Peloton instructor says companies' rainbow washing is a problem

One of Peloton's top instructors says Rainbow washing by corporations during June's Pride Month is a problem that needs to be addressed.

Peloton PTON instructor Matty Maggiacomo said that others are truly put their money where their mouth is, according to Peloton PTON instructor Matty Maggiacomo on Yahoo's Let's Glow series.

The rainbows on corporate websites, TV commercials, social media, and other marketing venues begin to appear at the beginning of June as 'Pride' months kick off.

Data shows that companies continue to promote the use of the rainbow logo in June.

More than 91% of consumers surveyed by Bazaarvoice said they were more likely to choose a brand or try a new brand that supports the LGBTQ community than a brand that doesn't. According to the survey, 88% of consumers believe brands should support the LGBTQ community by supporting LGBTQ employees.

The companies that use rainbow logos in their Pride promotions have a lot of critics.

They say companies are simply trying to sell merchandise by connecting emotionally with consumers on an important topic. At the same time, these companies may be doing little to support LGBTQ equality in their own companies and local communities.

I think the concern with rainbow washing is that you have all of the companies that have simply plastered the rainbow on their logo or even sometimes on their actual packaging. You walk into a big box store this week and there are rainbows in some of the weirdest of places, according to Dr. Aronte Bennett, associate chair of marketing and business law and associate dean of diversity, equity, and inclusion at the Villanova School of Business.

Bennett says the rainbow logo should be used to include clear-cut efforts by companies to address LGBTQ inequality and be authentic in their application. Bennett explained that TGT Pride Month is a good example of a company being authentic in their rainbow usage, as a result of retailer Target's TGT Pride month of transgender apparel collaboration with TomboyX.

"I think Target has a collaboration that is more than just walking in the door and seeing a rainbow. We want to make sure that we can serve you, and that we are a valuable part of our customer population," Bennett said.

Other companies seem to have been getting the memo that this 'rainbow washing' must end, not just in June.

According to the data from Datamaran, mentions of LGBTQ in public companies increased from 336 from 2020 to 2021, and only 20 such references were made in corporate filings in 2013.

There is room for these numbers to increase, with thousands of public companies in existence.

Co-founder and CEO of Datamaran Marjella Lecourt-Alma told Yahoo Finance that companies have to look beyond the marketing aspect of changing a logo to include a rainbow and ensure values are aligned with the LGBTQ community. This means companies can't live in the grey area where they celebrate pride with grand gestures while financially backing those who do not stand for equality. Stakeholders don't want to hear claims that go unchallenged and unquestioned. They are demanding change. You can follow Sozzi on Twitter and LinkedIn.