Thread by @franklinleonard

Time to dig into this race and Hollywood study by noted social justice warriors..checks notes...@mckinsey (Yes, a joke)

Headline is obviously that Hollywood is losing $10B per year by not optimizing for the economics of Black talent but THERE'S MORE (1/x) deadline.com/2021/03/mckins…

A lot more. But yes, "By addressing the persistent racial inequities [re: the Black community], the industry could reap an additional $10 billion in annual revenue—about 7% more than the assessed baseline of $148 billion"

"The few Black creatives in prominent off-screen positions (creator/producer/writer/director) find themselves responsible for providing for other Black off-screen talent. Unless >=1 senior member of a production is Black, Black talent is largely shut out" mckinsey.com/Featured-Insig…

Black talent is underrepresented in film, particularly off screen.

The film industry is less diverse than any corporate sector in America; Less diverse than Energy/Basic Materials. Less diverse than finance. And television isn't doing much better.

Non-Hispanic whites make up roughly 60% of the US population, btw.

There remain massive financial barriers to entry, which have outsized effects on members of the Black community. mckinsey.com/Featured-Insig…

There also remain massive social barriers to entry, which have outsized effects on members of the Black community. mckinsey.com/Featured-Insig…

And then there's just straight up racial bias as an additional barrier to entry. mckinsey.com/Featured-Insig…

Just a reminder: This isn't me saying this. This is @mckinsey saying this.

"White actors receive more opportunities for lead roles early in their careers than Black actors do- and the gap only widens over time."

Not at all shocking if you're paying attention, but as they say, scoreboard.

"Our analysis also throws into sharp relief the creative limitations imposed on Black talent. Both on- and off-screen, Black talent is pigeonholed and funneled to race-related content, which often plays into stereotypes."

Again, this is @McKinsey.

Films with Black off-screen talent have smaller budgets for production and marketing DESPITE HIGHER EARNINGS PER DOLLAR OF BUDGET.

That one bears repeating:

Films with Black off-screen talent have smaller budgets for production and marketing DESPITE HIGHER EARNINGS PER DOLLAR OF BUDGET.

Hollywood also believes that content starring Black actors will not perform well with international audiences.

Think that's true?

It's not true at all.

"In 2019, the top films with Black leads were distributed in 30 percent fewer international markets on average—yet they earned nearly the same global box-office sales as films with white leads and earned more than those films on a per-market basis."

"Every day, and over the course of their careers, Black professionals throughout the industry must navigate an ecosystem that is set up to cater to white talent."

Up to and including their hair and makeup.

"Black talent is often the last in and the first out: already underrepresented in the industry, Black professionals are particularly vulnerable to market shocks."

And this is just a high level overview with some visual aids and occasionally amusing GIFs to emphasize the point

Read the full study. It's more illuminating than I can be.

This is what @mckinsey does: Solve business problems for large organizations
mckinsey.com/Featured-Insig…

But before I go, let's run it back real quick:

The industry is leaving at least $10 billion annually on the table by undervaluing and underdistributing Black content relative to its historical return on investment.

And that's JUST Black content....

“Think about where the industry is failing with Latinx representation, Asian representation, women, the LGBTQ community, disability.

If $10 billion annually is just the Black community, how much more are we leaving on the table?” #10BillionInTheBlack variety.com/2021/film/news…

Beyond the money lost, what of the social, cultural, and political ramifications of Hollywood's failure? Of the erasure and distortion of the full humanity of so many sorts of people within the global imagination? How does that affect how we see ourselves? How we see each other?

But, again, let's say money's what matters: How long will corporate boards and shareholders accept almost comically suboptimal financial outcomes from their current corporate leadership?

@mckinsey has made it quite clear that when it comes to change...

And in the case of representational equity in Hollywood...

So shoutout to @mckinsey for running the numbers on how we can all get this money, make better movies, and create a better world, and shoutout to the loose assembly of Black Hollywood folks known as the #BlackLightCollective for the ongoing fight to do exactly that.

Without further ado, as I said before... #10BillionInTheBlack #BlackLightCollective #McKonRace

I talked a little bit about all of this with @JBoorstin on @cnbc’s @SquawkAlley today.