Companies have lost their way by abandoning DEI. Those decisions have destroyed brand promises and left lifelong customers feeling a profound loss and sadness.
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In a recent blog post of mine, I discussed the DEI imperative for businesses that want to grow their customers and their employees. In January, after the blog was published, Target became the latest major company to announce that it was ending its Diversity, Equity, and Inclusion efforts, ending its $2 billion commitment to invest in black-owned businesses and diversify its supply chain, and ending its REACH program.
Let’s Understand the Consequences
Bear with me, this could take a while. I’m from Minnesota. I grew up with Dayton’s Department Store. It was the jewel of Minnesota retailers. We all loved and admired Dayton’s because they brought value to and cared about their customers. Truly. I’m not kidding.
My mother had a friend who once bought a painting at Dayton’s in the 1960s, and she wasn’t happy about how they hung the picture. They came back and made it right. For many years, they took back merchandise without receipts.
That’s commitment to your customers! I never forgot that lesson. The Dayton brothers established the concept that companies should donate up to 5 % of pretax profits to their communities. They led our state in philanthropy and corporate responsibility.
Out of the success of the Dayton Hudson Company, Target was born. It carried the values of its parent company. Because it was a great company with great values, many members of my family were proud to work at Dayton’s and its spin-off Target.
Times changed, and department stores were out. No more great service. Customer loyalty was no longer important. It was all about the supply chain.
Target Misses the Point
It’s disheartening to see Target step back from its commitment to serving the diverse needs of its customers, employees, and communities. Target had the opportunity to serve all of us. Instead, it has chosen to retreat from its promise of diversity and inclusion, leaving many of its most loyal customers behind.
Like many of its peers, in abandoning DEI, it has lost its way. It has destroyed its brand promise and left lifelong customers like me, a member of the LGBTQ community, and members of Black and Brown communities feeling a deep sense of loss and sadness.
I will not be shopping at Target until it understands the needs of all its customers—and I’m not alone. Since it announced its new policy, Target has seen a steep erosion in traffic in its stores and online. Its customers are voting with their feet, and their investors are shunning their stock, as well. Rival Costco has seen a significant increase in new members who once shopped at Target. Consequently, Target’s stock has sunk more than 12 percent since January.
Ending DEI is the message, not only to LGBTQ people but to all people who have been systematically excluded from opportunity. Twin Cities Pride rightly returned Target’s financial support. Why accept money from a deceptive “brand” that wants to appear to be an ally while simultaneously gutting DEI opportunities for the very people it wants to be seen as supporting?
