Target Corp. has advanced its Racial Equity Action and Change commitment to invest more than $2 billion with Black-owned businesses by the end of 2025, the company announced while also is introducing the Roundel Media Fund, which will award more than $25 million in media to diverse-owned and founded brands through its in-house media company by 2025.
On the way to the goals it set for year-end 2025, Target increased investments by more than 50% in 2021 compared to 2020. The retailer also pointed out that it had launched the Forward Founders accelerator program and completed two classes that help support more than 30 Black entrepreneurs with additional classes planned for its goal of rolling out programs to support Black-owned and diverse business owners. As for its pledge to invest 5% of its annual media budget with Black-owned businesses by 2022’s end, Target stated, since 2020, it had invested four times more with Black-owned media partners and doubled the number engaged.
Target has increased investments with Black-owned brands, companies and suppliers by more than 50% compared to 2020, according to the company, and it more than doubled Black-owned brand product offerings, with representation across every major product category. The retailer noted it now offers more than 100 Black-owned brands for guests to shop from beauty items, home goods, books and toys to apparel and accessories, as well as food and beverages.
The company’s beauty assortment has seen a 65% increase in Black-owned brand offerings since 2020, Target asserted. The retailer added more than 200 books from Black authors to its assortment in 2021 and will stock 50 Black-owned food and beverages to its assortment by the end of December. Target has expanded collaborations with Black designers within its own-brand lineup and worked with Black creators to launch an exclusive home collaboration with Justina Blakeney (pictured above), which resulted in Opalhouse designed with Jungalow, as well as limited-time-only collaborations with partners Christian Robinson and Hilton Carter.
With the new Rondel Media Fund, Target will increase the exposure of diverse-owned brands through paid media, the retailer indicated. Designed to offset the cost of Target marketing programs for Black, Indigenous and people-of-color brands, the fund will award more than $25 million in media to diverse-owned and -founded brands by the end of 2025.
“At Target, our commitment to supporting Black-owned companies and advocating for racial equity touches every aspect of our business, including investing in underrepresented entrepreneurs, launching Black-owned brands at Target, working with Black designers and suppliers and increasing visibility through our marketing,” said Christina Hennington, Target executive Vice President and chief growth officer. “While there’s more to be done, our team has approached this critically important work with passion and conviction, and we are on track to meet the goals we established to advance racial equity through the full impact of our company. We will continue to ensure Black-owned businesses have a seat at the table so that all guests feel welcomed and represented when they shop at Target, and we’ll bring transparency to the progress we’re making to create lasting change for retail and beyond.”
