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Open for business!

By: Matt Muñoz/MÁS staff

Topics: Latino business

To coincide with the theme of our annual Kern County Hispanic Chamber of Commerce (KCHCC) issue, we’d like to share some useful insight on the current state of local Latino business.
And in a struggling economy, it’s nice to finally offer up some good news!
According to various news reports from around the nation, Latino-owned businesses seem to be feeling the least of the economy’s pressure — and local Latino businesses seem to be following this welcomed trend.
Could it be our buying power? Cultural loyalty to our favorite establishment? Or maybe we appreciate good customer service? It could be a combination of those elements and more, experts contend.
California in particular is in the middle of a serious economic crisis, while some states are pushing toward further growth.
Here in Kern County, the local Latino business community is certainly not immune from the tough economy, along with the many ripple effects that result from such conditions.
But the outlook is positive.
KCHCC Chairman Joe Jimenez, who by day works as director of marketing at Chain Cohn Stiles Group Law in Bakersfield, has seen the direct results of our struggling economy here in Bakersfield.
Elaborating on what most Latino-American businesses presently face, he offers up some encouraging words in the mix.
“The outlook for local Latino businesses is the same for most small businesses up and down the state ... tough, but worth fighting for!” he said. “Diminishing lines of credit and tighter financial procedures, particularly with loans, are making it tough for small businesses to survive in today’s economy.”
The Salt Lake Tribune recently published a story on Tenochitlan Super Market, a Latino family-owned chain of stores, similar to Pro’s Ranch Markets so familiar to Kern County residents.
In the article, the Campos family, who opened their first store in 1998, have grown to five stores total across the state and plan on moving into even bigger markets. The owners pride themselves on the catering to the ever-growing Latino population, offering bi-lingual service on request. Now in 2009, they’re getting ready to expand again, despite the recession.
As surprising as one might think, the Campos’ story is just one of a many examples of Latino entrepreneurship currently on the rise in a variety of industries. With that in mind, it perhaps it’s ludicrous to think California has been hit as hard as it is, considering our state businesses cater to the largest Latin population in the nation.
Need an example? Look no further than the city of Bakersfield.
With a population of more than 333,000 residents, 32 percent of that total comprised of Latinos, it should be no surprise where local commerce (Latino and non-Latino) should re-focus — if they haven’t already.
Jimenez goes onto stress the value of small, multi-service businesses in our community.
“Individual entrepreneurship is on the rise. We are seeing an increase in individual ownership in the fields of insurance, real estate, financial investments, business services and marketing,” he said.
Wendy Armijo of Armijo and Lopez advertising understands the importance of modifying marketing strategies, and going to “where the money is.”
“I started my ad business to cater to Latino businesses,” said Armijo, who began her first advertising firm (Milan Advertising) in 1999, then joined forces with her current partner, Herman Lopez in 2002. “But now, many big businesses are cutting about 50 percent of their Latino marketing budgets. Yet, they’re still buying houses and cars.”
Armijo bases much of her strategies on past experiences, and community “reality.”
“Latinos are not your typical stock market person, with money tied up in various ways,” she explained. “But the money is out there, depending on the service you provide.”
One such success story is her agency’s relationship with the Little Caesar’s pizza chain, which experienced a huge rise in business after a new strategy was launched.
“Little Caesar’s volume increased since last year,” she said of the immediate response to the pizza chain’s Latino marketing campaign that equaled out to a lot of “dough.” Literally.
On another positive note, the business of fitness seems to be on the rise with dancing as a catalyst for better living.
Angela Medina of Bakersfield has been conducting local “Zumba” fitness classes for the past year and a half at various locations all by herself. Catching one of the many Web infomercials with bodies dancing in motion, and offering weight loss in the process, Medina was immediately hooked on the product.
“Watching the video inspired me to try it and get trained to become an instructor,” she said. “I attended classes with a Zumba educator specialist in Santa Barbara for two days back in December 2007.”
Zumba is an aerobic fitness program created by Colombian immigrant Beto Perez. After arriving in Miami 1999, he soon began marketing his salsa-fied, cumbia, merengue dance/fitness philosophy around the world. Now it’s gaining popularity in Bakersfield, and providing a new business opportunity for Medina.
“This is for people who hate exercise, but love to dance and move,” she explained of her classes she teaches Monday through Saturday. “Our classes are very diverse, and Latinos especially will benefit from the results.”
She said the results include, but are not limited to, energy — something Medina herself appreciates as a co-owner of Quiznos Sub Shop on Olive Drive. Along with her husband Hector, Angela keeps business moving, step by step.
   “My Zumba classes make people happy, and it helps keep me happy to help everyone at the shop, (Quiznos),”she said. BothArmijo and Medina’s stories offer just a couple examples of successful Latino business, some more traditional than others. After all, Latinos are not limited to restaurants — it’s best to “think out of the box.”
But before you jump into the business arena, KCHCC Chairman Joe Jimenez offers some sound advice:
“Do your homework before engaging into your new business. Research to ensure you have a demographic to target. Create a solid marketing plan and stick to it. Take advantage of social media (it’s cheap) and provide an honest and fair product and/or service to your customers,” he said.  “And lastly, put something away for that ‘rainy day’ because many will attest it will be needed some day, perhaps sooner than you think.”

Sources:
U.S. Census study
Salt Lake City Tribune

On the Web:
www.kernhispanicchamber.org
www.armijoandlopez.com
www.zumbafitnesswithangela .com