Tapping the Trillion-Dollar Latino Market: A Roadmap to Build Trust for Corporate America

By Carolina Rincón Sato, SVP, Multicultural Brand.

Latinos often take center stage during U.S. presidential election years, recognized as a critical voting bloc with the power to shape the nation’s future. With over 36 million projected eligible voters, the race to win the Hispanic vote is more urgent than ever. But this community has proven to be incredibly influential beyond politics, driving progress across all institutions, particularly business. Leaders of all institutions and organizations looking for sustained growth and influence must prioritize building and strengthening their relationships with Latinos. The 2024 Edelman Trust Barometer Special Report: Business and Racial Justice highlights how crucial it is for communities to feel seen and elevated. The data shows that people are 24 points more likely to trust businesses that serve the needs of their racial community well. However, only 45% of Hispanic/Latino respondents in the U.S. feel that businesses truly understand their experiences and are committed to their growth.

What’s missing? Businesses continue to pursue a one-size-fits-all approach to engaging Latinos, overlooking a crucial fact: We are not a monolithic group, nor are we a single race. We represent a rich tapestry of mindsets, experiences, ideologies, socioeconomic backgrounds, religions, and political views. Latinos encompass a wide spectrum of identities and perspectives, ranging from recent immigrants to multi-generational Americans, from conservative to progressive, and from working-class to affluent professionals. Worse still, increased mis- and disinformation campaigns, in many cases targeting Latinos, spreads fear and prejudice across diverse communities. This not only threatens to affect election results and the stability of the country, but also fills our communities with distrust for institutions, leaving many divided, yearning for belonging.

The underrepresentation of Latinos in positions of power, from Hollywood to corporate boardrooms, combined with harmful stereotypes, have made our contributions and impact less widely apparent. This lack of visibility is dangerous and can perpetuate a false narrative that Latinos are less committed to social justice or less interested in institutions fighting discrimination against communities of color, including our own. This couldn’t be further from the truth. Latinos have a rich history of engagement in social justice movements and continue to advocate for equality and representation across all sectors of society.

And while many in our community actively fight for accurate and fair representation across industries, it’s crucial to understand that activism can take various forms. Some may express their support more quietly, but that doesn’t indicate indifference. In fact, now more than ever before, we are united by our shared love of culture and desire to be seen, heard, recognized, and welcomed as valuable members of American society. Organizations that fail to acknowledge our true power or embrace our values risk losing our trust and support. True loyalty to the Latino community—essential for competing in current and future markets—can only be earned through sincere recognition, consistent engagement, and respect for our diversity and values.

Edelman’s Trust data shows that when brands commit to racial justice, consumers rally around them in turn. According to the report, Latinos, in particular, see companies as having the potential to create a positive change. According to the report, 66% of Latinos believe that an inclusive workplace culture is crucial for attracting and retaining talent – a significant increase from the previous year. Moreover, investing in diversity, equity, and inclusion (DEI) initiatives can lead to long-term loyalty gains among employees of all backgrounds. Companies with many rather than few DEI initiatives see 32-point increases among Hispanic (53% to 85% ) and Black (48% to 80%) employees, along with significant gains for ANHPI and White employees.

As we celebrate Hispanic Heritage Month, I urge organizations to remain focused amidst the noise against DEI and attempts to divide our nation and our communities. Harnessing the power of the Latino community is crucial for future business success. By engaging authentically, listening to the community’s needs, and taking meaningful action, businesses and other institutions can build trust and inspire unwavering loyalty within the Latino community. This approach not only benefits Latinos but strengthens our society as a whole, proving that inclusivity and diversity are key drivers of innovation and growth.

Here are a few steps organizations can take:

• Invest year-round: Hispanic Heritage Month should only be one moment in the strategy. Engage with the Latino community throughout the year, both internally and externally. Support Latino-led initiatives and find ways to leverage your resources to benefit our community.
• Listen and learn: Partner with Latino organizations and community leaders, within and beyond your businesses, to understand our needs and priorities. This collaboration will help you identify meaningful opportunities for impact.
• Act intentionally and don’t pull back: Building trust takes time and consistent effort. Don’t give up after initial setbacks and own your journey. And think beyond engagement. Are your products and services being tailored to the Latino consumer? Are you being intentional about fully serving this community with your overall business mission?
• Address systemic biases: Research shows that Latinos are underrepresented in leadership roles, even within our own communities. Examine your organization’s hiring, promotion, and recognition practices to identify and eliminate biases. Create an inclusive environment that supports the success of all Latino employees. By following these steps, organizations can unlock the immense potential of the Latino community and build a more equitable and prosperous future for all.