When you are a company, thinking about expanding operations into different countries can be quite a challenge. It is essential to deeply understand the cultural, political, social, and consumer differences that shape each society. It is also crucial to understand how people relate to companies and what kind of commitment they expect from them. For Latin Americans, investment in social impact is an important factor in building identification, closeness, and a positive brand image.
According to the latest public data compiled by ECLAC, in 2024 foreign investment in Latin America reached approximately US$ 188.96 billion. The region remains a key expansion focus for international companies. However, with multiple businesses targeting the same markets, how can a company stand out? In this context, social impact becomes a business strategy and a competitive advantage.
How Latin Americans Evaluate Social Impact in Companies
There is a growing expectation that brands take an active role in respecting people, protecting the environment, and generating positive impact in the communities where they operate.
The data clearly supports this perspective. According to Sherlock Communications’ 2024 Corporate Social Responsibility (CSR) Survey, corporate investment in social impact plays a decisive role in shaping brand perception across the region: 81% of Latin American consumers say that social responsibility actions influence their opinion about companies. When asked how companies can create positive impact, 59% pointed to environmentally responsible supply chains as the most important factor. In addition, 77% said they do not recommend companies that fail to act in a socially responsible way, and 72% stated they only buy products or hire services from companies that demonstrate social responsibility.
Furthermore, a 2025 Kantar study found that 50% of Brazilian consumers reduced or stopped buying products from brands associated with negative social or environmental impacts, highlighting how strongly values influence purchasing decisions.
In this context, reputation has become a strategic business asset. The study Corporate Reputation and Communication: The Most Relevant Intangibles for Business (2025) identifies corporate reputation as the most relevant intangible asset for companies, with particular emphasis on its importance in Latin America.
Given this scenario, acting with responsibility, consistency, and genuine social impact is essential to building trust, relevance, and long-term business sustainability in the region — especially when seeking to consolidate in a market where the company does not yet have strong brand recognition.
Social Impact as a Business Strategy: How to Create Real Value
Once companies understand investment in social impact as a key part of their expansion strategy and connection with new audiences, they are already ahead. However, it is crucial to structure these initiatives coherently — otherwise, they may generate effects opposite to those intended.
The first step is to identify causes directly related to the impacts the company already generates through its operations. For example, it hardly makes sense for a technology company to develop a project with an animal protection NGO just because the CEO likes dogs. On the other hand, it is far more coherent — and strategic — to invest in training and capacity-building programs for underprivileged youth to work in the technology sector.
When social action is aligned with the company’s core business, it creates social impact that is more legitimate, relevant, and sustainable. This alignment strengthens the initiative’s credibility, generates real value for society, and contributes to concrete outcomes in reputation, engagement, and business growth.
At the same time, local NGOs and community leaders have been advocating for deeper and more authentic partnerships — ones that go beyond one-off actions and generate real, lasting impact.
Insights collected in Sherlock Communications’ research revealed significant frustrations: 79% observed that some companies still carry out actions that do not create long-term impact in communities, and the same proportion highlighted that companies often fail to engage closely enough with local projects to truly understand their needs.
In this context, the second key point is to work closely and collaboratively with the communities a company aims to support. By creating space for active listening and understanding their main demands — rather than arriving with ready-made solutions — companies can design initiatives that are more relevant, legitimate, and capable of generating even more meaningful social impact.
Finally, to define the right strategy and identify the right stakeholders, it is essential to rely on social impact specialists based in Latin America who work directly in the field. These professionals understand local dynamics, social and cultural contexts, and the real challenges faced by communities. With this specialized support, it becomes possible to integrate the strategy far more precisely into a campaign’s full 360° communication approach, minimizing risks and potential negative reactions.
Success Stories: Social Impact with Concrete Results
In 2024, Sherlock Communications partnered with Betfair, an international sports betting platform, to execute the second year of the Esporte Futuro project, aimed at developing grassroots sports in Brazil. By aligning the brand’s positioning with NGOs that use sports as a tool for social inclusion, Betfair was connected with six organizations in São Paulo, Rio de Janeiro, and Fortaleza, each receiving donations of GBP 10,000.
Beyond the direct financial impact, the project also aimed to foster human interaction and inspiration. Three Olympic athletes who competed in the Paris Games visited the NGOs: Caio Bonfim (silver medalist in race walking), Ana Sátila (canoe slalom K1 and C1 finalist), and Edival Pontes “Netinho” (taekwondo bronze medalist).
The result? Around 4,000 people were positively impacted, directly and indirectly. At Abraço Campeão (RJ), one of the participating NGOs, the number of beneficiaries increased by 46%, reaching 270 new children and adolescents. At Instituto Esporte Mais (CE), another partner organization, the number of beneficiaries grew by 75%, ensuring the sustainability and expansion of its activities.
Another example was a campaign developed for ManageEngine in partnership with the NGO Mais Meninas na Tecnologia. From the start, acting at the intersection of technology and gender was identified as a strategic choice, both due to the presence of women in leadership roles within the company and the fact that the tech sector remains predominantly male. Through dialogue with the NGO, key challenges and needs were identified, leading to a joint solution: an introductory artificial intelligence workshop, where 16 girls aged 9 to 16 learned how to use AI and create their own chatbots.
By connecting those who could teach with those eager to learn, the project generated immediate and tangible impact. In addition to technical knowledge, the participants — coming from contexts of deep socioeconomic inequality — spent a day inside a major tech company, expanding their horizons and seeing firsthand that such a future is possible.
These examples show that corporate social impact in Latin America delivers more consistent results when built on listening, alignment with the business, and direct engagement in local territories. By connecting brands to legitimate causes, local organizations, and real communities, it is possible to create genuine social impact while strengthening corporate reputation, relevance, and connection with society.