For Kellanova and Shipt, DEI isn’t solely non-negotiable, it’s a development engine

Consumer brands including Lowe’s and Molson-Coors have backed away from diversity, equity and inclusion (DEI) initiatives in recent months, but Kellanova And Shipping don’t back down. In fact, they both view diversity as an engine for growth.

Speaking on a panel with marketing heads from both brands during the inaugural session Black week conference in New York last week, Amber Guild, CEO of McCann New York, said: “If we really think about diversity, equity and inclusion, it’s not just the right thing to do ; it is the only thing to do for growth. Then it’s about how to unlock human possibilities when it comes to business opportunities.

The black population in the United States, whether native or foreign-born, is expected to increase from 49 million in 2030 to 60.6 million in 2060. by Pew Research. THE US Census also predicts that one in four Americans will be Latinx by 2060.

Charisse Hughes, Kellanova’s chief growth officer and Allison Stadd, Shipt’s vice president of brand, culture and media, joined Guild to share how their brands are investing in partnerships and campaigns designed to engage diverse consumers at United States and beyond.

In 2022, Kellanova in partnership with a restaurateur and influencer Pinky Cole, owner of Atlanta-based food spot Slutty Vegan, to promote her plant-based Incogmeato line MorningStar Farms. The company also created a Chef in residence fellowship program the previous year, offering minority chefs the opportunity to work with its global research and development teams.

Elsewhere, Shipt tapped Issa Rae for her “Delight in every delivery” campaign, in which she worked with Howard University students to create a place to promote Shipt’s student membership program. The brand then surprised students with a campaign launch event in Times Square.

“Pleasure in Every Delivery” is the company’s largest marketing campaign to date. Although she didn’t share specific numbers, Stadd said the initiative outperformed, leading to increased brand awareness and engagement as well as increased downloads of the Shipt app.

Unlock new audiences

Hughes said investing in inclusive marketing is key to unlocking growth.

One of the first things she thought about after joining Kellanova in 2020 was how the company educates and trains its marketers to understand the communities they serve. The company then launched the “K Way of inclusive marketing”, an employee training program designed to teach Kellanova marketers how to speak to diverse audiences.

This investment opened his team’s eyes to the purchasing power of diverse populations, as they were “able to use [the] data, information, [and] understanding of these populations to engage more deeply,” Hughes said.

She added that her team recognized “more relevant and engaging communications and execution plans.” Last month, for example, MorningStar Farms, which offers many flavors and product iterations, became available for the first time in the UK and Ireland, reflecting “our commitment to offering products that meet consumers’ dietary preferences premises”, Rob Kelly, vice-president of Kellanova. of research and development in Europe, said in a statement.

“I think [K Way] It was probably one of the most important initiatives we’ve done in the last five to seven years,” Hughes said.

Kellanova reported a 4% year-over-year increase in organic net sales in the second quarter of 2024, with Pringles leading the way as the best-performing brand, according to its report. most recent earnings call.

The human touch

To build a consumer-facing brand, Shipt executives watch quarterly testimonial videos from real consumers “to put faces, names and sounds to the real people who use our services,” she said.

Stadd also shadowed the brand’s customer service team and set aside time with local Shipt shoppers to hear about their experiences directly from them, she said.

Stadd emphasized the importance of allyship, both internally and externally. She added that ensuring consumers across all demographics can successfully access Shipt’s products and services is crucial to making them feel cared for and reflected in the work.

Brands should think about “embodying empathy and curiosity, which to me are the two components of allyship,” Stadd said.