Hispanic Market Wields Big-Time Buying Power

America´s immigrants are high in the news today, with most of the current focus on Hispanics. What do Monday´s boycott and protests have to do with retailers? Plenty. Take a look at these statistics from the United States Hispanic Chamber of Commerce.

Purchasing power — U.S. Hispanic purchasing power stands at $700 billion and is projected to reach $1 trillion by 2010. Current Hispanic purchasing power is 8.5 percent of total U.S. purchasing power, but will reach 11 percent by 2010. The $700 billion estimate does not include revenue generated by undocumented workers in the United States or by the more than 4 million people who live in Puerto Rico.

Net worth — The net worth of U.S. Hispanics passed $534 billion in 2000, a 30-percent increase since 1998.

Who are they? — By mid-century, 25 percent — one out of every four people in the United States — will be Hispanic. Hispanics are the largest minority in the United States with an estimated population of 41.3 million.

How old are they? — The median age for Hispanics is 25.8 years — 10 years younger than the median age for the United States as a whole. Hispanic youth account for more than 34 percent of the total U.S. Hispanic population and more than 18 percent of the total U.S. youth population. By 2020, Hispanic youth will make up 23 percent of all U.S. youth.

Do they have money? — Indeed they do. The number of prosperous Hispanic households — those with incomes of at least $100,000 — rose 137 percent between 1990 and 2000.

Where are they? — In 2002, the 10 states with the largest Hispanic markets by spending power were: California, Texas, Florida, New York, Illinois, New Jersey, Arizona, Colorado, Georgia and New Mexico. The states with the fastest-growing Hispanic populations are: Nevada, Washington, Oregon, Massachusetts, Virginia, North Carolina and Florida.

Sources: U.S. Census Bureau, Selig Center, HispanTelligence and Pew Hispanic Center

Coming up next: Meet a real, live retailer.