Retailer DEI Cuts Threaten Black Brands
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Entertainment
As Target and other retailers drop DEI programs, Black founders could face tougher battle to get and stay on shelves
85% Informative
As more retailers drop DEI initiatives, efforts to find and fund Black-owned brands are also at risk.
Companies including Sephora and Costco have stressed the importance of carrying products that reflect the diversity of their customers.
Target dropped specific DEI pledges that it made four years ago after George Floyd was murdered.
Sephora, Costco and E.l.f. Beauty have doubled down on diversity initiatives as a meaningful part of their business strategies.
The retailer has increased the percentage of Black-owned brands on its shelves from 3% in 2020 to about 10% as of 2025 .
About 22 companies participate in the pledge, including Macy 's and Nordstrom .
The 15 Percent Pledge aims to support smaller Black- and minority-owned suppliers.
Gap did not renew with the group late last year , but said it's not backing away from DEI efforts.
Walmart and Target have downplayed concerns that they will start to carry fewer Black-owned brands.
Some Black founders have warned against boycotting Target and other retailers.
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