The house built around diversity, equity and inclusion is coming apart brick by brick. Since last summer, brands, retailers, holding companies and, most recently the federal government, have been dismantling (or retooling) DEI initiatives, many of which were built up after the murder of George Floyd and subsequent Black Lives Matter Movement of 2020.

The “diversity” portion of diversity, equity and inclusion has become divisive, impacting multicultural marketing agencies, Black-owned brands and diverse publications. And they're starting to feel the ripple effects, according to Kirk McDonald, CEO of Sundial Media Group, holding company for brands like Essence magazine, Afropunk festival and Refinery29.

Although, he said, it’s too early to tell the full impact DEI’s retooling (or rebrand) will have on the industry in terms of media spend, marketing budgets or consumer habits.

McDonald recently sat down with the Digiday Podcast to talk about how Sundial’s diverse publications, geared toward women and other historically marginalized communities, are navigating the pushback.