• by Sarah Mahoney  @mahoney_sarah, July 18, 2024

 
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While the culture war against diversity, equity and inclusion is in full swing, new research from Kantar suggests conservative pressure groups in the U.S. have already lost. The study finds 79% of American consumers say inclusion is vital to them, and 75% say it impacts brand choices. And even as companies like Tractor Supply, John Deere and Target pull back on DEI initiatives, people around the globe want more.

And it’s no coincidence that the brands consumers perceive as most inclusive -- that’s Google, Amazon and Nike globally and Amazon, Dove and Apple in the U.S. -- are also some of the most valuable in the world. Valeria Piaggio, global head of DEI at Kantar, tells Marketing Daily about the findings.

Interview has been edited for length and clarity.

Marketing Daily: We keep reading about companies turning back on DEI, partly due to lawsuits from conservative investors. This week, the largest human resources organization dropped the word “equity” because it bothers people and is now just talking about D&I. Yet your report, based on more than 20,300 respondents in 18 countries, suggests companies should intensify DEI efforts, not tiptoe away. Why the disconnect?

Piaggio: Yes, there is a war on DEI in the U.S. We can’t call it anything else. There is a war on specific vulnerable populations, including LGBTQ+, and especially trans people. Globally, things are going in the opposite direction, and these numbers show a generational shift. The growth in people wanting and expecting more comes from emerging markets and high-growth diverse populations.

The vast majority tell us that diversity and inclusion are important to them and influence how they look at brands and make buying decisions. Agreement is even higher among Gen Z, millennials and emerging markets.

Beyond knowing what they thought about inclusion, we wanted to probe how it impacts their decisions and purchasing behaviors. So, we asked how frequently they buy certain brands and how much they think about inclusion.

Marketing Daily: These consumer perceptions come from what they see in advertising, right?

Piaggio: It doesn't have to do with advertising alone, which is a very important finding. It’s about holistic inclusion.

Marketing Daily: I’m not sure I agree. How does Joe or Jane Consumer know, for example, how inclusive a company like Amazon or Nike is? All they see are ads. They don’t have easy access to hiring records or discrimination lawsuits.

Piaggio: We included several open-ended questions and used AI to analyze verbatims. It turns out people notice much more than messaging. People with thinking and learning differences notice how Google makes products easier for them, for example, by mentioning specific technologies.

People notice what their Amazon delivery person looks like and that Amazon provides a platform for small businesses. They see who works in Walmart, Apple and Nike stores. They mention companies providing jobs in their communities. People are savvy and quick to investigate, digging behind a brand's message -- especially when something sounds inauthentic.

Marketing Daily: What surprised you most in this data?

Piaggio: It debunks the myth that DEI only matters in developed economies, that people look at it as a luxury concern. When we look at the data, DEI is more important to people who suffer from exclusion, discrimination and bias. For those populations, it has to do with the basic need to feel safe, respected, and belong.

In places where discrimination is higher, including some developing countries, people experience diversity and inclusion personally. It’s not a nice thing for a brand to show. It’s a must-have. In Kenya, 96% of respondents say diversity and inclusion are key, and 85% say that they influence their purchases. In South Africa, those percentages are 94% and 80%, respectively, and in Nigeria, 91% and 79%.

Marketing Daily: How will consumers respond to brands like Tractor Supply and John Deere? Do you sense consumers will react?

Piaggio:I don't have data yet. However, my opinion is that specific communities affected by those decisions do notice. They do care. And they will respond. People often rely on the press to shape those opinions, so the press has a lot of influence in raising awareness.

Marketing Daily: What do you think about the trend toward dropping the word “equity”?

Piaggio: Equity is synonymous with fairness, offering everyone the same types of opportunities, regardless of their appearance or gender. It's about mirroring society and communities, making sure everyone feels they belong. I don't know who can be against that.

Marketing Daily: What’s your advice for U.S. companies navigating this backlash? Should they step up their DEI efforts or pull back?

Piaggio: Inclusion is required for expansion. You have to acknowledge where growth will come from, and it will be from these populations that you're turning your back on today. You will pay the price, and not in the distant future, but soon. Be brave, live your organization's values, and lead with action.

That doesn't mean controversial ad campaigns. You don't need to be going against anyone. It's about showing appreciation, respect, and basic tolerance to populations that are sometimes vulnerable. And it’s about showing what you’re doing today for your own people and the communities you serve.

This is especially true for companies with a global presence. The polarization in the U.S. is so extreme, but it’s important to remember that’s not the case in many countries.