Investment of $7M by Ipsy in Black-led business ventures
In the wake of the reckoning on race and protests against systemic racism and police brutality, Ipsy and many other retailers have made a commitment to support and invest in Black-owned companies. One such initiative is Ipsy's new program called Beauty Amplified, which identifies and amplifies Black-owned brands for its signature Glam Bags.
Retail Dive's analysis shows little change in the percentage of executives who identify as a person of colour since 2010. However, the events of the past year have forced retailers to evaluate their C-suite's demographics, and Ipsy is no exception. The company has stated that 60% of its employees and 41.5% of its leadership team identify as people of colour.
Ipsy has also released its company's demographics on social media, as part of its efforts to be transparent and accountable. The company has committed a total investment of $7 million in 2021 to market and develop products from Black-owned beauty brands. For the chosen Beauty Amplified brands, Ipsy will invest an average of 250,000 units per brand for its Glam Bags.
Sixteen brands, including Pat McGrath Labs, Fenty Beauty, and Uoma, have been enrolled in the Beauty Amplified program. Ipsy will provide twice the value of its typical marketing support to these brands, and has set aside $1 million to fund brand product sourcing upfront for the Beauty Amplified brands.
Ipsy's commitment to Black-owned beauty brands is not unique. Glossier has also pledged to give out $500,000 grants to Black-owned businesses in the beauty space and an additional $500,000 to various racial justice organizations.
Other retailers are also taking action. Sephora was the first brand to take the 15 Percent Pledge, which aims to ensure that at least 15% of its shelf space is dedicated to Black-owned brands. Macy's, West Elm, and Madewell have also followed Sephora in taking the pledge.
Birchbox has partnered with the Brown Girl Swap campaign to curate a box of all Black women-owned brands. The campaign aims to promote Black-owned brands and increase their visibility in the beauty industry.
Uoma Beauty founder Sharon Chuter's Pull Up For Change campaign urges beauty companies to release how many Black executives and employees they have. While progress may be slow, the beauty industry is starting to take action to address systemic racism and promote diversity and inclusion.
Glossier and Ipsy are examples of brands committing financial support to Black-owned businesses and racial justice organizations. As the industry continues to evolve, it is likely that more companies will follow suit and make a commitment to supporting Black-owned brands.
