As consumers demand more than surface-level representation, particularly in the retail and entertainment spaces, cultural intelligence is emerging as a crucial factor in the beauty industry. According to a 2023 McKinsey report, Black consumers in the U.S. spend $6.6 billion annually on beauty products, yet they remain underserved by many mainstream brands.
Additionally, a 2024 NIQ study found that 56% of beauty consumers prefer to buy from brands that embrace diversity and inclusion.
CosmeticsDesign spoke to Wil Shelton, CEO of Wil Power Integrated Marketing, for his insights into cultural intelligence’s impact on the beauty space and key takeaways for industry brands.
Beyond representation: Understanding the consumer
“Today’s consumers don’t just want to see themselves in ads—they want to know that brands truly understand them.”
Wil Shelton, CEO of Wil Power Integrated
Beauty brands that integrate cultural intelligence into their strategies can foster deeper trust and loyalty, as “consumers can tell when they’re being marketed to versus when a brand actually respects and values them,” he noted.
“It’s not about checking a diversity box,” he clarified, but about “deeply understanding the values, traditions, and lived experiences of different communities and reflecting them authentically.”
Considering that the beauty industry is so deeply tied to personal identity, he emphasized, “authenticity is everything.”
Cultural intelligence in action
Brands that have successfully embraced cultural intelligence are redefining industry standards. For example, Shelton illustrated, “Fenty Beauty didn’t just launch an inclusive shade range—it redefined beauty standards and forced the entire industry to catch up.”
Similarly, he pointed to M.A.C’s Viva Glam campaign as an example of a brand that has fostered trust in the LGBTQ+ community through vocal support and financial backing. He also praised E.l.f. Cosmetics for tapping into Gen Z culture through viral TikTok campaigns, proving that “listening to your audience and engaging authentically pays off.”
“What these brands get right is that they don’t just talk to diverse consumers—they actively include them in the conversation,” he explained.
Building trust with diverse communities
According to Shelton, true inclusivity requires brands to look beyond marketing campaigns and focus on internal representation. “Diversity in marketing isn’t just about who’s in the ad—it’s about who’s at the table,” he said.
“Brands that hire diverse teams, work with community leaders, and genuinely engage with the people they’re marketing to will always build deeper connections.”
Wil Shelton, CEO of Wil Power Integrated
He also emphasized that brands need to hire from within the communities they serve. “If you want to connect with a group, bring them into decision-making roles,” he said. Additionally, he advised working with influencers and creators who already have trust within their communities rather than forcing brand-driven narratives.
Finally, he underscored the importance of consistency: “Don’t just celebrate Black beauty in February or LGBTQ+ pride in June—be there all year round.”
“Trust isn’t built through one campaign—it’s built over time,” he summarized, as “consumers want to see action, not just marketing slogans.”
AI’s role in cultural intelligence
Artificial intelligence (AI) continues to drive beauty industry innovations forward, with brands leveraging technological advancements into personalized recommendations, virtual shade-matching, and trend forecasting. However, Shelton warned that without careful implementation, AI can reinforce bias rather than eliminate it.
“To make AI work for cultural intelligence, brands need to train AI on diverse datasets so algorithms don’t favor Eurocentric beauty standards.”
Wil Shelton, CEO of Wil Power Integrated Marketing
He also stressed that AI should be used for personalization, not exclusion. “Make sure it enhances inclusivity rather than narrowing representation,” he advised.
Additionally, he highlighted the importance of keeping human oversight in decision-making. “AI should assist, not replace, the cultural expertise that real people bring,” he said.
Driving brand loyalty
Brands that effectively implement cultural intelligence do more than attract consumers—they retain them.
Shelton identified three key factors in building long-term loyalty: seeing and respecting consumers, putting action behind words, and maintaining consistency.
“Representation is step one, but real connection goes beyond that,” he said. “Do brands invest in the communities they profit from? One good campaign won’t undo a history of exclusion or inauthenticity.”
“Success should be measured not just by sales, but by how the audience feels about the brand,” Shelton emphasized, adding that the real indicators of success include sentiment, engagement, and long-term loyalty.
Future outlook
Looking ahead, Shelton believes that brands that prioritize authenticity and inclusivity will thrive. “The future of beauty isn’t just diverse—it’s ethical, too,” he said. He predicts that hyper-personalization will become more prominent, but brands must ensure it feels genuine rather than an afterthought.
He also stressed the importance of supporting BIPOC-owned and community-driven brands. “As indie beauty brands continue to rise, bigger companies need to do more than just take inspiration,” he said.
He further noted that sustainability and inclusivity will intersect, with consumers expecting brands to not only be diverse in their offerings but also responsible in their business practices.
“At the end of the day, beauty is personal, cultural, and deeply tied to identity,” Shelton concluded. “The brands that understand that—and show up authentically—will be the ones that stand the test of time.”
