 4,000 11,000 175.0%<br />
Vermont 4,000 10,000 150.0%<br />
Nevada 192,000 460,000 139.6%<br />
Idaho 72,000 160,000 122.2%<br />
Rhode Island 60,000 133,000 121.6%<br />
New Hampshire 13,000 28,000 115.4%<br />
Oregon 150,000 323,000 115.3%<br />
Washington 284,000 605,000 113.0%<br />
Wyoming 27,000 57,000 111.1%<br />
West Virginia 9,000 19,000 111.1%<br />
Minnesota 73,000 150,000 105.5%<br />
Virginia 209,000 429,000 105.3%<br />
Massachusetts 355,000 719,000 102.5%<br />
Maryland 172,000 345,000 100.6%<br />
Arkansas 27,000 54,000 100.0%<br />
Delaware 19,000 38,000 100.0 %<br />
Source: U.S. Census Bureau; Inside Outdoor analysis<br />
camping and recreation adoption.<br />
For example, TIA estimates that each month<br />
during 2002, an average of 31 percent of the 109<br />
million U.S. households took at least one trip,<br />
while 28 percent of <strong>Hispanic</strong> households did<br />
the same. Leisure travel represented 77 percent<br />
of trips taken by both total U.S. and <strong>Hispanic</strong><br />
travelers, and the average length of a trip was<br />
3.4 nights for the total U.S. population and 3.8<br />
nights for <strong>Hispanic</strong> Americans. Additionally,<br />
the summer months are the most popular time<br />
for traveling among both groups, representing<br />
32 percent for each, while total U.S. travelers<br />
spent about $450 per trip versus the $480 per<br />
trip spent by <strong>Hispanic</strong> American travelers.<br />
About 10 percent of total U.S. trips involved<br />
a visit to a National Park or Forest, while 9<br />
percent of <strong>Hispanic</strong> trips did the same.<br />
Destinations<br />
Of course, differences do appear when<br />
looking at things geographically. In 2000, for<br />
example, 66 percent of the nation’s <strong>Hispanic</strong>s<br />
were concentrated in just four states: California<br />
(31 percent), Texas (19 percent), New York (8<br />
percent) and Florida (8 percent), so the market<br />
obviously is much more important to retailers<br />
in those states than in some others.<br />
Moving forward, however, <strong>Hispanic</strong>s are<br />
proving highly mobile, partly due to the fact<br />
that about 53 percent of the recent growth<br />
in <strong>Hispanic</strong> population can be attributed to<br />
net international migration. Recently, regions<br />
such as the Southeast, Pacific Northwest and<br />
Upper Midwest have experienced the highest<br />
growth rates of <strong>Hispanic</strong><br />
residents, according to<br />
Census estimates. Literally<br />
throughout the country,<br />
states not traditionally<br />
known for high <strong>Hispanic</strong><br />
concentrations, such as<br />
North Dakota, Vermont,<br />
Idaho, Washington and<br />
Minnesota, are seeing<br />
some of the highest rates<br />
of growth in <strong>Hispanic</strong><br />
citizens.<br />
Speaking in Tongues<br />
Already, in states such<br />
as California, New York<br />
and Arizona, bilingual<br />
signage at retail, Spanishenabled<br />
ATM machines,<br />
Spanish-speaking sales<br />
and support personnel<br />
and the like are becoming<br />
the norm. That’s likely to<br />
occur in more and more regions over time.<br />
But that’s not to say that every store manager<br />
suddenly needs to take Spanish lessons. Rather,<br />
the Spanish language is more a matter of<br />
marketing strategy than necessity.<br />
Typically, <strong>Hispanic</strong> groups are not overly<br />
resistant to learning and speaking English. It’s<br />
been estimated that as much as two-thirds to<br />
three-quarters of <strong>Hispanic</strong> Americans speak at<br />
least some English. The figures could be even<br />
higher among <strong>Hispanic</strong> American “travelers,”<br />
so language isn’t necessarily a huge barrier.<br />
On the other hand, analysts at research firm<br />
Cheskin argue that 69 percent of <strong>Hispanic</strong>s<br />
prefer to speak more Spanish than English and<br />
thus speak Spanish at home most often. What’s<br />
more, say Cheskin researchers, <strong>Hispanic</strong>s tend<br />
to “embrace their heritage and identity,” and<br />
the Spanish language “represents an emotional<br />
attachment to the culture.”<br />
In other words, for native Spanish speakers,<br />
communication in Spanish is not just functional<br />
but is a manifestation of emotion, says Cheskin,<br />
and that’s because a person’s native language<br />
carries connotations of past experiences, and<br />
the emotional component of language is a<br />
fundamental part of meaning and perception.<br />
Hearing and seeing one’s native language also<br />
works as a type of welcome mat, creating a<br />
comfort zone for conducting commerce.<br />
“Language is a powerful identification tool<br />
for marketing to <strong>Hispanic</strong>s in the U.S.,” says<br />
Cheskin.<br />
The influence of the Spanish language is<br />
best illustrated through <strong>Hispanic</strong> American’s
Aspects of Culture and Tradition<br />
<strong>Hispanic</strong>s View as Most Important to<br />
Preserve<br />
<strong>Family</strong>/commitment to family 56%<br />
Spanish language 54%<br />
Respect for elders/parents 47%<br />
Religion/church 37%<br />
Holidays/celebrations 35%<br />
Food/beverages 33%<br />
Music/songs 27%<br />
Spanish-language stories/books 19%<br />
Source: Cheskin; Yankelovich<br />
consumption of radio and television programming.<br />
According to Cheskin surveys, consumption<br />
of Spanish-language broadcasts is significantly<br />
higher among <strong>Hispanic</strong> Americans despite the<br />
much greater selection of English-only stations<br />
and content.<br />
As far as print media and Internet usage,<br />
which still trend toward English-only content,<br />
Cheskin argues that the preeminence of English<br />
in these formats is due to Spanish-language print<br />
and Internet content and distribution lagging<br />
dramatically behind Spanish-language broadcasts.<br />
Making Waves<br />
Radio is of particular interest, as it seems to<br />
represent the most effective way for local retailers<br />
to reach <strong>Hispanic</strong> audiences. According to<br />
Arbitron figures, <strong>Hispanic</strong> Americans are heavy<br />
radio listeners, averaging more hours of listening<br />
per week (19:15) than non-<strong>Hispanic</strong>s (16:30).<br />
When listening to Spanish-language radio,<br />
<strong>Hispanic</strong>s stay tuned even longer, averaging 21:45<br />
hours listening per week, says the ratings and<br />
media research firm. Ratings data also suggests<br />
that <strong>Hispanic</strong>s spend more time with radio than<br />
newspaper and even television, says Arbitron.<br />
As far as timing, radio listening among<br />
<strong>Hispanic</strong>s starts picking up at 6 a.m. and remains<br />
strong through 6 p.m., at which time it begins to<br />
taper off. Peak listening times on weekends fall<br />
around the noon hour – from 9 a.m. to 3 p.m.<br />
Listening is lowest throughout the week from<br />
midnight to 5 a.m., notes Arbitron.<br />
Again, Spanish-language radio is key, as it<br />
makes up for about half of listening hours. Of<br />
course, as Arbitron is quick to point out, Spanishlanguage<br />
is not a format but is made up of a group<br />
of formats, which includes Mexican Regional,<br />
Spanish Contemporary, Spanish News/Talk,<br />
Spanish Oldies, Spanish Tropical, Spanish Variety<br />
and Tejano. While listed here in order of highest<br />
to lowest ratings on a national level, some regional<br />
variations do apply. For example, while Mexican<br />
Regional is the most popular format in most of the<br />
country (no doubt due to the predominance of<br />
Mexican Americans among <strong>Hispanic</strong> populations),<br />
(Continued on page 38)
(Continued from page 19)<br />
Media Consumption by Language, Average Hours per Week<br />
Media Channel<br />
Television<br />
Radio<br />
Newspapers<br />
<strong>Magazine</strong>s<br />
Books<br />
Origin<br />
Hours<br />
English<br />
Hrs. Spanish/<br />
Other<br />
Spanish Tropical draws the best ratings in New England and Mid-<br />
Atlantic states, while Spanish Contemporary plays best in the South<br />
Atlantic and Spanish Variety in the West North Central, according to<br />
Arbitron figures.<br />
In terms of preferred “Latin Music,” Rancheros, Salsa, Boleros<br />
and Banda are most popular, according to Cheskin surveys. Outside of<br />
Spanish-language formats, adult contemporary and contemporary hit<br />
radio generate solid ratings among U.S. <strong>Hispanic</strong>s.<br />
Otra Opportunities<br />
Beyond the airwaves, ethnic marketing experts recommend tapping<br />
Total<br />
Hours<br />
<strong>Hispanic</strong>s 4.54 7.14 11.68<br />
Non-<strong>Hispanic</strong>s 12.07 0.25 12.32<br />
<strong>Hispanic</strong>s 4.16 5.88 10.04<br />
Non-<strong>Hispanic</strong>s 11.55 0.11 11.66<br />
<strong>Hispanic</strong>s 1.11 0.72 1.82<br />
Non-<strong>Hispanic</strong>s 3.43 0.02 3.45<br />
<strong>Hispanic</strong>s 0.80 0.72 1.52<br />
Non-<strong>Hispanic</strong>s 2.27 0.03 2.30<br />
<strong>Hispanic</strong>s 1.39 1.16 2.54<br />
Non-<strong>Hispanic</strong>s 4.86 0.07 4.93<br />
<strong>Hispanic</strong>s 1.71 0.46 2.17<br />
Internet<br />
Non-<strong>Hispanic</strong>s 5.27 0.04 5.31<br />
Source: Cheskin and People en Espanol `<br />
into <strong>Hispanic</strong>’s deeply rooted sense of family and<br />
community building by utilizing word-of-mouth tactics<br />
and gaining a presence in the places <strong>Hispanic</strong> Americans<br />
live and play. This could include working with local<br />
affinity groups, restaurants and markets, church groups<br />
and the like, as well as presenting relevant signage at<br />
cultural festivals and celebrations. There may never be<br />
a more opportune time to establish such relationships,<br />
because while <strong>Hispanic</strong> Americans make up more than<br />
13 percent of the population and maybe 7 percent of<br />
buying power, it’s estimated that only about 3 percent<br />
of advertising is focused on the market.<br />
Still others have had success using direct mail<br />
campaigns in neighborhoods with high <strong>Hispanic</strong><br />
American concentrations. Across all efforts, again some<br />
familiarity with the Spanish language helps portray a<br />
store or operation as being part of (or at least open to)<br />
the “community” and “culture.”<br />
Finally, marketing imagery that focuses on the “family”<br />
aspects of camping (relaxing with relatives or preparing<br />
meals with children, for examples) should prove much more effective than<br />
the “adventurous” photography often used by outdoor companies.<br />
As <strong>Hispanic</strong>s become the dominant minority in the U.S. (and in<br />
some cases the majority), many marketers feel content waiting for<br />
a “mainstreaming” of the segment, for a time when <strong>Hispanic</strong>s have<br />
assimilated enough to be captured by traditional advertising and<br />
promotional efforts. This may be the easiest path. But as the <strong>Hispanic</strong><br />
culture becomes more prevalent, and thus is validated, it’s likely<br />
<strong>Hispanic</strong> Americans will influence the mainstream as much as they<br />
assimilate to it. IO<br />
Advertiser Index<br />
Adventure 16 18<br />
American Hiking Society 25<br />
ASF Group 27<br />
Atwood Ropes 39<br />
Cam Commerce Solutions 17<br />
Clear the Air 35<br />
Cyclops 11<br />
Durapeg 37<br />
General Ecology 19<br />
HEC 3<br />
Implus/Sof Sole 5<br />
Kelty 16<br />
Kiva Designs 19<br />
NRS 23<br />
Paha Que 13<br />
Peregrine Outfi tters 21<br />
Polarguard 40<br />
Sevylor 7<br />
Sun Company 26<br />
Swarovski Optik 2<br />
TallySoft 31<br />
FREE SUBSCRIPTIONS<br />
Subscriptions to INSIDE OUTDOOR magazine are free to those working in the outdoor products<br />
value chain. Simply go to www.insideoutdoor.com and click on the subscribe link. Fill out the form<br />
completely and you will start receiving the magazine within six weeks.<br />
PAID SUBSCRIPTIONS<br />
Professionals related to the industry but not within the qualifi cation catagories may<br />
purchase a one-year subscription. Basic rate: U.S., $59; Canada, $99; foreign, $199.<br />
(U.S. funds only). Please call 678-560-4388 to place your order.<br />
ADDRESS CHANGES, RENEWALS and CANCELLATIONS<br />
Go to www.insideoutdoor.com and click on the subscribe link. For address changes<br />
and renewals, simply fi ll out the form, submit it and your subscription will automatically<br />
be renewed with your most current information. To cancel your subscription, go to the<br />
“Cancellations” header, click “here” and follow the instructions.<br />
CORRESPONDENCE<br />
Send letters to the editor via email to Martin Vilaboy at martin@dagdamor.com. All other<br />
correspondence should be directed to INSIDE OUTDOOR 1938 E. Dawn Dr., Tempe AZ 85284<br />
PRESS RELEASES<br />
INSIDE OUTDOOR magazine welcomes press releases and any other information relating<br />
to the outdoor products value chain. Releases should be emailed to Martin Vilaboy,<br />
martin@dagdamor.com<br />
REPRINTS<br />
For high-quality article reprints, minimum of 100 quantity, please contact the publisher at<br />
480-203-2513.<br />
ADVERTISING<br />
For a media kit or information about advertising, call Berge Kaprelian at (480) 503-0770,<br />
berge@dagdamor.com