Gender and the Economy

Author: Sarah Kaplan

In inclusivity push, workers reject prods to allow mispronounced or ‘whitened’ names

April 5, 2021
Using a gender lens to emerge stronger from the COVID-19 crisis

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Remember those “We are in this together” signs and hashtags when the COVID-19 pandemic first started? The message highlighted that everyone was at risk of catching the virus.

Now a year has passed. The evidence clearly shows that the pandemic impacts are not as equal as the catchphrase suggested. Women have made up the majority of job losses during lockdowns and their jobs have rebounded at a slower pace than men’s. The International Labour Organization warns that some of the “modest progress” that has been made in the past decades on gender equality around the world will disappear due to Covid-19. People of colour, parents, Indigenous Peoples and lower-income workers are also disproportionally affected. People identified with multiple groups have been hit particularly hard.

How did this happen? And what can we do about it?

Gender —and its intersections with race, indigeneity, and other overlapping identities — is embedded in everything. We might think we are designing policies, products and services that are gender neutral, but they end up having gendered effects, often disadvantaging, or excluding underrepresented groups. In a time of crisis, these gendered effects are magnified.

Organizations of all sizes and from all sectors are actively engaged in the effort to build back better. To do so, we need inclusive innovations—we must design work, business, and policies through an intersectional gender lens.

To this end, our team at the Institute for Gender and the Economy (GATE) at the University of Toronto’s Rotman School of Management developed Gender Analytics – a new approach to anticipate, understand, and use gender-based insights to uncover hidden possibilities for innovation and improved effectiveness. Think business analytics plus design thinking plus change leadership.

It is critical to recognize the ways intersectional dynamics shape the risks, opportunities and impacts of an organization’s activities and outcomes.

With support from Catalyst Inc. as well as CIBC, PwC, and the Government of Canada, we recently launched an online Gender Analytics program to help leaders and practitioners understand gender concepts and build inclusive techniques to analyze, innovate, and drive change.

Building Gender Analytics competencies is timely. From CEOs to middle managers, organizational leaders are looking for new ways to reopen safely, engage employees and customers remotely, and pivot activities in turbulent times. It is critical to recognize the ways intersectional dynamics shape the risks, opportunities and impacts of an organization’s activities and outcomes.

Using Gender Analytics will help organizations avoid downside risks and improve effectiveness. For instance, during the first lockdown in 2020, Toronto’s public transit saw systemwide ridership dropped roughly 70 percent. Still, busses travelling routes, which most essential workers in manufacturing, healthcare, and grocery retail relied upon, were almost always packed. Passengers found it impossible to follow social distancing on board. Both bus drivers and passengers reported feeling unsafe. Without an intersectional analysis of riders’ needs and travel patterns, Toronto’s public transit system failed to effectively manage demand changes and implement safety measures in the pandemic crisis.

Vanessa Serra Iarocci

Using Gender Analytics can identify growth opportunities. Leaders have used Gender Analytics to gain a competitive advantage or as a turnaround strategy. In our online course, Vanessa Serra Iarocci shares how she and her team staved off bankruptcy at McCarthy Uniforms and achieved double-digit revenue growth by identifying the gender gap in service delivery and product offerings and turning these insights into innovation opportunities.

Using Gender Analytics can build an inclusive workplace for people of all genders. Accessibility advocates have demanded remote work accommodations for years but were always told it was too expensive or infeasible. The pandemic not only proved it was feasible but also could benefit everyone by reducing the risk of COVID-19.

But working from home coupled with school and daycare closures has made the gendered impacts of work-life negotiations more pronounced. Women, especially mothers, are stressed, overworked, and leaving the workforce or reducing work hours at alarming rates. Men are also adapting to changing gendered norms, though there are fewer insights into how flexible work arrangements have impacted gender diverse people and LGBTQ families. Using a gender lens to understand how employees experience remote work differently will build empathy and trust with them and spot opportunities to create inclusive employee engagement and support programs.

The pandemic may be upending some progress on gender equality. At the same time, it has made room for leaders and organizations to blaze new paths. A gender-based approach to analyze and design business offerings, policies and organizational activities is a must-have for leaders daring to leap.

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Lechin Lu (MBA) is Project Lead for Gender Analytics. Sarah Kaplan is Distinguished Professor and Director, Institute for Gender and the Economy (GATE) at the University of Toronto’s Rotman School of Management

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Authors

Lechin Lu and Sarah Kaplan

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March 30, 2021
Companies must do more to respect diverse names, identities, experts say

March 30, 2021
Arlan Hamilton on “It’s About Damn Time: How to Turn Being Underestimated into Your Greatest Advantage”

[fusion_builder_container hundred_percent=”no” equal_height_columns=”no” menu_anchor=”” hide_on_mobile=”small-visibility,medium-visibility,large-visibility” class=”” id=”” background_color=”” background_image=”” background_position=”center center” background_repeat=”no-repeat” fade=”no” background_parallax=”none” parallax_speed=”0.3″ video_mp4=”” video_webm=”” video_ogv=”” video_url=”” video_aspect_ratio=”16:9″ video_loop=”yes” video_mute=”yes” overlay_color=”” video_preview_image=”” border_color=”” border_style=”solid” padding_top=”” padding_bottom=”” padding_left=”” padding_right=”” type=”legacy”][fusion_builder_row][fusion_builder_column type=”1_1″ layout=”1_1″ background_position=”left top” background_color=”” border_color=”” border_style=”solid” border_position=”all” spacing=”yes” background_image=”” background_repeat=”no-repeat” padding_top=”” padding_right=”” padding_bottom=”” padding_left=”” margin_top=”0px” margin_bottom=”0px” class=”” id=”” animation_type=”” animation_speed=”0.3″ animation_direction=”left” hide_on_mobile=”small-visibility,medium-visibility,large-visibility” center_content=”no” last=”true” min_height=”” hover_type=”none” link=”” border_sizes_top=”” border_sizes_bottom=”” border_sizes_left=”” border_sizes_right=”” first=”true”][fusion_text columns=”” column_min_width=”” column_spacing=”” rule_style=”” rule_size=”” rule_color=”” hue=”” saturation=”” lightness=”” alpha=”” content_alignment_medium=”” content_alignment_small=”” content_alignment=”” hide_on_mobile=”small-visibility,medium-visibility,large-visibility” sticky_display=”normal,sticky” class=”” id=”” margin_top=”” margin_right=”” margin_bottom=”” margin_left=”” fusion_font_family_text_font=”” fusion_font_variant_text_font=”” font_size=”” line_height=”” letter_spacing=”” text_transform=”” text_color=”” animation_type=”” animation_direction=”left” animation_color=”” animation_speed=”0.3″ animation_delay=”0″ animation_offset=”” logics=””]In 2015, Arlan Hamilton was on food stamps and sleeping on the floor of the San Francisco airport, with nothing but an old laptop and a dream of breaking into the venture capital industry. She knew that people starting companies all looked the same (white and male), and she wanted the chance to invest in the ideas and people who were being shut out.

Hamilton had no contacts in Silicon Valley, no background in finance, and no college degree. What she did have was a fierce determination to succeed and the desire to cut open the start-up world so others could flourish too. As Hamilton sees it, being underrepresented often means being underestimated. As someone who makes her living investing in high-potential founders who also happen to be women, LGBTQ, and/or people of colour, Hamilton understands that being undervalued can also provide big opportunities. Even if you have to work twice as hard to get to the starting line, she says, once you are on a level playing field, you will sprint ahead.

What has Backstage done differently from other standard Silicon Valley VCs?

Venture capital is supposed to be a search for a “diamond in the rough”. Yet, with so many people not represented, we know that we are missing out on great opportunities. For Hamilton, it was never an issue that ideas were worthy of funding, but instead it was about getting into the room to pitch the idea in the first place. Hamilton is working to actively change this exclusionary culture and support undervalued founders. Backstage Capital has an open-door policy, where founders have Hamilton’s phone number and can walk into her office at any time.

How can entry or mid-level professionals work towards creating impact or change in their organization?

Hamilton reminds us that allyship requires some level of risk or sacrifice. If you are early in your career, take risks and push boundaries. Make it easier for the next person coming in.

Watch Hamilton discuss why VCs should not underestimate women, LGBTQ and PoC founders.

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March 24, 2021
YWCA’s response to COVID-19 in Canada
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Overview

During the COVID-19 pandemic, women in Canada have been disproportionately impacted by the higher risk of job loss, increased domestic violence, and other forms of insecurity. This case studies how YWCA responded to the pandemic’s impact on vulnerable communities and on its own resources by streamlining governance, ensuring safety, repairing capacity, and staying connected with its stakeholders.

Course Topics:
- Leadership
- Change management
- Non-profit governance
- Crisis response
- Stakeholder relations
Introduction:

“My sense of isolation is not there anymore. I know I am not alone,” says Tiffany Baker, a woman residing in YWCA Hamilton’s transitional living house in the midst of the COVID-19 quarantine.

Like thousands of other women, girls, and gender-diverse people, Tiffany would have few opportunities to stay safe from the risks of disease and, most importantly, away from troubling living situations if YWCA discontinued operations of their pan-Canadian housing network. During the 2020 pandemic, women in Canada have been disproportionately impacted by the higher risk of job loss, increased domestic violence, and other forms of insecurity. Helping over 330,000 people with its network of affordable housing units, shelters, child care, employment and training programs, and a range of other services driven by local communities’ needs, YWCA stands out as a critical frontline service provider working towards advancing gender equity.

In 2020, a year which was meant to be marked with the commemoration of YWCA Canada’s 150th anniversary, the organization’s work has instead been affected by a disruption that experts have called a “she-cession.” While demand from impacted women grew, YWCA has experienced increased financial instability as a result of the cancelation of its various fundraisers and closures of its social enterprises. This growing gap between demand and capacity has pushed YWCA’s management to seek ways to diligently serve its vulnerable communities with fewer resources while maintaining organizational sustainability over the long-term.

View and download the full case study (English/French)

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This case was written by:

This case was written by Bashir Chalabi and Sonal Gupta. The authors prepared this case under the supervision of Professor Sarah Kaplan, with guidance from Bonnie Lam and Vanessa Serra Iarocci and research assistance from Carmina Ravanera. The authors are grateful for the participation of Maya Roy, Anjum Sultana, Derek Gent, and Laura Sundy in this project.

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March 22, 2021
Wattpad’s commitment to diversity drives its success
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Overview

Wattpad is an online storytelling community that combines entertainment with technology. This case study focuses on how Wattpad used intersectional data collection to improve employee well-being, to support its diversity-driven business model, and to grow the business.

Course Topics:
- Diversity and inclusion in business
- Innovation and entrepreneurship
- Leadership
- Human resources and organizational theory
- Business design
Introduction:

Wattpad is in the business of storytelling, but it is the Toronto-based scale-up’s own story that is causing the tech industry to sit up and take notice. Founded in 2007, Wattpad’s “social storytelling” platform connects readers and writers with original, user-generated stories. Once a scrappy Canadian start-up earning just CA$2 a year in advertising revenue, Wattpad has since solidified its title as a global entertainment player with over 80 million monthly users worldwide, an estimated US$25 million in annual revenues, and ties to Netflix, Sony Pictures, and Penguin Books. Furthermore, the company is distinct from industry peers in that it is a majority-female technology company and employs well over the industry average of people of colour, multilingual persons, and other diverse groups. Notably, Wattpad attributes its success to its culture of inclusivity and community among both users and employees.

A diverse team has proven essential to Wattpad’s ability to satisfy its diverse user base with unconventional stories. The company’s business model is premised on having the cultural competencies to uncover users’ needs and respond to them authentically. Developing a multilingual, multi-disciplinary team early on thus provided Wattpad with the requisite skills to compete globally. However, this eclectic team meant that Wattpad also faced the unique challenge of creating unity while maintaining enough dissimilarity to thrive. In an effort to address this issue, the company began collecting intersectional data to track employee well-being. By uncovering gaps in employee satisfaction and inclusion, Wattpad has been able to generate impactful, data-driven solutions that are sensitive to employees’ differing experiences within the organization. For example, after finding that women of colour at Wattpad were 13% less likely than white men to agree that they could be their authentic selves at work, Wattpad introduced a series of initiatives to address this concern and now reports that 97% of women of colour agree that Wattpad’s inclusivity efforts have positively impacted their workplace experiences. Since implementing intersectional data collection, Wattpad has seen meaningful increases in employee engagement and satisfaction across all groups, thus managing to improve team cohesion despite undergoing rapid organizational change. Today, Wattpad serves as a model for how a people-focused approach that prioritizes diversity and inclusion can accelerate a firm’s growth.

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This case was written by:

This case was written by Stephanie Taylor, Sonal Gupta and Bashir Chalabi. The authors prepared this case under the supervision of Professor Sarah Kaplan, with guidance from Bonnie Lam and Vanessa Serra Iarocci and research assistance from Carmina Ravanera. The authors are grateful for the participation of Seema Lakhani in this project.

[/fusion_text][fusion_separator style_type=”none” hide_on_mobile=”small-visibility,medium-visibility,large-visibility” sticky_display=”normal,sticky” class=”” id=”” flex_grow=”0″ top_margin=”10″ bottom_margin=”10″ width=”” alignment=”center” border_size=”” sep_color=”” icon=”” icon_size=”” icon_color=”” icon_circle=”” icon_circle_color=”” /][fusion_button link=”https://www.gendereconomy.org/education/case-studies/” text_transform=”” title=”” target=”_blank” link_attributes=”” alignment_medium=”” alignment_small=”” alignment=”” modal=”” hide_on_mobile=”small-visibility,medium-visibility,large-visibility” sticky_display=”normal,sticky” class=”” id=”” color=”custom” button_gradient_top_color=”#62bd19″ button_gradient_bottom_color=”#62bd19″ button_gradient_top_color_hover=”#00c2e2″ button_gradient_bottom_color_hover=”#00c2e2″ accent_color=”” accent_hover_color=”” type=”” bevel_color=”” border_width=”” border_radius=”” border_color=”” border_hover_color=”” size=”” stretch=”yes” margin_top=”” margin_right=”” margin_bottom=”” margin_left=”” icon=”” icon_position=”left” icon_divider=”no” animation_type=”” animation_direction=”left” animation_speed=”0.3″ animation_offset=””]See more case studies[/fusion_button][fusion_separator style_type=”none” hide_on_mobile=”small-visibility,medium-visibility,large-visibility” sticky_display=”normal,sticky” class=”” id=”” flex_grow=”0″ top_margin=”20″ bottom_margin=”20″ width=”” alignment=”center” border_size=”” sep_color=”” icon=”” icon_size=”” icon_color=”” icon_circle=”” icon_circle_color=”” /][fusion_recent_posts layout=”default” picture_size=”fixed” hover_type=”none” columns=”3″ number_posts=”3″ post_status=”” offset=”0″ pull_by=”category” cat_slug=”case-studies” exclude_cats=”” tag_slug=”” exclude_tags=”” thumbnail=”yes” title=”yes” meta=”no” meta_author=”no” meta_categories=”no” meta_date=”yes” meta_comments=”yes” meta_tags=”no” content_alignment=”” excerpt=”no” excerpt_length=”35″ strip_html=”yes” scrolling=”no” hide_on_mobile=”small-visibility,medium-visibility,large-visibility” class=”” id=”” animation_type=”” animation_direction=”left” animation_speed=”0.3″ animation_offset=”” /][/fusion_builder_column][/fusion_builder_row][/fusion_builder_container]
March 22, 2021
How Walmart helped women-owned businesses
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Overview

This case studies how Walmart committed to helping women entrepreneurs through its Women’s Economic Empowerment (WEE) initiative. It details how the company surpassed its goal of sourcing US$20 billion worth of products and services from businesses owned by women from 2011 to 2017, while also empowering women and women-owned businesses in the global supply chain.

Course Topics:
- Diversity in supply chain management
- Women’s empowerment
- Leadership
- Corporate social responsibility
Introduction:

Walmart was founded by Sam Walton in 1962 through a small discount store in Rogers, Arkansas. The purpose behind the store was to offer “everyday low prices” to its customers. In 1982, the founder’s philanthropic motives led to the formation of the Walmart Foundation, which is dedicated to helping people and doing good. Every year, Walmart and the Walmart Foundation provide almost US$1 billion in cash and in-kind giving to communities. Walmart’s success is attributed to its efficient and technologically advanced supply chain management. One of the key aspects of Walmart’s supply chain process is sourcing; the company has removed intermediaries in its supply chain by consolidating its global procurement functions. This has helped Walmart procure at lower prices and hence save billions of dollars, but it has also allowed the company to achieve additional outcomes in terms of women’s empowerment. In particular, the Walmart business model has served as an asset when procuring products and services from women-owned businesses.

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This case was written by:

This case was written by Sonal Gupta and Bashir Chalabi. The authors prepared this case under the supervision of Professor Sarah Kaplan, with guidance from Bonnie Lam and Vanessa Serra Iarocci and research assistance from Carmina Ravanera.

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March 22, 2021
Highlighting Fenty Beauty’s diversity-based business model
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Overview

Fenty Beauty is an inclusive cosmetics company created by international celebrity Rihanna in partnership with LVMH, an exclusive luxury conglomerate. The brand has been a resounding success and is most recognized for the “Fenty Effect”, a trend in which competitors began offering more inclusive cosmetic products in response to Fenty Beauty’s successful 40-shade foundation line. Fenty Beauty is a unicorn in the beauty industry, largely due to its prioritization of diversity and inclusion.

Course Topics:
- BIPOC Diversity & Inclusion
- Marketing
- Supply Chain Management
- Product Development & Pricing
- Business Design
- Corporate Governance
Introduction:

How do you define “flesh coloured”? Historically, shade ranges for products that are intended to blend into the body have been defined along a spectrum based on white skin. A “flesh tone” thus tends to conjure up images of milky whites and soft beiges, rather than the deeper browns or ebony shades that characterize many people’s skin tones. While the racialized interpretation of “flesh toned” is perhaps most famously represented in the Band-Aid problem, in which adhesive bandages were criticized for their limited, white-focused shade range, it is also acutely present in the cosmetics industry. Foundation shades have become a lightning-rod issue that represents whitewashing in the beauty industry, a modern-day Band-Aid issue.

Therefore, when well-known international celebrity Robyn Rihanna Fenty launched her highly anticipated cosmetics line, Fenty Beauty, using a 40-shade foundation as her centrepiece product, the beauty world sat up and took notice. The company’s 40-shade foundation stood in contrast to the more limited ranges offered by competitors and Fenty Beauty was lauded for taking an inclusive approach. In December 2017, just a few months after the brand’s launch, Fenty Beauty was named one of Time magazine’s “Inventions of the Year” based on its broad shade range and use of diverse models in its marketing campaigns. Consumers also responded enthusiastically to Fenty Beauty, with the brand taking in US$72 million in its first month (five times the revenues of its closest peer competitor) and US$570 million in its first full year. Notably, Fenty Beauty’s darker shades consistently sold out despite constant restocks, a phenomenon that spurred competitors into offering increased shade ranges in what became known as the “Fenty Effect”. Three years later, Fenty Beauty continues to experience rapid growth and Rihanna has launched a fashion empire that includes skincare, lingerie, and a luxury fashion line all offered under various Fenty brand names. These newer brands similarly feature the inclusive, playful approach first developed at Fenty Beauty, proving that inclusivity is a winning business model and no longer just a corporate afterthought.

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__________________________

This case was written by:

This case was written by Stephanie Taylor. The author prepared this case under the supervision of Professor Sarah Kaplan, with guidance from Bonnie Lam and Vanessa Serra Iarocci and research assistance from Sonal Gupta, Bashir Chalabi and Carmina Ravanera.

[/fusion_text][fusion_separator style_type=”none” hide_on_mobile=”small-visibility,medium-visibility,large-visibility” sticky_display=”normal,sticky” class=”” id=”” flex_grow=”0″ top_margin=”10″ bottom_margin=”10″ width=”” alignment=”center” border_size=”” sep_color=”” icon=”” icon_size=”” icon_color=”” icon_circle=”” icon_circle_color=”” /][fusion_button link=”https://www.gendereconomy.org/education/case-studies/” text_transform=”” title=”” target=”_blank” link_attributes=”” alignment_medium=”” alignment_small=”” alignment=”” modal=”” hide_on_mobile=”small-visibility,medium-visibility,large-visibility” sticky_display=”normal,sticky” class=”” id=”” color=”custom” button_gradient_top_color=”#62bd19″ button_gradient_bottom_color=”#62bd19″ button_gradient_top_color_hover=”#00c2e2″ button_gradient_bottom_color_hover=”#00c2e2″ accent_color=”” accent_hover_color=”” type=”” bevel_color=”” border_width=”” border_radius=”” border_color=”” border_hover_color=”” size=”” stretch=”yes” margin_top=”” margin_right=”” margin_bottom=”” margin_left=”” icon=”” icon_position=”left” icon_divider=”no” animation_type=”” animation_direction=”left” animation_speed=”0.3″ animation_offset=””]See more case studies[/fusion_button][fusion_separator style_type=”none” hide_on_mobile=”small-visibility,medium-visibility,large-visibility” sticky_display=”normal,sticky” class=”” id=”” flex_grow=”0″ top_margin=”20″ bottom_margin=”20″ width=”” alignment=”center” border_size=”” sep_color=”” icon=”” icon_size=”” icon_color=”” icon_circle=”” icon_circle_color=”” /][fusion_recent_posts layout=”default” picture_size=”fixed” hover_type=”none” columns=”3″ number_posts=”3″ post_status=”” offset=”0″ pull_by=”category” cat_slug=”case-studies” exclude_cats=”” tag_slug=”” exclude_tags=”” thumbnail=”yes” title=”yes” meta=”no” meta_author=”no” meta_categories=”no” meta_date=”yes” meta_comments=”yes” meta_tags=”no” content_alignment=”” excerpt=”no” excerpt_length=”35″ strip_html=”yes” scrolling=”no” hide_on_mobile=”small-visibility,medium-visibility,large-visibility” class=”” id=”” animation_type=”” animation_direction=”left” animation_speed=”0.3″ animation_offset=”” /][/fusion_builder_column][/fusion_builder_row][/fusion_builder_container]
March 22, 2021
Backstage Capital: Investing in Black women founders
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Overview

Black women, who are the fastest growing group of entrepreneurs in the United States, are consistently underfunded by venture capital firms. It has been observed by industry experts that minority founders who do not receive funding “get discouraged and exclude themselves from applying,” creating a cycle of exclusion for Black women and Black members of the LGBTQ community in the startup world.

This case study examines how boutique venture firm Backstage Capital, which invests in minority-owned startups, attempted to create a US$36 million fund exclusively for Black women and LGBTQ founders. It also profiles the issues of Black individuals’ underrepresentation across the American investment industry, venture capital, and startup entrepreneurship.

Course Topics:
- Venture capital and startup
- Diversity in STEM
- Social entrepreneurship
- Innovation
Introduction:

A cardinal stereotype of the startup world, the idea that “anyone can become a founder,” fails to fully match reality when it comes to Black women. A typical team of startup founders in the United States is comprised mainly of a single race and gender. In most cases, the “all male, all white” team is comprised of two people residing in Silicon Valley. Only 1% of venture-funded startup founders are Black. But even within the Black community itself, one group is more isolated from venture investments. Between 2009 and 2017, Black women have received only 0.0006% of venture capital financing.

Backstage Capital is a venture capital firm that attempts to address existing funding disparities and to promote diversity in startup entrepreneurship. While it invests in companies established by various minorities, Black-founded companies constitute the core group in which Backstage Capital is investing—69 out of 130 backed firms have at least one Black co-founder, some of whom are women and/or LGBTQ. In 2018, the firm announced its new project, a US$36 million fund that will invest exclusively in the startups led by Black women over the next few years. This fund will be important to generate profits for the firm and “to move the needle and to set the example” for the investment industry overall.

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__________________________

This case was written by:

This case was written by Bashir Chalabi and Stephanie Taylor. The authors prepared this case under the supervision of Professor Sarah Kaplan, with guidance from Bonnie Lam and Vanessa Serra Iarocci and research assistance from Carmina Ravanera.

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March 22, 2021
Rethink pink: Elimination of pink tax by online retailer Boxed
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Overview

This case study examines how e-commerce household goods startup Boxed leveraged the grassroots movement against gender-based price discrimination and taxation on feminine hygiene products by implementing its “Rethink Pink” program in 2016. In addition to addressing these issues by implementing gender-neutral pricing, the program also succeeded in gaining the trust and loyalty of women consumers.

Course Topics:
- Gender analysis
- Innovation
- Diversity and inclusion
- Corporate social responsibility
- Entrepreneurship
- Marketing
Introduction:

Female shoppers continue to face gender-based price discrimination, known as the “pink tax”, and the obligation to pay sales tax on feminine hygiene products, known as the “tampon tax”. Perhaps the most striking reporting of the pink tax, a 2015 study by New York City’s Department of Consumer Affairs, found that almost all women’s products, from jeans to deodorants, are priced higher than similar products for men. The study concluded that “women are paying thousands of dollars more over the course of their lives to purchase similar products as men.” In that same year, women from 41 of the 50 American states were paying a “tampon tax” on feminine hygiene necessities. Despite growing concern among Americans regarding these issues, government institutions have been slow to respond. In the meantime, one company decided to take a stand, turning discriminatory pricing into a positioning advantage.

Given the proportion of women who are responsible for their households’ shopping needs, it is no surprise that nearly half of the early adopters of online grocery shopping were also women, despite their more skeptical attitude toward online shopping as compared to men. Boxed, an e-commerce startup that offers the bulk-buying convenience of a wholesale shopping club through their mobile app and online store, realized the importance of these women online shoppers early on. In fact, the majority of Boxed customers are women. Founded in 2013 and growing from US$40,000 to US$100 million in sales in just three years, the company soon risked having to lower its profit margins to address growing price competition with other online retailers. In 2016 a long-discussed partnership between delivery service Instacart and wholesale giant Costco took off, and Walmart also launched online sales. In search of greater differentiation and a way to increase valuable female customer loyalty, Boxed, which had thus far marketed “easy shopping”, looked to a non-traditional avenue, implementing a women-focused initiative at the intersection of corporate social responsibility and marketing. Leveraging the grassroots movement against gender-based price discrimination and taxation on tampons, Boxed implemented its impactful “Rethink Pink” program in 2016, addressing both issues on behalf of their customers. Four years later, Boxed continues to highlight the program to ensure the loyalty of female online shoppers whose increasing numbers are accelerating more than ever in the midst of the 2020 global pandemic.

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This case was written by:

This case was written by Bashir Chalabi and Stephanie Taylor. The authors prepared this case under the supervision of Professor Sarah Kaplan, with guidance from Bonnie Lam and Vanessa Serra Iarocci and research assistance from Carmina Ravanera. The authors are grateful for the participation of Nitasha Mehta in this project.

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March 22, 2021