|13% of all U.S. first-time home buyers are Hispanic.
The home improvement chain plans to increase its Hispanic ad budget to about $30 million in 2004, making it one of the largest account moves in the Latino market, according to the company. The review included incumbent Casanova Pendrill Publicidad, Irvine, Calif., which is 49% owned by Interpublic Group of Cos.
Creative and media
Vidal will also handle media planning and buying. Home Depot last year spent $523 million on measured media, according to TNS Media Intelligence/CMR.
The home improvement sector is heating up. In March Ikea hired its first Hispanic agency, Anita Santiago Advertising, Santa Monica, Calif., to handle efforts aimed at California's large Hispanic population. Ikea has said the company expects to eventually have a national Hispanic effort. Until now, the company has mainly adapted English-language ads done by its lead agency, Crispin Porter & Bogusky, Miami, for Spanish-language media. This summer a Spanish-language Ikea catalog will go into stores.
Increasing home ownership
Hispanics now account for 13% of first-time home buyers. Home ownership among Hispanic households has grown from 41.2% in 1994 to 46.7% in 2003, according to data from the U.S. Department of Housing and Urban Development. But that figure still lags far behind the 68.3% for all households, and several government programs are targeting an increase in Hispanic home ownership.
In a separate account move last week by a marketer looking to raise its profile in the Hispanic market, spices and seasonings maker McCormick & Co. moved its Hispanic account to Grupo Gallegos, Long Beach, Calif., from K. Fernandez & Associates, San Antonio, Texas, after a review.