Pride Month has become a time when retailers aim to express solidarity with the LGBTQ+ community by altering their logos with vibrant rainbow hues. However, many consumers view such logo changes as shallow publicity stunts or a strategy to dodge potential backlash, reveals GlobalData, a leading data and analytics company.

Retailers must carefully consider their actions and campaigns for Pride month, as consumers feel negatively about retailers that change their logo for Pride month as it feels like a publicity stunt when it is not substantiated with active support for the LGBTQ+ community.

GlobalData’s UK April 2023 monthly survey* reveals that 48.2% of consumers think a retailer changing its logo feels like a publicity stunt, with a further 19.8% stating that doing so feels like the retailer is doing the bare minimum to avoid bad press.

Despite 51.6% of consumers stating that retailers do not need to take any further action to show support for Pride, many consumers expect greater action with 24.2% expecting a retailer to donate to related causes.

Sophie Mitchell, Retail Analyst at GlobalData, says: “Ahead of the Pride month, retailers should ensure their actions are aligned with their target consumers, as young consumers especially are acutely aware of whether retailers are ethical and support social causes.”

According to GlobalData’s UK 2023 Q1 Consumer Survey**, 21% of Gen Z consumers and 19% of Millennials stated that whether a retailer is ethical and supports social causes is essential in their decision to make a purchase, compared to only 11% of Gen X.

Mitchell continues: “Retailers and brands whose actions have resonated well with consumers when it comes to supporting the LGBTQ+ community include Apple, IKEA, Happy Socks and Converse, which will have boosted sales for these retailers.”

For instance, Apple has unveiled a new Pride edition rainbow watch band, which includes colors to symbolize Black and Latinx communities, those living with HIV and AIDs, and transgender and non-binary individuals. This action is substantiated by proceeds from sales of the band building on its ongoing financial support to LGBTQ+ advocacy organizations.

Mitchell concludes: “Retailers are likely to face scrutiny from consumers, who expect Pride celebrations and campaigns to align with their company values and actions. Retailers should be able to demonstrate their active support for the LGBTQ+ community if they are going to change their logos for Pride month, to avoid being accused of rainbow-washing by consumers and reap the rewards by attracting socially conscious shoppers.”

*GlobalData’s April 2023 monthly survey of 2,000 nationally representative UK respondents

**GlobalData’s UK 2023 Q1 Consumer Survey of 584 nationally representative UK respondents