Target, Walmart and Amazon face LGBTQ+ spending shift as DEI policies influence purchases

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LGBTQ+ spending shift and DEI

Highlights

Nearly 72% of LGBTQ+ consumers report buying fewer products from companies perceived as reducing DEI commitments, with Target, Walmart, and Amazon most cited.
Fortune 500 participation in the Human Rights Campaign’s Corporate Equality Index drops 65%, from 377 in 2025 to 131 in 2026, as firms scale back DEI initiatives.
Target records its first positive same-store sales in five quarters despite ongoing DEI-related controversies, while Costco posts the strongest spending growth among Democratic consumers after resisting DEI risk assessments.

Survey findings and corporate responses

As reported by the Human Rights Campaign Foundation, nearly 72% of LGBTQ+ consumers say they buy fewer products from companies they perceive as reducing diversity and inclusion commitments, and nearly 70% say they have refused purchases from those businesses at least some of the time.

The five companies most frequently linked by respondents to reduced spending are Target, Walmart, Amazon, Chick-Fil-A and Home Depot. The survey also finds that nearly 70% of LGBTQ+ consumers are rewarding companies they view as supportive of diversity and inclusion, with Costco, Apple, Ben & Jerry’s, Delta Air Lines and Kroger cited most often as receiving higher spending.

Human Rights Campaign spokesman Jonathan Lovitz says consumers are not asking brands to be perfect, but are asking for transparency and clarity about where they stand. Amazon tells CNBC it is fostering opportunities for employees and serving a diverse customer base, adding that it continues to support employees with opportunities to grow, thrive and connect internally and in their communities.

Retail and market impact in the U.S.

The survey arrives as more companies scale back diversity initiatives, modify public-facing DEI programs or end participation in the Human Rights Campaign’s annual Corporate Equality Index. Earlier this year, participation among Fortune 500 companies in the index falls 65% from 377 companies in 2025 to 131 in 2026.

Target remains a focal point in the spending debate. The retailer faces consumer backlash from both sides of the political spectrum over its approach to DEI and Pride-related merchandising, and it is the most cited company among respondents who say they reduced spending. Consumer Edge data shows self-identified Republicans reduced spending at Target during the summer of 2023 after controversy over Pride Month merchandise displays, while spending among self-identified Democrats also declines in early 2025 after the company rolled back several DEI initiatives.

Even so, Target reports its first positive same-store sales figure in five quarters in its most recent quarter and continues some visible LGBTQ+ partnerships, including serving as a platinum sponsor of NYC Pride’s 2026 celebration. Costco, by contrast, is the most frequently cited company among consumers who say they increased spending, and Consumer Edge data shows it posts the strongest year-over-year spending growth among self-identified Democratic consumers in the months following a shareholder vote against a proposal to assess risks tied to its DEI programs.

In our earlier coverage of Apple (AAPL) price dynamics, we highlighted how the stock’s bullish technical setup was being supported by the company’s long-running share buyback program. At the same time, we noted a new regulatory overhang after Italy’s antitrust authority opened a probe into Apple’s cloud interoperability practices under the EU Digital Markets Act, a development that could pressure services sentiment until clarified.

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