These categories display excellent potential as cross-promotion candidates. The next step for this manufacturer was to determine what percent of their current packaged detergent buyers are already buying their brand in these two categories. Any experienced marketer will agree that in order to identify categories that may offer opportunity for growth, you must first identify which categories are more important to your target consumer. The buying rate index shows to what extent the average Hispanic household purchasing a category spends relative to the average non-Hispanic household. Indices greater or equal to 120 indicate higher than expected spending on that category.
Penetration provides an indication of the overall size of the Hispanic buyer group.
Given the high buying rate index, marketers should consider larger size packages and should evaluate how well their brand is doing within these categories among Hispanics. These categories include canned milk, frozen juices and drinks, frozen orange juice and pineapple juice. These are categories that Hispanics are buying heavily. Marketers may need to broaden reach among the Hispanic community through advertising, promotion and distribution. Those who do buy are lighter buyers than non-Hispanics.