Thread: Marketing To Hispanics ?

By Lilly Rockwell

AMERICAN-STATESMAN STAFF


Tuesday, April 22, 2008

Austin's LatinWorks advertising agency is about to get a lot bigger.

In its first acquisition, LatinWorks has bought Dallas-based Cultura. Both agencies focus on the Hispanic market, primarily designing ads in Spanish.

Acquisitions are rare for Austin advertising agencies. Usually they are the ones being bought.

The purchase will solidify LatinWorks' status as one of the biggest agencies in Austin.

LatinWorks Chief Executive Officer and co-founder Manny Flores said this is a big coup for the agency because it will immediately gain a number of new clients and employees. Cultura's current clients include Shell Oil, Pepsi and Lowe's; LatinWorks' clients include Humana, H-E-B, Budweiser and Hyundai.

"This is a growth strategy," Flores said. "You either grow by pitching new pieces of business, and we firmly believe we will continue to do that, or you acquire another shop."

Cultura will close its Dallas office and move most of its employees to Austin, where Cultura chief executive Greg Knipp will join as a managing partner. The purchase price was not disclosed.

"It's a difficult thing when you've got people with families and personal attachments to the city," Knipp said. "That's the only downside. The team is changing a little bit."

Media conglomerate Omnicom owns a minority stake in both Cultura and LatinWorks. The company will continue to own a minority stake in the combined agency.

Flores said the timing was "just right" for the purchase.

The acquisition will help Cultura expand what it can offer its clients, who increasingly want not just an ad campaign but also event planning and promotions, Knipp said.

"We have access to an expanded talent base," Knipp said. There are about 30 employees at Cultura and 80 at LatinWorks. The combined company will have 100 people.

LatinWorks has attracted attention recently for advertisements featuring comedian Carlos Mencia that aired during the Super Bowl this year and in 2007.

The agency recently moved from its offices on Congress Avenue to the Capitol Tower on East Ninth Street.

Statistics from Advertising Age magazine show that Cultura is smaller than LatinWorks in terms of revenue. According to AdAge, LatinWorks had $8.3 million in revenue in 2006 compared with Cultura's $6.2 million.

Now, let me see....what could it be that they will be marketing...not tacos, not burritos. Oh yes, they will be marketing U.S. products in Spanish! Wait a minute, why is it, if you are an American citizen that you would need everything in Spanish? I protest! I want everything in German since my family came from Germany! Oh yes, I am her legally so I am not entitled to have the U.S. cater to me in another language.

Sorry for the sarcasm but this kind of entitlement mentality just makes me boil!

Originally Posted by TexasBorn

By Lilly Rockwell

AMERICAN-STATESMAN STAFF


Tuesday, April 22, 2008

Austin's LatinWorks advertising agency is about to get a lot bigger.

In its first acquisition, LatinWorks has bought Dallas-based Cultura. Both agencies focus on the Hispanic market, primarily designing ads in Spanish.

Acquisitions are rare for Austin advertising agencies. Usually they are the ones being bought.

The purchase will solidify LatinWorks' status as one of the biggest agencies in Austin.

LatinWorks Chief Executive Officer and co-founder Manny Flores said this is a big coup for the agency because it will immediately gain a number of new clients and employees. Cultura's current clients include Shell Oil, Pepsi and Lowe's; LatinWorks' clients include Humana, H-E-B, Budweiser and Hyundai.

"This is a growth strategy," Flores said. "You either grow by pitching new pieces of business, and we firmly believe we will continue to do that, or you acquire another shop."

Cultura will close its Dallas office and move most of its employees to Austin, where Cultura chief executive Greg Knipp will join as a managing partner. The purchase price was not disclosed.

"It's a difficult thing when you've got people with families and personal attachments to the city," Knipp said. "That's the only downside. The team is changing a little bit."

Media conglomerate Omnicom owns a minority stake in both Cultura and LatinWorks. The company will continue to own a minority stake in the combined agency.

Flores said the timing was "just right" for the purchase.

The acquisition will help Cultura expand what it can offer its clients, who increasingly want not just an ad campaign but also event planning and promotions, Knipp said.

"We have access to an expanded talent base," Knipp said. There are about 30 employees at Cultura and 80 at LatinWorks. The combined company will have 100 people.

LatinWorks has attracted attention recently for advertisements featuring comedian Carlos Mencia that aired during the Super Bowl this year and in 2007.

The agency recently moved from its offices on Congress Avenue to the Capitol Tower on East Ninth Street.

Statistics from Advertising Age magazine show that Cultura is smaller than LatinWorks in terms of revenue. According to AdAge, LatinWorks had $8.3 million in revenue in 2006 compared with Cultura's $6.2 million.

Originally Posted by TexasBorn

Sorry for the sarcasm but this kind of entitlement mentality just makes me boil!

Wish there were many more like-minded citizens. Unfortunately many Americans react like the frog in the kettle.