Diversity, equity and inclusion (DE&I) has recently become one of the most trending topics in the media and entertainment industry. But embracing diversity isn’t only about doing the right thing. Analysis shows that ethics and profits are two sides of the same coin. There’s financial logic to making sure that content–and those who create it–are authentically and inclusively representative of today’s society.
For example, movies that lack authentic and inclusive representation underperform by around 20% of their budget at the opening weekend box office. In advertising, 64% of consumers in a Google survey said that they had considered buying or had made a purchase after seeing an ad that they considered diverse or inclusive. Similarly, other sectors have sizable untapped opportunities from increased diversity and inclusion.
A new report from the World Economic Forum, in collaboration with Accenture, “Reflecting Society: The State of Diverse Representation in Media and Entertainment” shows where the industry is making progress and what more needs to be done. The scope of this wide-ranging report, the first to look across industry sectors and identities, is international although it is worth noting that much of the existing research and data available today comes out of the US.
By better addressing these underrepresented consumers, media businesses should be able to open new markets.