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What Does It Mean For A Brand To Get “Canceled”? Not Much.

globalresearchsyndicate by globalresearchsyndicate
July 7, 2020
in Data Collection
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What Does It Mean For A Brand To Get “Canceled”? Not Much.
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The brutal killing of George Floyd last month sparked worldwide protests against racism and police brutality, calls to action for defunding the police, and a wider reckoning with systemic injustices. People are encouraged to reflect on their inherent privilege or lack thereof, and companies are attempting to follow suit. 

Authenticity is a hard note to strike online, especially if you’re a non-sentient corporation or a social media manager just trying to do her job. As the June protests took over streets and social media feeds, brands were quick to put out emails and posts in solidarity with the movement. My inbox was flooded with subject lines reading, “#BLM,” from Spotify, Netflix, Sephora, the millennial jewelry company I ordered earrings from that one time, my local coffee shop, and even my dentist. For weeks, Instagram was inundated with flowery #BlackLivesMatter graphics from otherwise politically-silent brands. 

But a hashtag isn’t enough to offset historically toxic company cultures. After posting in support of #BlackLivesMatter, companies like Urban Outfitters, Anthropologie, and L’Oreal were called out for instances of internal racism. And some of their followers didn’t give the benefit of the doubt or stick around to see what would happen next.

On June 1, L’Oreal posted a graphic on Facebook: “SPEAKING OUT IS WORTH IT,” written in bold white letters against a black square with the company logo. The quasi-activism did not go as planned. One commenter replied, “Your words mean nothing. And your actions are speaking. Shame on you L’Oreal. Do more.” Another person added, “We need a public apology and future dedication to the black community. #MunroeBergdorf.”

The commenters were referring to a 2017 incident, when L’Oreal fired the Black and trans model and activist Munroe Bergdorf after she spoke out on social media about “the racial violence of white people” in the aftermath of a white nationalist rally in Charlottesville, Virginia, where a counter-protester was killed. Bergdorf posted about the company’s hypocrisy last month and has since agreed to serve on the L’Oreal UK Diversity and Inclusion Advisory Board.

L’Oreal lost a few loyalists to the PR nightmare. According to Thinknum Alternative Data, the brand’s Twitter follower count has dropped by 4,000 since last month. Of course, @LOrealParisUSA still boasts over 500,00o followers. Its Facebook mentions surged with the controversy, up 124% within the first few weeks of June.

L'Oreal Facebook Mentions

Thinknum Alternative Data

Last month, Urban Outfitters shared a post asserting that “Racism, injustice, oppression, and complacency have never been welcome in our community,” The trendy apparel brand was immediately hit with a flurry of commenters calling bullshit. “I worked for UO for 7 years. During that time I witnessed many sexist and racist practices,” one user said.   

Employees of Urban Outfitters and UO subsidiary Anthropologie took to social media to expose the company’s use of code names like “Nick” and “Nicole” to racially profile Black customers that were considered potential shoplifters. (This writer, who spent one hellish summer greeting customers and folding shirts at Anthropologie, can confirm.) The retailer deflected and denied the allegations. 

Anthropologie lost 10,000 of their 4.1 million Instagram followers over the last month. Urban Outfitters saw followers actively unliking its Facebook page, but maintains 2.2 million likes.

Urban Outfitters Facebook Likes

Thinknum Alternative Data

It’s hard to see any of this as more than slight collateral damage for these brands. Urban Outfitter’s stock is trending upward this week, at $16.61 per share as of July 6. L’Oreal stock has been rising since March, currently at $65.72 per share.

As mainstream conversations around race die down, most companies are back to posting their usual stream of product images and influencer endorsements. Some have backed up their #BLM support with donations and diversity pledges. Sephora says its stores will dedicate 15% of shelf space to Black-owned beauty brands. Glossier committed to donating $500,000 to social justice organizations. But how genuine are these efforts, coming from brands trying to simultaneously survive the pandemic and maintain a woke public image? As the rapid news cycle churns on, will their words make way for long-term, sustainable change?

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