FedEx recently announced it’s partnering with historically black colleges and universities to develop a diverse talent pipeline, and just this month, Ulta Beauty said it will spend $50 million in 2022 to broaden DEI (diversity, equity and inclusion) efforts throughout the company and across the beauty industry.
There are more examples where these came from, as companies increasingly recognize the importance of diversity and inclusion (D&I). They understand that respecting, appreciating and welcoming employees of all backgrounds is not only the right thing to do, it’s also a critical driver of business success.
Besides improving employee engagement and retention, D&I efforts help companies grow by positively impacting their reputations. When a company employs people of different genders, ethnicities, ages, religions, sexual orientation and other defining characteristics, it’s more likely to generate greater brand affinity and consumer trust – all while working to build an equitable workplace.
Doing better
The more diverse a team is, the better it performs. Multiple studies have shown that decision-making, productivity and creativity all improve when the employee roster represents a cross-section of society.
People from different backgrounds offer different perspectives, which helps solve problems, overcome challenges and drive innovation. That leads to highly engaged and effective teams, with co-workers sharing a sense of purpose and belonging.
And when that happens, employees are more committed to helping their employers’ succeed – which means meeting customer expectations – and likely to become brand ambassadors who speak highly of their companies outside of work. So, more diverse companies tend to have not just high-performing employees, but also higher customer satisfaction and loyalty.
Building trust
Diverse teams also are better-equipped to recognize shifts in consumer preferences and consumption patterns. That allows inclusive companies to proactively address these changes and provide the products and services their customers want, when they want them.
Anticipating needs endears brands to consumers, who trust and patronize them more as a result. One of the many studies that prove this was a 2019 survey by Adobe in which 38 percent of consumers said they are more likely to trust brands that show more diversity in their ads.
And, that trust translates to higher sales. According to the 2018 Readers’ Digest Most Trusted Brand Survey, 71 percent of consumers would spend more money to support products and services from a brand they trust.
Reflecting culture
Today’s consumers – especially Gen Z and millennial audiences – expect the companies they do business with to support inclusion. It’s not surprising given the changing face of American buyers. Experts predict that by 2044, groups formerly known as “minorities” in the United States will collectively reach majority status.
Savvy marketers are preparing for the shift now and understand that people react most favorably to content in which they can see themselves and their communities represented positively and realistically. Such content is more likely to originate at diverse companies, which can use it to illustrate their genuine commitment to D&I.
All the evidence indicates brands that do so will be duly rewarded. Companies that implement strong D&I strategies now and continue building on their efforts will enjoy a sustained business advantage.
Partner up
Broadening your D&I efforts shouldn’t just be a behind-the-scenes job; the public should be made aware. Through press releases, press conferences, and media interviews developed and secured by experienced PR professionals like those at GYC Vegas, you can keep current and potential customers up-to-date on changes you implement. For more than two decades, GYC Vegas has helped clients of all sizes effectively tell their stories and get recognized in the media.
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