• by Sarah Mahoney  @mahoney_sarah, January 31, 2025

Target is one of many companies that have backed off diversity, equity and inclusion efforts.

But because the company has been perceived to be a sincere proponent of DEI, with extensive commitments to Pride events in support of the LGBTQ community, extensive marketing to Hispanic audiences, and support of Black-owned brands, the move feels like a betrayal.

While the company is welcoming Black History Month with plenty of Black-owned brands, calls for “Boycott!” are ricocheting around social media.

Marketing Daily asked Zekeera Belton, vice president of Collage Group, a market research company specializing in cultural insights, for her perspective. The interview has been edited for length and clarity.

Marketing Daily:Target is getting singled out with fury right now, more than Walmart and Amazon -- two major competitors that have also abandoned key DEI practices. Why? 

Zekeera Belton: Target has stood out for a long time with a commitment to inclusivity. That showed on the shelves, and I can confidently say that many people across those intersectional communities felt that excitement. When Target started carrying brands like Tabitha Brown, Capital City Mambo Sauce, or The Lip Bar, that made an impact.

Target also has Indian-owned brands and Hispanic-owned brands -- all those products felt like a celebration of diversity. That’s why the DEI announcement was so disappointing. It erodes trust.

Marketing Daily: Is diversity related to trust?

Belton: Yes. Our research finds that among Black consumers, nearly 40% say a brand’s commitment to diversity makes them more likely to trust the brand -- and they look the company’s policy up online. That compares to 33% of consumers overall.

Collage measures the cultural fluency of brands, and trust is a significant component. It helps predict brand love and purchase intent.

Marketing Daily: Many people are urging Black consumers to boycott Target. But there is also urgent pushback from Black brands, notably Tabitha Brown. She argues that a boycott won’t just punish Target but hurt the Black-owned brands people want to support.

Belton: Yes, and there’s so much discourse about that argument. Many people say that’s a selfish point of view and that it’s not about one person but the collective.

Marketing Daily:It’s a conundrum. Many of these boycotters are urging people to buy from Black-owned products online, supporting the owners by bypassing Target.

Belton: Yes. Many people support this idea and are sharing lists of Black-owned brands with a D2C option.

Marketing Daily: This may sound cynical, but do you think this boycott could hurt Target? Or is the company just thinking, “Every other company cut DEI. We’ll take our chances – boycotts don’t usually have much impact”? That seems odd, especially given Target’s admission that last year’s boycott from conservatives hurt sales.

Belton: It’s so complex. Many people won’t boycott. Target is affordable, and they sell lots of good products. It’s convenient, with drive-up and delivery. But that doesn’t mean everybody is happy with the brand.

Marketing Daily:This seems like a moment when consumers are relatively powerless. If people boycott Target, will they shop at Walmart? Or Amazon? Is that any better? And all those companies employ plenty of people of color and plenty of LGBTQ people, as well.

Quitting isn’t an option for many. Will people just keep shopping and working at Target but hate the brand?

Belton: Target may not lose the sale, but the brand is not connecting the way it should. Companies want their brand to be loved and consumers to be loyal. In this case, as soon as consumers have a chance to leave you, they’ll run for the door.

Marketing Daily: How well are companies prepared for this new anti-DEI climate?

Belton: Our clients are trying to wrap their arms around it. They know they need diverse audiences -- that’s where all the growth is. Even though they are doing away with policies governing internal diversity, they are committed to diverse segments in their external efforts.

Marketing Daily: Costco’s recent defense of keeping its DEI policy echoed that. The company says diversity within is key to reaching all consumer segments. And while they seem few, other companies are sticking with their DEI programs, at least for now: Apple, E.L.F., Meijer, Kroger and Giant.

Belton: Yes, but we’re seeing Republican attorneys general starting to pressure Costco. These issues aren’t going to get any easier.