Target's Steep Losses Since Controversially Ending DEI Initiatives
By leah jones
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Lost Searching GIF
On Jan. 24, 2025, Target announced it would be rolling back on its Diversity, Equity and Inclusion (DEI) initiatives. This move follows Donald Trump's efforts to eliminate DEI after beginning his second term as president.
Many other large companies such as Walmart, Amazon and Google have withdrawn DEI initiatives. However, Target has faced the most consequences from its controversial decision.
Target Boycotts
A consumer boycott or "economic blackout" took place on Feb. 28 in protest of decisions to dismantle DEI (despite disapproval from consumers) as well as unfair labor practices.
Target Boycotts
Many Black faith leaders like New Birth Missionary Baptist Church in Georgia's pastor, Dr. Jamal Bryant have called for a 40-day fast of Target in correspondence with Lent.
Target Boycotts
The upset is especially rife within the Black community as Target was particularly vocal about its support of the Black Lives Matter Movement and of DEI with several initiatives.
Target Losses Since Ending DEI
Many doubt economic boycotts as they can have minor effects on sales revenue. However, the Target boycotts have proven successful with daily foot traffic and stock prices dropping.
Target GIF
Target GIF
Target Losses Since Ending DEI
The commerce newsletter reported that Target acknowledged a 3.1% fourth quarter loss and an unspecified decline in sales on an earnings call that took place on Feb. 3, 2025.
Target Losses Since Ending DEI
According to Diversity.com, Target is being sued by many of its shareholders who alleged the company did not properly warn them that its DEI rollbacks could cause such backlash.
Is Sticking Behind DEI Better For Business?
While Target is faced with losses, Costco has reportedly gained over seven million shoppers in the weeks that Target has lost nearly five million.
Costco Store GIF
Costco Store GIF
Is Sticking Behind DEI Better For Business?
Companies such as Walmart, Amazon and Google are quietly dismantling (or remaining in support of) DEI while others contemplate their stance amidst the consequences Target is facing.