Fifteen Percent Pledge - a non-profit that asks retailers to reserve 15 percent of their shelf space for black-owned businesses - says it has partnered with 29 major retailers since it was first founded in May 2020. Cheddar News speaks with LaToya Williams-Belfort, Executive Director at Fifteen Percent Pledge, who explains how fighting systemic racism in the retail space can also bring profits for businesses.

Closing Bell

Pledge to Promote Black-Owned Businesses Generates Profits for Businesses

Welcome back to Cheddar News is closing bell, everyone. Well, August is national black business month and at Cheddar News, we celebrate and recognize black-owned businesses for all that they represent in the country's continuing strive for diversity and equality. Today, I'm speaking with a special guest who is on a mission to make major retailers take the 15% pledge, asking 15% of their shelf space to be dedicated to black-owned businesses reflecting the population. And joining me now is LaToya Williams Belford, executive director at the 15% pledge. LaToya, great to have you on the show. I know this pledge founded back in 2020, just a few years ago and since then, 29 companies have joined. What are the benefits that taking the pledge offers to retailers? Great to be here this afternoon, Kristin taking the pledge is a great opportunity for retailers to utilize this partnership, this strategy and this access to business ready black owned businesses to grow and develop their assortment to be more diverse and ultimately to reach more customers and why is this important for business? We know why it's important for diversity inclusion. I want you to talk to me about the business benefit to this as well. Our work is really tightly connected and lives in the business space, although we are a nonprofit advocacy organization. Our work with retailers is all about ways to reach customers create loyal customers to have an assortment that is reflective of what customers are looking for, a variety of customers and what we know when you hit all of those benchmarks, you will drive the bottom line. So it's really about thinking about diversity and black businesses really being rooted in the overall business strategy. G not just living separately in a silo in the D. I. Space, but understanding that the more you can speak to A variety of diverse customers and speak more inclusively, you're able to drive your bottom line. So shopping happens in two places, brick and mortar on the web as well. E commerce, we're talking about the brick and mortar pledge, obviously 15% shelf space. What about the digital presence, LaToya That's a good question. I mean we have 29 partners and what we do is in our journey to make matches with black businesses. We think about what is the best application and sometimes before we get to the brick and mortar, it is a marketplace application or it is a pop up application. So we really do think about again, what is the retailer's business model kind of and where the black business is and its development and maturation and what is the best outlet to start relationships so many times. Uh, the kind of marketplace online opportunity is definitely in play definitely in play. I know you've got a partnership with google shopping as well. Talk to me more about that. Yeah, we're excited. So we have a database of over 2000 black businesses that are emerging and innovative, some already very fully developed and google powers our online database And in addition to powering google shopping in addition to powering that database which you can find on our website. We also provide much education, many seminars, different opportunities to learn and develop in the digital marketing space because that is where we are in 2022 we really, we wanna make sure businesses are developing holistically as we work towards our shelf space proposition. La Toya given me some numbers here some data that shows the success of this. I mentioned you've been discussing obviously in your own words, the 29 companies that have signed on board how much business has been directed to black business owners. Absolutely. So over the last two years we've created $10 billion in relationship opportunity and dollars between 29 Retail pledge takers and corporations because we have some pledge take pledge taker partners that are not traditional retailers and over 625 businesses have created relationships with those 29 partners. So much work has been done over the last two years as we grow and develop as an organization and push this proposition forward in the middle of a global pandemic. So a lot of work has been done that we're really proud of and a lot of work still left to be done to really get to making a dent in closing the racial wealth gap. What are some of the companies LaToya of the 29 that have signed on who are they and why did they make the commitment? What did they tell you? So we have Ulta beauty, We have Sephora, we have Macy's and Bloomingdale's, we have Nordstrom taking a 10 year contract because signing the pledge is a contractual agreement, it is a multi year contractual agreement. And I think our partners come to us an understanding that we are a data informed, you know, partner that is really working to close the racial wealth gap in the most strategic long term and sustainable way. And again, really focused on overall business objectives, thinking about black businesses and partnerships with retailers in the most holistic sustainable way, and always keeping our eye on the pulse as it relates to driving revenue, some of the biggest businesses out there, it's extremely impressive, LaToya. So I know you've got a whole ambitious strategy going forward as well. Give me some of the success stories, um, some of the anecdotal bits, right? The personal stories that have been heartwarming for you to hear about after launching this two years ago. Absolutely. I mean, we have, uh, so many stories that come through our black equity community and business equity community in relation to just having an opportunity to have a seat at the table. Uh, you know, we work with Top Pickles, uh, and, and many other brands that are able to not only have access to retail partnerships through our work, but really once you're on the shelf, right, what is the pathway to growing a really robust, sustainable, long term partnership and understanding that black businesses historically have faced challenges because of systemic racism and need additional development and support from retail partners. So we have so many black businesses, but if you go to our website, We have again, a listing of so many black businesses across the assortment. We have testimonials and a variety of things to showcase the work that's been done in the partners that have been uh, been affected through our work. All right, LaToya Williams Belfort, executive director the 15% pledge, LaToya, thank you so much for coming out and sharing your story.