GLAAD RESPONDS TO TARGET’S DROP IN SALES AND OUTLOOK FOR STUNTED GROWTH

“The Trump Administration’s new and proposed policies aim to forcefully revoke private companies’ freedom to include and market to the largest growth consumer bases… These un-American proposals are already leading to negative impact to the bottom lines of some of America’s biggest companies.”

Today, GLAAD, the world’s largest lesbian, gay, bisexual, transgender, and queer (LGBTQ) media advocacy organization, responded to news of Target’s dropping stock price, diminished sales, decreased web traffic and visitors to stores, and outlook for stunted growth in the weeks after Target announced the rollback of their DEI work:

Statement from Sarah Kate Ellis, President & CEO of GLAAD:
“The Trump Administration’s new and proposed policies aim to forcefully revoke private companies’ freedom to include and market to the largest growth consumer bases. These proposals are not the law, they do nothing but spin up negative consumer sentiment and stoke the flames of bias. These un-American proposals are already leading to negative impact to the bottom lines of some of America’s biggest companies. Capitulating to baseless attacks like Target did does nothing to help companies, consumers, or the U.S. economy. Target may blame cold weather for declining profits, but at the end of the day, they need to look inward. Now is the time for corporate leaders to lead.”

Target has been receiving backlash from LGBTQ people and allies for years, most notably in 2023 when the company pulled its Pride merchandise, and again in 2024 when the company restricted sales of Pride merchandise to only some stores.

See below for facts about LGBTQ corporate inclusion:

Findings from Collage Group, February 2025, showing immediate consumer reactions to the pullback on DEI and restrictions on corporate growth:

• 58% of LGBTQ consumers have already reduced their spending or plan to in the next three months with brands that have cut back on DEI.
• Black and LGBTQ consumers are more likely than other groups to lose trust in brands that get involved in social issues if they lack internal diversity.
• Black, Hispanic, and LGBTQ consumers are more likely than white consumers to consider purchasing a brand that supports diversity and inclusion.
• A third of consumers stopped shopping at their favorite stores because of their politics.
• Nearly half of all consumers agree they are more likely to consider purchasing a brand that supports causes they care about.

Support for the LGBTQ Community

• Nearly 4 in 5 LGBTQ adults, and over half of non-LGBTQ adults say today, they think most companies/brands should support the LGBTQ community. (MRI-Simmons, 2024 October LGBTQ and Gender Identity Study).
• Nearly 3 in 4 of LGBTQ adults, and 2 out of 5 of non-LGBTQ adults say they are more likely to purchase a product or service from a company/brand that supports the LGBTQ community. (MRI-Simmons, 2024 October LGBTQ and Gender Identity Study).
• 91% of non-LGBTQ Americans agree that LGBTQ people should have the freedom to live their life and not be discriminated against.
• Nearly 1 in 2 non-LGBTQ adults say they are worried about the LGBTQ community due to the current political climate and over half think that anti-LGBTQ legislation has gone too far (MRI-Simmons, 2024 October LGBTQ and Gender Identity Study)
• Gallup found nearly 1 in 4 Gen Z adults are LGBTQ, and the total LGBTQ U.S. population is over 9%.
• Gen Z adults are 2.5x more likely to BE LGBTQ, 1.4x more likely to KNOW someone in our community, and 1.2x more likely to fully SUPPORT us. (Gallup 2025, GLAAD’s Accelerating Acceptance 2024, GLAAD’s Advertising Visibility Index 2024)

The LGBTQ Community in Corporate America

• Most Americans believe that business leaders should lead the charge – 53% expect CEOs to inform and shape conversations and policy debates about LGBTQ rights. Even more, 59% of Americans say that if business devoted significant resources to protecting the rights of the LGBTQ community it could have a positive impact.
• Across demographics, Americans seek out employers who take a stand in support of LGBTQ rights: If a brand publicly supports and demonstrates a commitment to expanding and protecting LGBTQ rights, Americans are 2x more likely to buy or use the brand and those aged 18-34 are 5.5x more likely to want to work at a company if it publicly supports and demonstrates a commitment to expanding and protecting LGBTQ rights.

Findings from a 2023 GLAAD and Ipsos poll show a majority of Americans are not opposed to corporate support of Pride:

• Americans are nearly twice as likely to say they would want to back companies facing criticism for supporting people in the LGBTQ community, rather than their critics.
• 74% of Americans are neutral or positively impacted by knowing a company offers Pride merchandise.
• 2 out of 3 Americans are neutral to positive about Pride merchandise in a store seeing it as no different than offering products with a sports team logo or other specialized designs.
• 59% of Americans believe companies offering Pride merchandise are showing support and acceptance of the LGBTQ community.