Posted by Elena del Valle on November 8, 2010
Dunkin Donuts Hot Coffee and Iced Coffee Silo
Photos: Dunkin Donuts, Starbucks, Nespresso
If you are 45 and older and a coffee aficionado you are in good company. Fear not that your cup of jobe will disappear anytime soon. The number of coffee drinkers and the amount of coffee they drink has remained about the same in the last few years. Adults 45 and older, especially those 55 and older, are where the highest demand for coffee is today. This market segment is likely to drive coffee sales between 2010 and 2015.
Think the price of good old coffee has skyrocketed? You are right. Growth in the coffee market lately has been driven mostly by the higher prices paid for coffee. A more modest percent of the growth is from coffee lovers’ increase in consumption.
Starbucks Mocha Light Frapuccino
It is true that the economic downturn has resulted in a reduction of ready-to-drink (RTD) coffee purchases. As Americans watch their wallets and their waists demand for some sugary RTD products and heavily processed related products that are expensive and high in calories may continue to wane.
Before adjusting for inflation, retail sales of coffee including ground, whole bean, instant and RTD products grew 19 percent in five years, from $6.1 billion in 2005 to $7.2 billion in 2010, according to recent data from Mintel, an international research company.
An example of this has been the United States invasion by Swiss coffee maker Nespresso. In the last years the company which tightly controls sales of its coffee making machines that only accept Nespresso capsules sold exclusively at brand boutiques and by mail has made significant inroads in the luxury coffee market. Nestlé owned Nespresso has 190 boutiques in 50 countries, according to the company website.
“While we have grown exponentially in the United States over the past few years, there is still a large, un-tapped coffee-loving population that is not engaged in the Nespresso brand,” said Frederic Levy, president, Nespresso North America, in a press release. Company representatives did not respond to requests in writing and phone calls to the multinational’s Swiss headquarters and North American offices.
Nespresso machines only work with Nespresso capsules sold exclusively by Nespresso
There are 13 Nespresso stores in North America. Of those, there are 10 company operated boutiques in the United States, including Nespresso’s flagship Boutique Bars in New York City and Miami, and one in Boston as well as a Boutique-in-Corner location at Sur La Table in Scottsdale, Arizona, and five Boutique-in-Shop locations at Bloomingdale’s in SoHo, New York, Chevy Chase, Maryland, Chicago, Illinois, and San Francisco and Costa Mesa, California.
In the first half of this year Nespresso’s sales in the United States and Canada increased 45 percent. Levy indicated in a Reuters interview in September 2010 that his company is targeting annual growth of 35 percent in the region for the next five years, hoping there is continuing demand for high end coffee products.
Mintel experts expect coffee sales growth to continue steadily over the next five years. Notable exceptions are instant coffee (except among Hispanics), which has exhibited a decline in the past five years and RTDs which are expected to show only minimal growth in the next few years.
As older adults’ consumption wanes today’s young coffee drinkers and their preferences will become more attractive to coffee sellers. According to the Mintel study, young adults and teens consume much less coffee than older adults often preferring energy drinks to coffee. When they drink coffee they do so at cafes where they often select cream and sugar enhanced coffee drinks like Starbucks’ Frappuccino. Tea, especially among Asians, is another competitive product. Forward planning coffee companies may wish to launch products to target these desirable market segments.
Hispanics, according to popular belief and the Mintel study, love coffee. Because this market segment is booming, along with other emerging markets (Asians, African-Americans and Hispanics account for 80 percent of the growth in the United States according to the Geoscape 2010 American Marketscape DataStream report), it will probably be behind a significant part of the anticipated coffee products growth in the next five years.
Posted by Elena del Valle on October 29, 2010
HispanicMPR.com listed in fourteenth place of Top 100 PR Blogs at From PR to Eternity (http://www.fpte.co.uk/2010/01/12/worlds-top-100-pr-blogs-january-2010/), Matthew Watson’s blog.
Watson explains that “The list is by no means perfect since it only features blogs on the AdAge Power 150 with PR, Public Relations, Publicity or Flack in the title, and a few others that have been suggested to me by commenter’s. Although it’s just a bit of fun I think it’s still a fairly decent indicator of the world’s top PR blogs.”
A senior account executive at Speed Communications, Watson writes about online marketing and public relations. A while back he compiled a list of what he thought were the top public relations blogs listed on the AdAge Power 150. The list is, according to his site, still one of the most popular pages on his site.
Posted by Elena del Valle on October 11, 2010
Is it possible, like in the popular television program Lie To Me, to identify words (in the show they use nonverbal cues) to know when someone, especially a senior executive, is lying? Can a simple analysis of executives’ language separate truthful executives from fibbers accurately?
David F. Larcker and Anastasia A. Zakolyukina, graduate business students at Stanford, analyzed the language used by chief executives (CEOs) and chief financial officers (CFOs) in the United States between 2003 and 2007 by examining the transcripts of 30,000 quarterly earnings conference calls. They assumed that CEOs and CFOs would be aware of any manipulation of the company’s financial records. They relied on psychological studies that indicate when people may be fibbing by examining the language they use to draw conclusions about the conversations.
The two students shared their thoughts in a 69-page paper titled Detecting Deceptive Discussions in Conference Calls published July 2010 at the Stanford Graduate School of Business. They believe their linguistic classification models have an above average accuracy rate of between 50 and 65 percent.
It appears the deceptive executives are more likely to make more references to general knowledge (“as you know…”), refer less to shareholder value, and use fewer “non-extreme positive emotion words” to “sound more persuasive” while bluffing. Also, they use the third person and avoid saying “I.”
The researchers believe the executives on the calls rehearsed or were possibly coached because they relied less often on “hesitation words” such as “um” and “er.” According to their analysis, the pattern of lies is different between CEOs and CFOs.
At the same time the authors of the paper were unable to separate those who knowingly lied from those who did so unwittingly. They believe lack of context and background detract from the findings. In their conclusion they point out that because the large sample they used for their research is of big and profitable firms they may not expand their conclusions to the general population of companies.
Critics (see “How to tell when your boss is lying,” The Economist August 19, 2010) point out that although the results of the study are significant eventually the executives will just seek out more and better public relations coaches to help them prepare and carry out their deceit more effectively than during the calls examined in the study by preparing them to say the things that are expect of truthful speakers.
Posted by Elena del Valle on September 27, 2010
Illegal Immigrants United States 2008-2009 – click to enlarge
As the recession hit the United States it also affected employment including employment of the undocumented. In spite of all the controversy around Arizona’s anti illegal immigrant legislation and federal troops heading to our southern borders there are fewer illegal immigrants in our country now than in recent years.
According to the Migration Policy Institute, a Washington, DC organization, the number of foreigners illegally in the United States is down from an estimated 12.1 million in July 2008, to 11.9 million a year later, and less now. Another telltale indicator that immigrants, like everyone else, have been affected negatively by the economy is the drop in remittances from the United States south. The Institute website sites anecdotal evidence that some Mexican families have sent money to their relatives in the Unites States to help them. Even the demand for visas was down compared to previous years, according to visa statistics sited by the Institute.
Because many immigrants share demographic characteristics with the groups most likely to be affected by the recession such as youths, the uneducated, and new members of labor force often they have been more likely to be victims of the recession; and foreign-born workers are also overrepresented in the construction, manufacturing, leisure and hospitality, and support and personal services industries which have been especially affected by the downturn in the economy, according to the Institute.
The United States is not alone in dealing with immigration issues. A report published recently by the Organization for Economic Co-operation and Development (OECD), which tracks changes in 29 developed countries, indicates that in 2008 the migration of people to developed countries decreased 6 percent to 4.4 million and probably fell more last year. In the five years prior to the recession, movement of migrants into developed countries was high. In spite of the economic hardships few, including the illegal immigrants in the United States, returned to their countries of origin.
Posted by Elena del Valle on September 20, 2010
Click to enlarge
Declining media coverage due to fewer and smaller media outlets has affected marketing and media relations, particularly in the last few years. Further evidence of that is the decline, partly because of the recession, of employment opportunities for journalism and communications university graduates. This may have a medium and long term effect on others who deal with and rely on journalists and communicators to make their living.
In addition to the many challenges resulting from the changes in media formats and workforce reduction in recent years journalism graduates, especially those from ethnic and racial backgrounds, are encountering difficulties finding gainful employment in their area of study. A new report by the University of Georgia resulting from a survey of 2,700 journalism and mass communication students who graduated in 2009 revealed the lowest level of full-time employment in the 24-year history of the study.
Of the 2009 journalism and communication bachelor degree holders who responded to the survey only 55.5 percent were able to find full-time work within a year of graduating. That represents 4.9 percentage points decline from the year before. It is also significantly different from the 2007 figures when 70.2 percent of graduates found employment. Graduates receiving a masters degree also had trouble finding work; the employment rate dropped from 65.4 percent in 2008 to 61.9 percent in 2009.
Ethnic and racial minorities, according to the survey results, suffered more than other graduates. Only 48.6 percent of 2009 minority graduates compared with 63.9 percent of non-minority graduates found full time work. The 15.3 percent difference was three times as large as the gap between minority and non-minority graduates of the previous year (5.9 percent), representing the largest difference in the history of the University’s survey.
Also, survey responses indicate an increase in the number of 2009 graduates working with the internet. More than half (58.2 percent) of 2009 bachelor graduates with communication jobs said their work involved Web writing and editing compared to 50.6 percent who said that the year before.
The Annual Survey of Journalism & Mass Communication Graduates is conducted each year in the James M. Cox Jr. Center for International Mass Communication Training and Research at the University of Georgia. This year’s report was written by Lee B. Becker, Ph.D. Tudor Vlad, Ph.D., Paris Desnoes and Devora Olin.
Posted by Elena del Valle on August 30, 2010
BlackBerry cell phone
Photos: AT&T, Verizon
An increasing percentage of people in the United States is taking advantage of cell phone and wireless laptop access to the internet. According to the results of a Pew Research Center’s Internet and American Life Project survey released in July 2010, 59 percent of adult respondents said they access the internet with a wireless system through a cell phone or laptop computer. In 2009, 51 percent of survey respondents said they accessed the internet with a wireless system through a cell phone or laptop computer.
In the last year, 47 percent of adults said they went online with a laptop WiFi connection or a mobile broadband card. This represents an increase compared to 39 percent who said they did that in April 2009; 40 percent said they access the internet, email or instant messaging on a mobile phone compared with 32 percent who said they did that in 2009.
Verizon and ZTE USA AD3700 USB modem
People are also using non voice phone applications more than in the past. More people are taking pictures, 76 percent compared to 66 in April 2009; 72 percent send or receive text messages compared to 65 percent in 2009; 38 percent access the internet compared to 25 percent in 2009; 34 percent play games compared to 27 percent in 2009; 34 percent send or receive email compared to 25 percent in 2009; 34 percent said they record a video compared to 19 percent in 2009; 33 percent said they play music compared to 21 percent in 2009; and 30 percent send or receive instant messages compared to 20 percent in 2009.
Contrary to a recent Pew Hispanic Center report that indicated Latinos lag behind in their use of technology compared to the general population (see Latinos lag behind in use of technology compared to non Latinos), in this survey researchers concluded that African-Americans and English-speaking Latinos, remain among the most active users of these technologies. The Pew Hispanic Center report included Spanish dominant Latinos while this one only mentioned English speaking Latinos. More African-Americans and Latinos, 87 percent, own cell phones than whites 80, according to the survey responses.
They also use more of their phone’s features compared with white mobile phone owners. This year more African-Americans (64 percent) said they access the internet from a laptop or mobile phone, compared to 57 percent who said they did in 2009.
“The Hispanic consumer market is one of the fastest growing in the U.S. and is very attractive to wireless providers, not just in terms of growing population but also in terms of usage. Hispanics over-index in almost every category: They use more minutes, they make more long-distance calls, they text more, and they download more ringtones” said Kelly Starling, spokesperson, AT&T.
The report, Mobile Access 2010, released July 7, 2010 is based on the findings of a daily tracking survey on Americans’ use of the internet. The data is from telephone interviews, in English, of 2,252 adults 18 years old and older conducted by Princeton Survey Research Associates International between April 29 and May 30, 2010.
Posted by Elena del Valle on August 19, 2010
We recently found out by a comment from an audience member and then an email reply to Harald Vogt’s email address of his passing. The email said, “Caroline Pieper-Vogt and the family of Harald Vogt regret to inform you of Harald’s recent passing. All Scent Marketing Institute projects, newsletters and events are on hold until further information is available. The Vogt family thanks all for their help and support.” Although a phone call was unanswered we confirmed the news online at Tributes.com, http://www.tributes.com/show/Harald-Vogt-89044965
Earlier this year Harald contributed two Guest Articles to HispanicMPR. In addition HispanicMPR is a Media Partner to The Scent Marketing Institute’s Scent World 2010 event November 17-19, 2010 on Miami Beach, Florida. We extend our condolences to his family and friends.
Posted by Elena del Valle on August 18, 2010
Spanish language signage at a cell phone store
Photos: AT&T, Sony
A bird’s eye view of Latinos across the country reveals lower use of technology than that of non Latinos. Also, age and language preference are indicators of technology use. Older Latinos rely on technology less than young ones. Spanish dominant Latinos use of technology is lower than that of English dominant and bilingual Latinos.
More than two thirds (78 percent) of non Latino adults (18 and older) go online compared to 64 percent of Latinos of the same age; and 86 percent of non Latinos use cell phones while 76 percent of Latinos use cell phones.
At the same time, when it comes to the use of technology not all Latinos are equal. United States born Latinos use of the internet and cell phones is higher than that of foreign born Latinos. Latinos born in the United States are much more likely to use technology, especially the internet, than foreign born Latinos, according to a Pew Hispanic Center report released recently. The report, written by Gretchen Livingston, senior researcher, Pew Hispanic Center points to a significant difference between the two groups. The Pew Hispanic Center is a research organization that seeks to improve understanding of the U.S. Hispanic population.
For example, 85 percent of Latinos 16 and older born in the United States rely on the internet while only 51 percent of their foreign born counterparts surf the digital world. When it comes to cell phone use the difference is less marked: 80 percent of United States born Latinos use a cell phone while 72 percent of foreign born Latinos do so.
Sony Vaio J computer
If we look at technology use among young people in the United States the difference is also clear. Nearly all (96 percent) non Hispanic youth between 18 to 25 years of age surf the internet while only 77 percent of Hispanics go online. Eighty-two percent of non-Hispanics ages 16 and 17 use a cell phone while 72 percent of Hispanics of that age do so. Ninety-four percent of non Hispanics aged between 18 and 25 use a cell phone compared with eighty percent of Hispanics.
If we look at technology use among people 55 and older, there is still a difference between Latinos and non Latinos. Among non Latinos 75 percent use cell phones and 57 percent use the internet while only 60 percent of Latinos in that age group use cell phones and 42 percent use the internet.
When it comes to going online language preference is a key factor. A majority of English dominant (87 percent) Hispanics 16 and older and bilingual (77 percent) Hispanics are more likely to use cell phones than Spanish dominant Latinos (35 percent).
This report was based primarily on the 2009 National Survey of Latinos, conducted from August 5 through September 16, 2009 among a randomly selected, nationally representative sample of 2,012 Hispanics ages 16 and older. The survey was conducted in English and Spanish on landline and cellular phones.
Posted by Elena del Valle on August 17, 2010
WiredLatinos Directory, owned by Mygritomedia LLC, a new online directory offering paid and free listings, added HispanicMPR.com to its directory. WiredLatinosDirectory.com was launched by WiredLatinos.com.
According to the website, the directory is edited by humans. Company executives hope to compile “the most comprehensive list of Latino owned, managed, targeted and community serving websites.” See the HispanicMPR.com listing at http://www.wiredlatinosdirectory.com/hispanicmpr-com/
Posted by Elena del Valle on August 16, 2010
Reading, math scores by race/ethnicity – click to enlarge
Chart, photo: Center on Education Policy, CommunicationWorks
A colleague pondered out loud the other day: “In future decades how will marketers target America’s increasingly large emerging markets?” Although Asian American students are doing better than their emerging market counterparts, reading (and math) proficiency is low among Latinos and blacks compared to other students. If the young adults of the future can’t read will general marketing emphasize the visual and audio formats that they are able to consume?
In spite of some modest gains in test scores among Latinos in recent years, education gaps appear to be a serious problem that is not going away anytime soon. According to a recent report on Latino performance in school, in California, the state with the largest Latino enrollment, Latino students were the lowest-performing subgroup in reading at all grade levels.
On the last day of June 2010 the Center on Education Policy (CEP) released a series of reports on the performance of Latino, African American, Asian American, Native American and white students on state reading and math tests. The reports also examine the implications of CEP’s findings about achievement for each ethnic/racial subgroup.
Although Latinos still perform well below Asian American and white students on state tests and many issues remain to be resolved when it comes to education, especially in states with a high percentage of Latinos, according to the results of the reports, some Latino students are performing better on state reading and math tests than in the past.
Between 2002 and 2008 for grades four, eight and the high school grade assessed for the No Child Left Behind (NCLB) Act the performance of Latino students on state reading and math tests improved in most states.
At the same time according to the report as a group, African American students were often the lowest-performing racial/ethnic subgroup in 2008 on state reading and math tests at grades four, eight, and the high school tested in the majority of the states with sufficient data, as well as in the nine states with the highest numbers of African American test-takers. In contrast, as a group, Asian American students often outperformed other racial/ethnic subgroups in reading and math at grades four, eight, and the high school grade tested. In high school reading, however, white students did better than Asian American students in most states with sufficient data and sufficiently large Asian subgroups.
Despite gains, the Latino subgroup still remains among the lower-performing racial/ethnic subgroups on state tests. Across all states with adequate data, median percentages proficient for Latino students in reading and math in 2008 were well below those of the Asian and white subgroups. For example, in grade eight math the medians were 55 percent for Latino students, compared with 86 percent for Asian students and 77 percent for white students. Latino students were somewhat above or similar to medians of African Americans at 46 percent and Native Americans at 54 percent.
Jack Jennings, president and CEO, CEP
In 2008, Latino students were the lowest-performing racial/ethnic subgroup in at least one subject/grade combination in 11 states with sufficient data for the study. The achievement for Latino students in 2008 was slightly more negative in the five states that together enroll more than 70 percent of the nation’s Latino students California, Texas, Florida, New York and Arizona.
“These increases in test scores for Latino students are encouraging, but the achievement level of Latino students is nowhere near where it has to be,” said Jack Jennings, president and chief executive officer, CEP. “Latino students are the largest ethnic minority group in many states and are the fastest-growing nationally, and therefore it is crucial to improve achievement for these students.”
CEP analyzed 2008 state test results and trends since 2002 in the Latino-white achievement gap and in the percentages of Latino students reaching various achievement levels. Their findings were drawn from test data, gathered by CEP, from all 50 states.
The Latino student report indicates that states with increases for Latino fourth graders since 2002 outnumbered states with decreases at the basic, proficient, and advanced achievement levels. Latino students have also improved achievement at grades four, eight, and the tested high school at a fast enough rate to narrow gaps in the percentage reaching proficient in reading and math in a large majority of the states with sufficient data. Since 2002 gaps narrowed more often than they widened, according to the mean test scores results.
The researchers concluded that the “relatively low performance of Latino students, who in less than a generation will comprise roughly three in ten American children, is an urgent issue. The nation’s economic and social well-being will be compromised without efforts at all levels of government to develop policies to increase achievement for Latino young people.”
Based in Washington, D.C., and founded in January 1995 by Jack Jennings, the Center on Education Policy is “a national, independent advocate for public education and for more effective public schools.” According to a press release the Center represents no special interests. The Center strives “to help citizens make sense of the conflicting opinions and perceptions about public education and create conditions that will lead to better public schools.”
