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Friday, Mar 29, 2024

TV Ads, Por Favor

After watching its business and target audience grow over recent years, Grandall Distributing Co. Inc., a Glendale-based manufacturer and distributor of Mexican health and beauty products, is ramping up its television advertising and marketing efforts with a $1 million investment. For the majority of his career, President and CEO Jose Granda focused his attention on product development and distribution. His advertising campaigns consisted mostly of low-budget promotional spots on local television and radio networks. This year, Granda decided to shift his focus and invest in a high-quality television commercials that would reach a wider range of consumers. The company recently wrapped up ad campaigns with Spanish-language broadcasters Univision Communications Inc. and Liberman Broadcasting, Inc. Encouraged by the response from the campaigns, Granda has created a $1 million advertising budget for 2012. “If I were to win the lottery today, I would spend all that money on television advertising,” Granda. “I know that’s the way to be successful.” The company caters to Mexican female consumers with its product line of traditional Mexican-Latin health and beauty products such as garlic shampoo, avocado soap and cactus capsules. Mexican consumers are the most loyal market, Granda said. They are also one of the fastest growing markets, according to the most recent National Census. According to the 2010 National Census, the U.S Hispanic population represents 56 percent of the overall population growth in the past decade, and now totals 50.5 million out of 308.7 million Americans. Packaged Facts, a provider of consumer market research based out of Rockville, Md., estimates the buying power of Hispanics exceeded $1 trillion in 2010 and forecasts it will reach $1.3 trillion by 2015. With big name companies such as Johnson & Johnson, L’Oreal and Burt’s Bees threatening to steal the company’s thunder with sophisticated ad campaigns, Granda said he needed a new marketing strategy that would resonate with consumers. Headquarters: Glendale CeO: Jose Granda three-year growth rate: 8.2 percent REVENUE 2010: $10.3 million revenue 2009: $9.4 million Revenue 2008: $9.52 million Ralph Ortiz, executive at Liberman Broadcasting Inc., a Spanish-language broadcaster that owns and operates Empire Burbank Studios in Burbank, said the company has run ad campaigns for Grandall products for about two years. Melissa Granda Pacheco, Granda’s daughter and vice president of Grandall Distributing, said the company’s professional relationship with Ortiz and Liberman Broadcasting have helped the company generate buzz and revenue. “They’ve given us great air time and good spots at all hours of the day,” Pacheco said. “We’ve noticed our orders have doubled and tripled this year.” Ortiz was also instrumental in revamping the company’s commercials. In initially viewing some of the company’s previous TV promotions, Ortiz said he felt the company’s advertising efforts needed an upgrade. “I think it was time for a change,” Ortiz said. “I told him, ‘You can go further. You can do better.’” Ortiz advised Granda to spruce up his advertising about two years ago and referred him to a producer to help the company develop new commercials with more modern and animated story lines. Pacheco said the combination of quality advertising and good air time gave the company great new exposure and a boost in business. Unwilling to slow down, Grandall plans to utilize this new marketing force in launching new products in the next year, Granda said. “We plan on making new products, opening in new stores and just want to grow constantly,” Granda said. “Not just because the population is growing but because of the way we’re doing business. We like to grow, grow, and grow.” Although the company is modernizing its product presentation, it has no intention in shifting its focus from its target audience. “We’re not changing our whole plan,” Pacheco said. “We want to keep our foundation no matter what.”

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