Lima's 2027 Pan American Games: transforming Peru's sports and economy

After Barranquilla withdrew as the host of the 2027 Pan American Games, the Extraordinary General Assembly of Panam Sports faced a crucial decision between two cities: Asunción and Lima, both vying to host this prestigious sporting event.

When the verdict was announced, the Peruvian delegation erupted in joy as Lima was chosen to host the region’s top sporting event for the second time in less than eight years. The success of Lima 2019, often hailed as the best Pan American Games in history, played a decisive role in tipping the scales in their favor.

Why is this decision so significant for the Inca nation? The answer is multifaceted, with benefits extending far beyond sports and entertainment. As one of the continent’s largest events, it promises not only advancements in sports but also substantial infrastructure improvements for the Peruvian capital and a boost to the evolving sports tourism industry.

The legacy of the Pan American Games in Lima 2019

Sport has always been a meeting point for Peruvians. The qualification to the Russia 2018 World Cup after 36 years of absence was a milestone, as well as the silver medal at the Seoul 1988 Olympic Games, Sofia Mulanovich’s world surfing championship and the gold medals in long-distance running. 

These achievements resonate deeply in the heart of Peru. Athletes bring pride to their nations. In Argentina, for instance, Lionel Messi continues to amaze every time he steps onto the field. In Brazil, Rebeca Andrade shines as the gymnast who claimed gold at the 2024 Paris Olympics. Meanwhile, in Colombia, Caterine Ibargüen stands out as the country’s first athlete to win a gold medal, doing so at the Rio Olympics in 2016.

When we look back at Lima 2019, it left a strong legacy of sports culture in the country. Athletes became national heroes once again, and sports were seen as a way to promote social integration and economic development across various regions and contexts. The entire nation rallied together to host an event that embodied values like peace, fraternity, solidarity, and tolerance, with the Olympic spirit shining brighter than ever.

Beyond being a stage for our athletes, the Pan American Games also served as a catalyst for the sports industry. Organizing the event required significant investments in infrastructure, logistics, sponsorships, and promotion. These investments in stadiums, training centers, and sports technology not only created jobs but also revitalized the local economy.

The numbers tell the story

The organization of the Games required an investment of nearly 4.2 billion soles from the Peruvian government, equivalent to over US$1 billion. However, time has shown that the investment was well worth it.

The Lima 2019 Pan American Games had a substantial economic impact, contributing an estimated 0.7% to the country’s GDP. The economic benefits included tourism revenue from over 21,000 visitors who attended the competitions, infrastructure investments—developed with the support and management model of the British Government (G2G)—and job creation.

One of the lasting legacies of Lima 2019 for Peruvian sports was the creation of over 10 first-class sports complexes. 

These include the country’s first modern velodrome, two sports centers still in use today (Villa El Salvador and Villa María), a skatepark on the Costa Verde, a High Performance Center (CAR) for surfing in Punta Rocas, and a fully equipped aquatic center in Videna, among other state-of-the-art facilities. 

Additionally, the Peruvian team won 40 medals, including 11 golds—the highest number of medals Peru has ever achieved in the Pan American Games.

Credits: lima2019.pe

Hosting an event of this scale provided a significant boost to the local economy, created jobs, and attracted the attention of millions worldwide, increasing Peru’s visibility and promoting tourism. Brands also seized the opportunity to promote their products and connect with a broad audience.

The selection of Lima as the host for the 2027 Pan American Games reflects the recognition of Peru’s commitment and capability. With existing infrastructure, venues, an equipped Pan American Village—set to be expanded with five additional towers to accommodate 10,000 athletes—and trained personnel, the required investment is significantly reduced. 

Estimates from the Peruvian Ministry of Economy suggest that the investment will drop from the 4 billion soles spent on Lima 2019 to just over 1.3 billion soles, signaling a clear increase in projected returns.

The Peruvian government estimates that Lima 2027 will generate over 900 million dollars in revenue and create more than 50,000 jobs. Additionally, the city is expected to welcome 50,000 tourists. To accommodate this influx, significant road projects are planned to improve access to the various venues, enhancing the overall infrastructure of the Peruvian capital.

Global brands are welcome

The Pan American Games offer a prime opportunity for brands to gain visibility across Latin America. For instance, the opening ceremony of the 2023 Santiago Games reached an audience of 200 million. The excitement surrounding such events can significantly boost engagement with campaigns that resonate with fans’ emotions while taking local nuances into account.

For international brands aiming to connect with regional audiences, partnering with Latin American companies that understand the cultural subtleties of each country is a smart move.

Working with local companies also brings the advantage of valuable connections. These companies, especially communication agencies, have strong relationships with journalists, media outlets, and key regional figures—like athletes—that can help craft a strategy that truly resonates with the local audience.

A great example is Nike’s sponsorship of Peruvian marathoners Christian Pacheco and Gladys Tejeda. Other successful partnerships include Kimberly García with Adidas and Plaza Vea, ‘Piccolo’ Clemente with Diners Club and Reebok, Stefano Peschiera with Redondos, and Hugo Ruiz with Shimano.

Additionally, we can highlight Adidas’ support for Ecuadorian sprinter Ángela Tenorio, Mexican racquetball champion Paola Longoria, a standout athlete for Wilson, and Chilean swimming medalist Kristel Kobrich, sponsored by Powerade.

Peruvian athletes seeking sponsorship

However, despite appearances, many Latin American athletes, particularly Peruvians, struggle with a lack of brand support.

A study by the sports marketing agency Toque Fino revealed that, leading up to the Paris 2024 Olympic Games, only 55% of qualified Peruvian athletes had secured technical sponsorship.

Latin American digital marketing and public relations agencies can assist your brand in identifying the athletes who align best with your market goals, budget, and brand image. It’s crucial to remember that the relationship between athletes and sponsors is about more than just money—it’s an alliance that builds compelling stories and forges deep connections with fans.