Grocers stock shelves to meet need of growing Hispanic purchasing power
Wednesday, May 23, 2007
BUTLER COUNTY — Whether a small grocer or a national chain, retailers are trying to stock their shelves with drinks and other products that appeal to Hispanics.
And no wonder. According to a study recently issued by Research and Markets, that group's purchasing power is expected to climb from $737 million in 2005 to $1.1 billion in 2010.
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Locally and nationally, Hispanics represent a swelling market. Butler County, for example, added 2,700 Hispanic residents between 2000 and 2005, up 56 percent to 7,500, according to the U.S. Census Bureau.
The May 17 report, which focuses on beverage-drinking patterns of Hispanics, found that they are more likely than non-Hispanics to drink sports and energy beverages, for example. In addition, the report states that group is more likely to buy a beverage after trying a free sample.
When it comes to alcohol, Hispanic customers at the Guerrero Mini Market on Dixie Highway prefer domestic beers such as Budweiser and Coors Light, said manager Dionys Del Rosario. Imported brews from south of the border — such as Tecate and Dos Equis — don't sell as well because the American versions have less alcohol, but a strong taste, Del Rosari said.
As for nonalcoholic drinks, canned coconut water has been popular with Hispanic clients of all ages, he said. Energy drinks and Mexican sodas also are popular, though not as much as the coconut water, he said.
"My biggest things here are my cigarettes and beers," he said.
At La Raza, a restaurant and market in Middletown, Jarritos, the Mexican soda, accounts for about 75 percent of soft drink sales, said owner Jose Bravo. Domestic sodas — such as Coke and Pepsi — make up the rest, said Bravo, who doesn't sell alcohol.
As in Hamilton, customers snap up Coco Foco, a canned coconut water, and various flavors of Jumex, a fruit juice made in Mexico, Bravo said.
Mainstream retailers such as Kroger also are emphasizing beverages and other products that appeal to Hispanics, said Art Wulfeck, a Kroger spokesman. At its stores in Middletown and Hamilton, as well as throughout the chain, the company carries the Jarritos, Goya and Jumex brands, Wulfeck said.
Targeting this segment makes sense for the grocery chain, he said.
"It's a growing population," he said.
Contact this reporter at (513) 820-2112 or ttresslar@coxohio.com.