Mike Valdes-Fauli: Culture is More Than a Moment
The Chief Operating Officer of Chemistry—and President of its multicultural division, Chemistry Cultura—explains how Marketers can forge meaningful connections with today’s hispanic audiences.
“Culture increasingly matters more than language. Connect with the culture, and you will succeed at communicating even when you have barriers to overcome.”
When Chemistry, led by Ned Show, approached Pinta, Mike Valdes-Fauli's agency, looking for a multicultural offering, it made perfect sense for them and their teams to align. Together they carved out an exciting future where clients receive expertise from multicultural marketers. Mike and his team ultimately sold Pinta to Chemistry, creating Chemistry Cultura, a marketing catalyst for change.
Mike sat down with The Continuum to discuss best practices for marketing to Hispanic consumers and the future of diversity practices at Chemistry Cultura.
When did you decide to focus on multicultural marketing? Was that an intentional decision?
Spanish was my first language, as I’m born to a Cuban father and Tex-Mex mother. Having been born and raised in Miami, I was exposed to diversity at an early age. I started my first job at FleishmanHillard in Washington D.C. and first saw the opportunity to focus on the Hispanic market in the United States. Out of about 162 people in the D.C. office, I was one of two Hispanics. I realized I could disappear into the shadows or double down and make a difference to amplify the voice of Hispanics around the country.
Later I worked with Universal Pictures in a Latin marketing position, then JeffreyGroup, where I marketed to Latin American audiences. When I felt it was time to go out on my own, I launched a firm called Pinta, where the mission exclusively focused on marketing to Hispanic audiences in the U.S.
When our team at Pinta began working with Chemistry, it made sense to combine and rebrand. We had so much synergy, so we decided to rebrand to more closely align our partnership and go-to-market strategy. We remain a minority-certified agency collaborating with fantastic partners, with Chemistry providing much-needed scale for our advertising, production and media efforts, and our team contributing an important voice representing 19% of the U.S. population.
How can a marketer best reach the Hispanic market?
I believe almost every brand should be engaging the Hispanic population. It is crucial to approach the practice from a place of openness, respect and cultural authenticity. Marketing to the Hispanic Population is a business imperative for almost any company, given we represent one in five Americans.
The Hispanic population has grown to become more than 62 million people strong. As marketers, we should align our marketing budgets to reflect this business reality. If the population of Hispanics in the U.S. is 19% and your budget to reach them is 4%, you'll need to take a hard look at that and fix the anemia of your strategy.
“Think of it more as a movement as opposed to a moment. Brands shouldn't randomly pop in on Cinco de Mayo or Hispanic Heritage Month. Instead, create a consistent presence through engagement with the Hispanic market.”
How do you reach different cultures within the Hispanic market?
Language is a barrier but less so now because culture increasingly matters more than language. Connect with the culture, and you will succeed at communicating even when you have barriers to overcome. Marketers can aim to authentically resonate with Hispanic cultures and foster authentic relationships with leaders in these areas.
Think of it more as a movement as opposed to a moment. Brands shouldn't randomly pop in on Cinco de Mayo or Hispanic Heritage Month. That behavior can backlash and seem condescending to audiences. Instead, create a consistent presence through engagement with the Hispanic market. Additionally, brands must prepare the backend of digital channels and provide representation through spokespeople to provide a human face for Hispanic relevance.
Marketers should approach the Hispanic market as a complex group with common cultural variations. Even English-dominant Hispanics have different passion points and different barriers to overcome. Brands need an expert to deconstruct these cultural differences, which is what we provide at Chemistry Cultura.
This immigrant community is unlike any that came before it. Previous immigrants of other cultures traveled to America and were eager to assimilate into a new country. I believe the Hispanic population in the U.S. is in a very different situation for a few reasons. First, the United States is geographically near Mexico, Central America, and South America. Second, modern technology provides instant connection across borders for the Hispanic population creating a cultural stickiness that did not exist in the past. Lastly, media outlets offer Spanish language content constantly to those living in the United States.
While Hispanics in the U.S. are proud to be American, it will continue to be a distinct market segment for many years to come. Comcast is a client, and they have a great term to describe this phenomenon: "the 200-percent-ers," referring to people who feel one hundred percent American and one hundred percent Latino.
How would you advise a brand that is just starting in this area?
If your brand isn't a household name that can afford a celebrity, you can still take steps to align your brand with trusted voices. Get creative with influencer marketing and empower content creators. Look for organizations that genuinely understand Hispanics and can offer insight. Lean on centers of influence to ensure you're engaging the community and reaching subsections of the culture.
“This immigrant community is unlike any that came before it. While Hispanics in the U.S. are proud to be American, it will continue to be a distinct market segment for many years to come.”
What have you learned about diversity, equity, and inclusion (DEI)?
I'm half Cuban, a quarter Mexican, and a quarter American, so I relate to the U.S. Hispanic experience. DEI now is viewed as a competitive advantage that makes companies better, and I agree that as you gather people from all backgrounds and orientations, creativity and decision-making ultimately benefit. We constantly think about this across skillsets, hiring and training at Chemistry.
What advice would you give to a company looking to grow in diverse hiring?
The labor market is challenging right now for everyone, as it’s unprecedentedly hard to find and retain top talent. Make sure the environment at an organization authentically embodies and celebrates diversity. Market to attract diverse candidates knowing there is a high ROI. Seek to entrench your brand in those communities and commit for the long haul. It’s the right thing to do, but also pays dividends for growth and stability.
What do you enjoy about your work?
I get to simultaneously flex my business and creative muscles as I serve our company, as well as develop innovative client solutions. I also love the variety of the work I do and how much I learn in the process. Our experience becoming a part of Chemistry has been fantastic, learning from and collaborating with partners like Ned Show, Tim Smith, Chris Breen and Dan Dehner. The future is exciting at Chemistry, and it's fun to serve clients with strategically diverse ideas and services. Also, we practice what we preach and have an incredibly diverse team.
Any closing thoughts to share?
There's been a lot of talk about an inclusive 'Total Market' strategy. While we understand the movement and the efficiencies motivating it, we don't think it's the best way to win an increasingly-diverse world. A brand should have one set of values and bring in a diverse cast of characters to align on those core principles, then execute with cultural nuance for segmented audiences. For example, our client Coca-Cola has a globally renowned set of products. Yet, they are executing strategically to U.S. Latinos with nuance and long-term commitment. Brands should approach diverse markets by building trust through engagement and recognizing there is no one-size-fits-all approach.
June 29, 2022