The idea, the company says, is “to achieve greater equity for African American/Black colleagues at Constellation, within the beverage alcohol industry, and within the communities they operate in.”
Constellation Brands Ventures (CBV), the company’s corporate venture capital group, will invest $100 million in African American/Black and minority-owned businesses in the beverage alcohol space and adjacent categories by 2030 through a new program, Focus on Minority Founders.
Data has shown that the venture capital ecosystem is starkly homogeneous. In a study of U.S. venture activity from 2013 through 2017, just 1% of VC-backed entrepreneurs were Black(1). “These businesses serve as the fabric of their respective communities and we must make it more equitable for them to access the capital needed to have a fighting chance at success,” said Bill Newlands, CEO.
“In a little over a year, CBV’s Focus on Female Founders initiative has shifted our Ventures portfolio mix from 20% female-owned to 50% female-owned. This reinforces there is a real need for these programs, and they can drive measurable improvement in minority representation for our industry,” he added. In addition to funding, the Focus on Minority Founders initiative will support the growth and development of Black and minority-owned businesses by providing sales, marketing, operations, and finance expertise through the CBV team and Constellation’s many subject matter experts.
In support of societal reform, Constellation is entering a multi-year partnership with the Equal Justice Initiative (EJI). The partnership will include a contribution of $1 million to further EJI’s mission and provide training opportunities for Constellation leadership. Founded by Bryan Stevenson in 1989, EJI is committed to challenging racial and economic injustice, advocating for equal treatment in the criminal justice system, and protecting basic human rights for the most vulnerable in American society.
Also part of its action plan, Constellation is taking steps internally and within its extended network of business partners to create greater equity for African American/Black colleagues.
The company is reviewing recruitment, hiring, and talent development practices to ensure African American/Black talent is supported and unconscious bias is addressed at all levels. The company is also evaluating brand engagements and advertising policies to ensure media partners, brand sponsorships, and other activations are aligned to brand and company values.
For example, true to its brand ethos of supporting and empowering all women, Kim Crawford has partnered with Black Girl Ventures, a non-profit providing greater access to funding and resources for Black and Brown female entrepreneurs and a stronger pathway for women of color to launch and grow their own business.