A new book by David Morse, CEO of Los Angeles-based multicultural market research company New American Dimensions, has once again shed light on the biggest challenge facing marketers who wish to target Latino audiences.

Does the message get delivered in Spanish or English when the second-generation Latino is the target?

Based on Morse's research, English may be the best way to go.

How to best approach the second-generation Hispanic consumer is one of several topics Morse addresses in a newly released book - "Multicultural Intelligence: Eight Make-or-Break Rules for Marketing to Race, Ethnicity and Sexual Orientation." The work was released in early June by Paramount Books and is available for purchase at Amazon.com.

"Originally, I wanted to bust some of the myths in the multicultural marketplace and I wanted it to be anecdotal," Morse says.

He tackles such subjects as African-American marketing in the Obama era and why targeting gays and lesbians with targeted advertising matters. But much of his book offers Hispanic marketers looking to reach Latino and other multicultural consumers interesting and even controversial insight into how to target today's Latino consumer.

"I did a lot of research on the second-generation Hispanic," Morse says of his work, which began in the mid-2000s. "And by the time they graduate high school, they are bilingual. But, they prefer English - and not Spanish."

The findings were far from universally welcomed by many in the Hispanic marketplace.

One prominent longtime Hispanic agency head urged Morse to be careful with the data. "I was told, 'You're going to make a lot of enemies with this data,'" says Morse. "But I have a research company and I have no agendas."

A follow-up study in 2005 confirmed that the second-generation Hispanic prefers English. But the key finding centered on the word prefer.

Morse explains, "The second-generation Hispanic does consume Spanish-language media and they do speak Spanish." He points to a "dearth of portrayals of Hispanics on English-language television" as one reason why Spanish-language media consumption continues to be seen among this group of Latinos.

Thus, the bicultural, bilingual Hispanic has not abandoned Spanish-language media altogether - giving some marketers and network executives pause.

"Multicultural Intelligence" is divided into two halves, says Morse. The first half discusses the uniqueness of the multicultural consumer. The second half offers an in-depth analysis on multicultural marketing.

Morse first discussed how stereotyping in a brand's Spanish-language marketing effort has finally ebbed.

"Hispanic advertising has come a long way, but it hasn't been until a couple of years ago when you saw the stereotypical images of the abuelita in commercial after commercial," he says. "Those commercials don't connect with the second-generation Hispanic, let alone the third-generation consumer."

On that note, he turns his attention to the Hispanic agency head by giving the following recommendation - "Let's stop being Spanish-language agencies and let's start being Hispanic agencies."

Morse's point: Hispanic marketing today is more about cultural values and relevance - and not about language.

Yet he admits that there are still "profound cultural opportunities" to connect with the first-generation Latino.

"In 2009, 75 percent of U.S. Hispanics are first or second-generation immigrants," Morse notes. "There is still a large immigrant and second-generation marketplace."

As the immigrant family produces second-generation and third-generation Latinos, the question of whether Hispanics will assimilate into U.S. culture is raised by Morse.

For him, it's not a matter of assimilation. Morse points to the early 20th century arrival of Jews and Italians in the U.S. - and, later, the Irish - as ways the mainstream expanded to include new ethnic groups.

"I think the same thing is going to happen to Hispanics," Morse says. "I am not saying that the Hispanics are going to become white, but I think they will be part of the mainstream."

On that note, Morse believes the need for dedicated Latino marketing will last for another 100 years. "I think Hispanic marketing is vital and has longevity. But the real growth is going to come from the second-generation Hispanic. That is our future. Spanish will remain relevant to immigrants. But for everyone else, it will be about cultural identity as a Hispanic."

• Among the "Eight Make-or-Break Rules for Marketing to Race, Ethnicity, and Sexual Orientation" most applicable to Hispanic marketers - as offered by Morse - are to "push their buttons" by making a strong cultural connection through your marketing. Additionally, CMOs and brand managers should "market on a wink and a prayer" by sending culturally relevant images and messages in a total-market English-language marketing effort.

TWO QUICK TIPS FROM DAVID MORSE
Be quick and nimble.- The Hispanic market is a moving target. Every 10 years it evolves. The immigrant who came here in 1999 now has an eight-year-old daughter watching "Dora the Explorer" and "Spongebob Squarepants." The future of America lies with these multicultural groups, and mainstream America is going to be more Hispanic, Asian and African-American.

Do your market research, and use common sense. - Do what you can to tune in to the pulse of a rapidly changing population. Show a genuine interest in people from other cultures. Respect them. Like them. And they will likely reciprocate the gesture.

DID YOU KNOW?
The old, often-told tale of the Chevy Nova's launch in Mexico is - according to Morse - an Urban Legend.

"It's crap. It's nonsense," he says. "The Nova was a big seller in Latin America."

Why? Because consumers associated the Nova with "newness" or something celestial in nature. What car buyers didn't associate with the car was "no va" - or that the car "didn't go."