Diversity and Inclusion in the workplace

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Diversity and Inclusion - Importance in Advertising and Marketing: United States

Diversity and inclusion help brands to discover new markets, increase and protect their reputation, and improve revenue.

Diversity helps to attract new markets

Increasing and protecting brand reputation

Increase revenue

  • Diversity in advertising enables a company to discover new markets. These new markets present new revenue opportunities.
  • Fenty Beauty, a cosmetics brand founded by Rihanna that claims to be the new generation of beauty", launched 40 shades of foundation for men and women of all complexions. Such an extensive launch is unheard-of in the makeup world, especially for a new brand. In the first month after launch, the brand reported $72 million in earned media value.
  • Fenty Beauty's launch garnered over 132 million views on YouTube.
  • Surprisingly, foundation colors on both sides of the light and dark spectrum sold out first. Both light-skinned and dark-skinned people turned to Fenty for their cosmetic needs.

Ancestry’s recent ad backlash

  • Ancestry.com recently ran an ad that caused offense instead of pulling on consumers’ heartstrings. The ad shows a white man in clothing from the 1800s holding out a ring to a black woman, and beckoning her to run away with him. Abigail, we can escape to the North", he says. “There is a place we can be together, across the border. Will you leave with me?”
  • The ad was criticized for sanitizing and inaccurately depicting American life, obscuring the brutality of slavery. Historians and advertising industry insiders noted that the ad campaign illuminates a set of very modern, ongoing American problems with race.
  • Ancestry later pulled the ad off-air and issued an apology.

Utah company criticized for a lack of diversity in their ads

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Diversity and Inclusion - Importance of Diverse Leadership: United States

Many studies have found that inclusive companies with diverse leadership are more successful and demonstrated an increase in employee satisfaction and had better financial performance.

Importance of Diverse Leadership

  • According to Bussiness Insider, a recent study found that when companies commit themselves to more diverse leadership, they are more successful.
  • Overall, the report concludes that diverse companies are more likely to win over top talent, and thus improve things like employee satisfaction, leading to more positive returns.
  • The report also states that big companies with women on the leader board had a better performance against those companies that didn't have women as leaders.
  • McKinsey & Company states that there is a linear relationship between racial and ethnic diversity and better financial performance of about 10% increase in diversity equals 0.8% of increase in profit (EBIT).
  • According to McKinsey & Company, in 2014, gender diversity on their executive teams was 15% more likely to experience above-average profitability than companies in the fourth quartile. In 2017, that percentage increased to 21%.
  • A recent study by the Boston Consulting Group has found that increasing diversity has a direct effect on company's revenue by 19%.


  • Companies who have greater workplace diversity outperform their competitors and achieve higher profits.
  • Other benefits include a variety of different perspectives, higher innovation, faster problem-solving, better decision-making, higher employee engagement, reduce employee turnover, better company reputation, and improved hiring results.

Successful diverse companies in the U.S.


  • According to Forbes, GAP is an American clothing company that performed in the top companies with higher rates in the 2018 list of the Top 100 Most Diverse and Inclusive Organizations Globally.
  • Catalyst released a case study about the GAP company and how they implemented their Diversity and Inclusion programs called ASCEND and ICON. These programs consist on targeting high potential talent from diverse backgrounds in which more than 30,000 women have participated in the program since 2007, and GAP Inc. is currently expanding their program to other regions with the goal to reach one million women by 2020.
  • Some remarkable achievements as a result of these initiatives state that women’s representation in leadership levels has gone from 33.0% to 77.0% at CEO levels and women of color comprise 4 out of 10 women. Notably, between 2010 and 2015, women’s representation on GAP Inc.’s Board of Directors increased from 10.0% to 36.0%.
  • These strategies increased employee engagement and retention and drive business results.


  • According to Thomson Reuters, Microsoft is one of the topmost diverse and inclusive organizations globally.
  • Microsoft's Board of Directors is considered one of the most diverse tech companies, with women and ethnic minorities representing about 5 out of 11 board positions.
  • In 2017, Microsoft's efforts to recruit, retain, and grow the careers of women at Microsoft resulted in an increase in female representation at the company from 25.5% to 26.6%.
  • And, the representation of women in leadership roles increased from 18.8% to 19.7%.
  • The representation of African American/Black employees increased from 3.9% to 4.1% and the representation of Hispanic/Latin employees increased from 5.8% to 6.0%.
  • They experienced a modest increase in both African American/Black and Hispanic/Latin employees in leadership and tech roles as well.
  • Microsoft stated that these inclusive efforts provide them with greater consumer insight, creativity, and real-time market innovation.

From Part 01
  • "According to Newscred, in a recent survey of U.S. marketers: 88% agreed with the statement, “Using more diverse images helps a brand’s reputation.” 41% agreed it is important to represent modern day society in marketing imagery 33.9% said they’ve used more “racially diverse models” 21.4 percent said they used more images featuring “nonprofessional models” in the last 12 months"
  • "Campaigns such as these have often spurred negative backlash by a small but vocal minority on social media. Do you think that brands are as still as concerned with negative reactions as they might have been a few years ago?"
  • "Among the most striking of the study’s finding was that 88 percent of U.S. marketers in the survey agreed with the statement “Using more diverse images helps a brand’s reputation.”"