General Motors, one of the nation’s biggest advertisers, said Thursday it would quadruple the percentage of its advertising dollars that go to Black-owned media outlets between now and 2025.
GM’s statement is a sign of the scrutiny and pressure that corporate giants are facing to spread the wealth of their corporate spending around a wider array of firms.
GM said it intended to increase the allocation of its ad spending from its current 2% with Black-owned media to 4% by 2022 and to 8% by 2025.
“Black-owned media are a vital component of our marketing mix, and we evaluate our spend for media partners through several core metrics, including transparency, innovation, ad quality, audience delivery and brand safety,” General Motors said in a statement Thursday.
GM’s move came after the automaker was targeted by a group of Black media leaders, including entrepreneur Byron Allen. The group took out ads in the Detroit Free Press and Wall Street Journal to deliver an open GM CEO Mary Barra. The group suggested the manufacturer of Cadillac and Chevrolet spent less than 0.5% of its advertising in Black-owned media outlets. On Thursday, GM said that it has allocated 2% for 2021.
A number of advertisers and ad groups have in recent days taken steps to show their interest in Black media, which include Allen’s Allen Media Group, Revolt Media, Ozy, Essence Magazine and Urban One. Procter & Gamble, the large consumer-products manufacturer, earlier this week unveiled an initiative to bring more Black creators into the media and entertainment industries and to call for better portrayals of Black individuals and consumers in programming. Interpublic Group’s Magna, a large media-buying unit, earlier this month launched a series of sessions that aim to spur new discussions between its ad clients and Black-owned media outlets.
More to come…
(Pictured: Allen Media Group chief Byron Allen)