New report shows lack of transparency on inclusion is hurting organisations
Businesses that are seen as less inclusive are receiving reduced support from LGBTQ+ consumers, who are now "rewarding" organisations that remain firm on inclusive practices despite recent strong backlash on such commitments.
This is according to a new report from the Human Rights Campaign (HRC) Foundation, which found that the lack of transparency on inclusivity is hurting the reputation of many organisations.
The report, Pride in the Marketplace 2026, revealed that 71% of LGBTQ+ consumers are buying fewer products from companies they believe have scaled back commitments on inclusion.
Another 69.4% are refusing purchases from those businesses altogether at least some of the time.
By contrast, 69.5% of LGBTQ+ consumers are increasing their spending on businesses that they believe are supportive of inclusion, while 65% are intentionally directing purchases toward brands committed to the said value.
"Consumers are rewarding companies they see stand by their values and turning away from those who retreat under pressure," said HRC President Kelley Robinson.
"The data is clear: authenticity and consistency build community trust with brands. Companies that embrace that playbook earn lasting loyalty, stronger reputations, and better long-term business results."
A problem in inclusion transparency
LGBTQ+ consumers represent more than $1.4 trillion in annual purchasing power in the United States alone, rising to more than $3.9 trillion globally.
The HRC pinned the declining support from LGBTQ+ consumers to the lack of transparency from many organisations when it comes to their inclusive practices.
An HRC report earlier this year revealed that there is a 65% drop in the number of Fortune 500 companies choosing to publicly document their DEI policies following backlash from the public and pressure from the US government.
President Donald Trump has slammed DEI practices multiple times, and has implemented a sweeping crackdown on these policies in the federal government and even took steps to pressure private organisations to follow suit.
The HRC's Pride report underscored that consumers often rely on corporate communications and brand visibility to understand how organisations are engaging with issues that matter to them.
"When those signals become less visible or more difficult to interpret, consumers are left with fewer reference points for evaluating a company's priorities and commitments. As a result, uncertainty can influence perceptions just as strongly as explicit messaging," the report read.
According to the HRC, its Pride report findings should be a "sobering reality check" that consumers are responding accordingly to what they perceive as a "retreat" from inclusive practices.
"In many cases, the greatest opportunity for businesses may be closing the gap between the work they are doing internally and what consumers understand about those efforts externally," it said.