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The Hispanic Opportunity: An Analysis of Consumer Packaged Goods Manufacturer and Retailer Performance among Hispanic Consumers

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As the landscape of the mass channel of retailing has become increasingly competitive, the leading mass retailer in the world, Retailer A*, has identified the Hispanic market as their last organic growth opportunity within the United States. In this pursuit, Retailer A has named Manufacturer A., the largest food and…

As the landscape of the mass channel of retailing has become increasingly competitive, the leading mass retailer in the world, Retailer A*, has identified the Hispanic market as their last organic growth opportunity within the United States. In this pursuit, Retailer A has named Manufacturer A., the largest food and beverage manufacturer in the world, as their sole category advisor for the Hispanic market across their entire store. Developing aligned strategies that leverage the size and power of these partners creates the potential opportunity for both organizations to benefit from increased profits and increased market shares. Manufacturer A has performed extensive research on the Hispanic market in order to gain a deep understanding of who Hispanic consumers are and the unique shopping behaviors they exhibit that make this market the most profitable ethnic group in the US.** Along with this research, an analysis of the top eight Manufacturer A brands’ performances at Walmart reveals that although both organizations already have footholds within the Hispanic market, there still remains large opportunities for growth. Through prioritizing business and marketing strategies aimed at appealing more to Hispanic consumers at Retailer A, Manufacturer A stands to potentially gain over $39M in incremental sales from this partnership.

* All company, brand, and product names have been redacted to protect confidentiality.
**All market demographics and statistical market information mentioned hereafter were originally researched and verified by Retailer A. Information mentioned throughout this paper was sourced from internal company documents.
ContributorsWay, Anneliese (Author) / Dietrich, John T. (Thesis director) / Grebitus, Carola (Committee member) / Morrison School of Agribusiness (Contributor) / Department of Marketing (Contributor) / Dean, W.P. Carey School of Business (Contributor) / Barrett, The Honors College (Contributor)
Created2019-05