CHICAGO – These days everyone is talking about serving the Hispanic market (see opinion piece page 16). But credit unions can't do the same old same old to attract business from any ethnic group, not just Hispanics. When it comes to serving ethnic markets, credit unions can never dig too deep, says Vice President of Practice Management Margie Lymperis of research firm Claritas Inc. “Don't treat the ethnic market as a whole or equal,” said Lymperis. “As you do more analysis of cross sell, upsell acquisition targets be sure to look at product behavior because sometimes the category masks what is really going on. Once you look at other cuts like income or age then you can fine tune what drives their behavior and help prevent making some of these overriding statements. Financial institutions need to make sure they understand the varying degrees of behavior.” For example, a Claritas Market Audit for Financial Services survey comparing four consumer segments- Non-Ethnic, African American, Asian and Hispanic- finds that the ethnic segments have been accumulating more debt over the past two years relative to the non- ethnic group. “While an increase in debt may on the surface have negative connotations, further analyses at the product level told a different story,” said Lymperis. “Student loans accounted for the highest increase of outstanding debt representing a 60% increase of Hispanic households over the last two years. So they are investing in their education and ultimately their investment in society. I think it captures the whole idea that credit unions looking to reach out to the ethnic market need to capitalize on as much information as they can.” Adding to the challenge is a shifting definition of ethnicity. According to Census reports, young Americans represent the most multiracial group in history with some 40% of those under 25 stating they belong to some race or ethnic category other than “non-Hispanic white.” In addition, while many are targeting the Hispanic market, the Census finds that some 30% of second generation Latinos have shown a strong tendency to intermarry making cultural identity not as clear-cut. “Based on the data collected and survey findings understanding the drivers of product behavior, leveraging any and all information gathered on the market credit unions are looking to serve and using that knowledge to modify your message accordingly is the foundation to build upon.” Below are just a few other findings from the Claritas Inc. Market Audit for Financial Services: [email protected]