One on the most common comments made about Hispanics in the U.S., as mentioned by Forbes, is “I understand the significant population growth, but this is a low-income segment, they don’t have the [purchasing] power my brand is looking for.” Well, the best retort to that comment is real data.
The household income of Hispanics in the U.S. has been growing over the past decade! Today, there are more than 2.4 million Hispanic households in the U.S. with an annual income at or above $100K, as Forbes reported in the same article.
The annual growth rate of upscale-affluent households in the U.S. between 2011 and 2014 was 5.8%; between 2014 and 2015 it was 6.6%. The Hispanic affluent households earning over $100K a year have expanded at 9.2% annually since 2011. That rate of growth is twice the 4.5% rate of growth seen in affluent, white, non-Hispanic households.
As the data shows, there are 2.4 million households with incomes above $100k and, as we mentioned in a previous blog, we saw “an increase in the affluence of Hispanic households during the past decade in the income bracket of $200,000 or more, from 2005 to 2015.”
The Hispanic community has the income and the buying power, so don’t underestimate the opportunity to work with this community. Help them to use that income to invest in the best investment available in this country – homeownership!