ACNielsen Research Finds Hispanics More Likely Than Others to Suffer from Numerous Health Conditions, but Less Likely to Purchase Over-the-Counter Remedies.

Business Editors

SAN DIEGO--(BUSINESS WIRE)--June 9, 2003

Los Angeles-Area Study Identifies Opportunities for Remedy

Manufacturers and Retailers

New research from ACNielsen U.S., an operating unit of ACNielsen, a VNU business, shows that, while Los Angeles-area Hispanics are more likely than non-Hispanics to suffer from a host of health-related conditions, they are less likely to purchase over-the-counter (OTC) remedies for those conditions. The findings were part of a presentation by Todd Hale, senior vice president, ACNielsen Consumer Insights, at the National Association of Chain Drug Stores (NACDS) annual Marketplace Conference.

According to Hale, "This research points to a significant opportunity to educate Hispanic consumers about remedies through targeted manufacturer advertising and in-store retail signage. It's one more important example of the need for marketers to understand the nuances of Hispanic consumers and to tailor their promotional efforts accordingly."

The research, which has implications for marketers of everything from headache remedies to antacids, comes from ACNielsen's exclusive 1,500-household Homescan(R) LA Hispanic Panel. Using language preference as an indicator of acculturation, households where Spanish is the only or preferred language are considered "less acculturated;" those that utilize both Spanish and English are "bilingual;" and those for whom English is the language of choice are "more acculturated."

Heads of household were asked whether they or any member of their household experienced any of a list of health-related conditions or ailments during the past six months. Below are the top ten conditions or ailments reported by Hispanic households. In all but one, more Hispanic households than non-Hispanic households reported that they or someone in their household had suffered from the condition or ailment. In addition, it was the less acculturated segment that reported the highest incidence in most cases.

              Percentage of households in which someone suffered from
               the health-related condition or ailment in the past 6
                                       months.
------------- --------------------------------------------------------
              Total   Non-             Spanish              English
Ailment        LA   Hispanic  Hispanic Only/Pref  Bilingual Only/Pref
------------- ----- --------- -------- ---------- --------- ----------
Cough, Cold,
 Flu            34        24       59         70        47         43
------------- ----- --------- -------- ---------- --------- ----------
Heartburn,
 Acid
 Indigestion    24        14       49         64        37         20
------------- ----- --------- -------- ---------- --------- ----------
Back, Neck,
 Joint Pain     34        29       45         51        41         31
------------- ----- --------- -------- ---------- --------- ----------
Muscle Pain     20        14       36         43        28         25
------------- ----- --------- -------- ---------- --------- ----------
Allergies       36        37       34         32        36         38
------------- ----- --------- -------- ---------- --------- ----------
Frequent
 Headaches      19        13       33         40        27         16
------------- ----- --------- -------- ---------- --------- ----------
Acne            18        16       25         27        21         25
------------- ----- --------- -------- ---------- --------- ----------
Hair Loss       11         5       24         31        18          9
------------- ----- --------- -------- ---------- --------- ----------
Weight
 Control        14        10       23         25        22         14
------------- ----- --------- -------- ---------- --------- ----------
Cholesterol     21        20       22         25        18         14
------------- ----- --------- -------- ---------- --------- ----------
Source: Non-Hispanic data from ACNielsen Homescan Consumer Panel
survey, 9/02. Total LA and Hispanic data from ACNielsen Homescan LA
Hispanic Panel survey, 1/03

Despite the widespread availability of OTC remedies for each of the conditions, ACNielsen found that Hispanic households, especially those in the less acculturated segment, were least likely to purchase such items.

               Percentage of Households That Bought Products in the
                                  Category in 2002
              --------------------------------------------------------
                                            Hispanic Sub-Segments
                                       -------------------------------
  Product     Total   Non-              Spanish              English
   Category     LA   Hispanic Hispanic  Only/Pref Bilingual  Only/Pref
------------- ----- --------- -------- ---------- --------- ----------
Cough & Cold
 Remedies       70        72       64         59        68         79
------------- ----- --------- -------- ---------- --------- ----------
Antacids        35        36       32         29        34         39
------------- ----- --------- -------- ---------- --------- ----------
Sinus
 Remedies        8        10        4          2         7          5
------------- ----- --------- -------- ---------- --------- ----------
Headache
 Remedies       57        62       44         35        50         69
------------- ----- --------- -------- ---------- --------- ----------
Acne Remedies   16        16       14         10        17         27
------------- ----- --------- -------- ---------- --------- ----------
Source: ACNielsen Homescan LA Hispanic Panel, 2002

While more research is needed, Hale said, "Income may be a factor in the lower incidence of remedy purchasing among Hispanics, which points to a potential opportunity for retailers to highlight their private label offerings."

Los Angeles is home to the largest Hispanic population in the United States. The largest segment of this population consists of less acculturated households (51 percent). Bilingual households represent 32 percent of the Hispanic population; 17 percent are more acculturated.

ACNielsen, a VNU company, is the world's leading marketing information company. Offering services in more than 100 countries, the company provides measurement and analysis of marketplace dynamics and consumer attitudes and behavior. Clients rely on ACNielsen's market research, proprietary products, analytical tools and professional service to understand competitive performance, to uncover new opportunities and to raise the profitability of their marketing and sales campaigns.

Note to Editors: Look for this press release and other ACNielsen news on the Internet at http://acnielsen.com/news.