KFC, McDonald’s share Hispanic-marketing strategies

The way franchisors see the world is always changing. As the population of Spanish-speaking consumers continues to grow, now more than ever having a plan to reach this demographic can weed out the competition. Many large universities even offer Hispanic marketing as a major these days. With marketing toward a demographic as dynamic and expansive as Hispanics, it is crucial to take into consideration the differences that each specific culture brings to the table. KFC and McDonald’s, two of the largest and most well-known brands for their ability to capture the essence of Latino culture and successfully push the correct message outbound, spoke with 1851 Magazine about marketing strategies for reaching Hispanics. Their insights illuminate the differences within the Hispanic demographic and how different strategies address all those nuances. Fragmentation No two Spanish-speaking countries are the same, and while to the untrained ear Spanish just sounds like Spanish, that couldn’t be further from the truth. Brands need to have a plan and must do their homework before trying to connect with the Hispanic consumer. “Although McDonald’s continues to evolve when it comes to marketing to consumers, the Hispanic consumer has long been a focal point in our marketing strategy,” said Patricia Diaz, director of U.S. Hispanic marketing for McDonald's. “In fact, dedicated marketing efforts have gone back a long way, from our leading national advertising agency, who has been with our business for more than 20 years.” With McDonald’s, time is on their side. They have been doing this for years and have compiled a long list of cultural norms and differences. KFC, much like McDonald’s, understands that language isn’t the only difference between Hispanic cultures. Dan Franklin, chief creative officer for Creative Alliance, the marketing agency responsible for KFC’s most recent Hispanic-facing campaign, said that they always look to identify these little nuances and differences in culture when conducting their focus groups. “From the creative side and from casting, we are very aware of and cognizant of that,” Franklin said. “We don’t always try to be neutral.” Even within a single home, brands could be trying to reach three generations of people, each with a unique consumer perspective. Commonalities So how franchise companies get their message across in a meaningful way? According to Rico Nieto, the vice president of multicultural marketing for Creative Alliance, one of the ways KFC does it is trying to find the commonalities through cultural cues. "It is important to have a clear understanding of the demographics you’re going after," said Rodrigo Coronel, brand public relations manager for KFC. "There are many layers of complexity, but there are things that unite and connect people in this demographic." Coronel went on to say that there are indeed universal themes that connect the Hispanic community: a passion for life, family and music. “We are very aware of the differences among our Hispanic customers,” Diaz of McDonald’s said. “We also know that our customers consume media in both Spanish and English, depending on their comfort level. As an example, this last World Cup we found many bilingual Hispanics watching the matches on Spanish-language networks because, culturally, it was a more relevant experience.” Finding commonalities across cultures can be extremely difficult without extensive research, but if brands pay attention to the details, you can use these themes to control messaging and have a more desirable outcome. Outcome The great opportunity right now for brands is that they can target, test and communicate their message through social channels. Coronel said social media provided a great way to adjust the messaging and tie in clues to identify what may or may not be working in a campaign. “We find that targeting our effort to the Hispanic consumer allows us to ensure we lead with the right cultural insights that are relevant,” Diaz said. “Today, this is a holistic approach, which includes marketing, media, communications and activations for our Hispanic segment.” Diaz also went on to say that the insight is a simple but true one for many Hispanics: bicultural households with a shared passion. As the population of Hispanics in the U.S. continues to rise, a blend of cultures continues to form, brand officials said. So much so that in time franchise companies may find that “Hispanic marketing” becomes just “marketing.”