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The spring of 2020 marked a turning point in the discourse on social justice. Provoked by the murder of George Floyd, a Black American by a Minneapolis police officer, the social justice movement in the United States reinvigorated to a level not seen since the 1960s. The movement quickly spread worldwide, significantly impacting established institutions and social norms. The BLM movement came to represent the importance of every life, regardless of race, religion, gender, sexual orientation, or ability level. Americans and citizens of nations around the world again raised their voices in demanding not just freedom from state-sponsored violence, but respect and equal treatment of all institutions they engage with, including brands. As the social discourse continues, consumers are pursuing brands that are authentic in their efforts to be more inclusive, diverse, and equitable.<\/p>\n
What a brand represents in the hearts and minds of consumers is a key factor in purchase decisions. In a recent CARAVAN survey, Big Village asked a representative sample of consumers in the U.S. how important it is that a company or brand demonstrate a commitment to diversity, equity, and inclusion. Three-quarters of consumers want the companies they purchase from to demonstrate such commitment. More than 8 of 10 Gen Z and Millennial consumers report that this commitment is very important to their brand choices. And with a majority of Gen Z and Millennial consumers reporting that brands don\u2019t understand them and the ads they see aren\u2019t relevant to them, brands have a lot of work ahead of them. Brands that can effectively demonstrate diversity, equity, and inclusion, and communicate effectively their commitment will get, and likely stay ahead of competitors. The implications of such a commitment to a more diverse and inclusive society isn\u2019t just the right thing to do, it makes good business sense.<\/p>\n
However, navigating the spectrum of attitudes around diversity in the United States can be tricky. With the rise in conversations about the meaning of Black Lives Matter, brands that work hard and spend tremendously to convey a particular persona find themselves in a position of having to demonstrate where they stand on a difficult topic, one that could alienate current and future customers. The landscape is complex, and in some cases unknown. Key questions have emerged, such as: How can brands navigate the growing consumer demand for change? And how can brands deliver a more inclusive and equitable experience for a diverse audience?<\/em> There aren\u2019t any playbooks brands can pull off the shelf to drive their DE&I efforts. Brands, and the agencies that support them, need to write and execute the plays in real time.<\/p>\n To help our clients navigate consumers\u2019 reinvigorated demand for equity, inclusion, and diversity, our team at Big Village, an advertising, technology, and insights company, is embarking on a focused effort to better understand:<\/p>\n As a first step, we will be taking a step back to level-set by defining the terms EQUITY, DIVERSITY, and INCLUSION. We will answer questions, such as: How do institutions define these words today? What actions do these words embody? What are consumers\u2019 expectations of authentic DE&I efforts?<\/em> We believe that language matters, and by defining these terms we can begin to have a meaningful conversation about change.<\/p>\n First, Big Village set out to identify ways diversity, equity, and inclusion have been defined by reputable sources and leaders in their respective industries.\u202f How these terms are defined sets the foundation for how institutions, organizations, and brands implement DE&I initiatives and, to some extent, defines the possible outcomes of these efforts.<\/p>\n Generally, \u2018diversity\u2019 is commonly understood as differences among individuals that can relate to age, ethnicity, gender, race, and sexual orientation among other traits and characteristics. Appreciating and respecting these differences allows for diverse perspectives.\u202f\u202f\u2018Equity\u2019 focuses on fair treatment and access for all individuals and working to eliminate barriers.\u202f\u202f\u2018Inclusion\u2019 can be summarized as creating an environment where people feel respected and valued and all opinions are heard.<\/p>\n However, looking deeper we find that definitions vary, which can be an indicator of how an organization will address the topic and the possible outcomes one can expect to see.\u202f For example, Gallup, a consulting and research firm, defines DE&I in the following way:\u202f\u202f\u201cDiversity: The traits and characteristics that make people unique.\u202fEquity: Fair treatment, access, and advancement for each person.\u202fInclusion: An environment that makes people feel welcome, respected, and valued.\u201d\u202fA succinct, clear definition such as this helps set the stage for further action, though it doesn\u2019t get into specifics on how an individual or group can achieve diversity, equity, and inclusion in their work.<\/p>\n Harvard Human Resources defines diversity similarly though goes further, providing specific characteristics, \u201cThe condition of being different or having differences. Differences among people with respect to age, class, ethnicity, gender, health, physical and mental ability, race, sexual orientation, religion, physical size, education level, job and function, personality traits, and other human differences. Some describe organizational diversity as social heterogeneity.\u201d<\/p>\n Harvard HR goes on to further define \u2018inclusion\u2019, as \u201ceveryone is included, visible, heard and considered\u201d while \u2018equity\u2019 is defined as \u201cfair treatment for all while striving to identify and eliminate inequities and barriers.\u201d\u202fThis more nuanced definition acknowledges that existing inequities should be considered when attempting to create a more equitable environment.<\/p>\n Government agencies such as the US Department of Housing and Urban Development expand upon the traditional definitions of diversity and inclusion:\u202f\u202f \u00a0\u201cIn broad terms, diversity is any dimension that can be used to differentiate groups and people from one another. It means respect for and appreciation of differences. But it\u2019s more than this. We all bring with us diverse perspectives, work experiences, lifestyles and cultures.\u201d<\/p>\n \u201cInclusion is a state of being valued, respected and supported. It\u2019s about focusing on the needs of every individual and ensuring the right conditions are in place for each person to achieve his or her full potential.\u201d<\/p>\n Here the concept of \u2018respect\u2019 is introduced and the notion that individuals\u2019 circumstances should be taken into consideration to ensure inclusivity helps to provide some direction on how the agency will approach these topics.<\/p>\n Additionally, we sought to understand differences and similarities in the definition of terms among different industries. DE&I may mean something different in healthcare than it does in tech. Exploring these differences helps consumers and brands better understand the objectives of industries and how they may seek to influence society broadly. For example, in healthcare, The American Society for Clinical Laboratory Science defines DE&I in healthcare as: \u202f\u201cDiversity is understanding the background of the workforce and patients being served, including culture, gender, sexual orientation, religious beliefs, and socioeconomic status. Also, hiring and retaining a workforce that is representative of the patient population served.\u202f Equity is ensuring healthcare workers have what they need to do their jobs and patients have what they need in and out of treatment settings to effectively benefit from best practices in treatment.\u202f\u202f\u00a0Last, inclusion is giving both workers and patients a voice to help provide\/receive high-quality care and encouraging the presence of diverse healthcare staff in the treatment experience of patients.\u201d\u202f This definition focuses on awareness and representativeness, suggesting that the presence of different backgrounds, and aligning the profile of providers to patients are key ingredients to delivering a diverse, inclusive and equitable experience.<\/p>\n This is similar to the tech industry in which, \u201cdiversity revolves around bringing unique people and perspectives to an industry that has traditionally been homogenous, binary, and non-inclusive.\u201d\u202f The recognition that an institution has historically not been diverse or inclusive is an important first step to driving change.<\/p>\n In financial services, these terms take on a slightly different meaning as they relate more to fair access to financial resources and support for underrepresented populations. PNC provides the following definitions for diversity, \u201cDiversity: Intentional representation of different minorities or underrepresented populations with considerations of race and ethnicity, gender, sexual orientation, and disability status.\u202f\u202f By including \u201cintentional\u201d in their definition, PNC takes the step to include more specific actions they can take to help service a diverse population and address institutional inequities.<\/p>\n Reflecting the diverse customer audience through a brands\u2019 employees is a concept that cuts across industries. Companies such as Nike and Target work to build diverse teams while also championing diversity within their communities, customers, and suppliers. Nike specifically says they work to grow a more \u201cinclusive team that reflects the athletes and communities where we live, work and play.\u201d<\/p>\n Across industries and institutions, definitions of the foundational terms \u2018diversity\u2019, \u2018equity\u2019, and \u2018inclusion\u2019 show many similarities, with differences seen more in the level of specificity and direction on how to achieve a more inclusive, diverse, and equitable experience. Looking into consumers\u2019 attitudes on this topic, we see that the specifics matter a great deal among historically marginalized groups.<\/p>\n Big Village asked 1,000 consumers (representative of the U.S. population) what it looks like when a company or brand authentically demonstrates the following terms: equity, inclusivity, and diversity. Questions were open-ended, and respondents were encouraged to be specific. To analyze the data, we leveraged Relative Insight, a text analysis tool that uses Artificial Intelligence and machine learning to identify how different demographic groups define these key terms.<\/p>\n An authentic representation of \u2018equity\u2019 among historically marginalized groups is defined as having the same opportunities as majority groups. For example, consumers with disabilities are twice as likely to use the word \u201csame\u201d when describing \u201cequity.\u201d There is also a sense that being authentically equitable includes a strong sense of fairness. LGBTQ+ consumers, for example, are 4 times more likely to use \u201cfair\u201d to describe \u201cequity.\u201d One consumer described equity as, \u201cfair equity for a company would be providing jobs in higher ranking positions explicitly for individuals that come from oppressed groups, such as indigenous people, black and Latinos as well\u2026.\u201d The notion that organizations, including brands, have representation within their senior ranks was stronger among traditionally marginalized groups.<\/p>\n Among consumers, \u201cinclusivity\u201d is about how the brand is organized and presented to the world. Majority groups\u2019 focus is more on the outward expression of the brand in advertising. For example, heterosexual consumers are 2 times more likely to mention advertising when describing inclusiveness. Able-bodied consumers are 1.5 times more likely to mention ads, with one consumer sharing, \u201cwhen a company or a brand is authentically inclusive, it means everyone is welcome to enjoy their resources. It is also a marketing strategy that is so diversified to create a positive brand image to all, young, old, including ethnic groups, from all backgrounds, etc.\u201d This focus on marketing, and marketing strategy, is more prevalent among the majority, and not as big a factor among minority groups.<\/p>\n Minority groups focus more on motivations and outcomes. For example, consumers of color are 3 times more likely to describe authentic inclusivity as \u201creal,\u201d with one consumer going on to say, \u201ca brand is inclusive when they include people from a variety of groups without being asked to. They\u2019re being inclusive because they want to, not because they\u2019re expected to.\u201d Employment opportunities were often mentioned by marginalized groups, with Hispanics 2 times more likely to call out specific ethnicities, with one consumer describing authentic inclusivity as, \u201c(when a company) hires different sectors of ethnic backgrounds and promote products that have ethnic features for all the different cultures in the country.\u201d Minority groups want proof points such as minorities in leadership positions and products geared to different groups.<\/p>\n As consumers<\/span> look for more action and outcomes from brands, brands and the agencies that support them will need to focus on tangible outcomes of DE&I efforts, within both their organizations and their brand expressions. Over the course of the year, Big Village will be examining DE&I from multiple angles, with a focus on brand building, optimizing the customer experience, and audience segmentation and targeting. Big Village\u2019s unique collection of qual, quant, primary and secondary research capabilities will be brought to bear throughout our work, to provide a holistic, contextualized view of the issues facing consumers and the brands that serve them.<\/span><\/p>\n\n
How Organizations Define DE&I<\/span><\/h3>\n
Industries Differ in Defining DE&I<\/span><\/h3>\n
Consumers Are Looking for More<\/span><\/h3>\n
The Road Ahead<\/span><\/span><\/h3>\n