Dentsu Introduces 30-Day Payment Term For Minority-Owned Media
Dentsu has made good on its pledge to enable greater equity in media by updating its payment terms to 30 days for all minority-owned media, slashing existing industry limits, which can stretch to 120 days.
Following in the footsteps of General Motors and others, the payments pledge is designed to ease cash flow bottlenecks for smaller businesses and economically empower minority-owned media businesses at the same time.
The network is putting its money where its mouth is by offering 30-day payment terms to minority-owned media partners in the US from October 1.
The speedy remuneration promise is aligned with the new broadcast calendar and covers all US-based clients including the Spanish Broadcast System, Allen Media Group and Stellar TV Network.
Jacki Kelley, chief executive officer, Dentsu Americas, said: “From the start of our journey to create equity, we said we will not mistake activity for progress and this initiative shows the conviction of our commitment to achieve meaningful progress. General Motors was our inspiration after they pioneered this concept earlier this spring.
“Updating our payment terms for minority-owned business partners will enable them to more easily access capital, create more content, offer more programming opportunities and propel the cycle of growth. Lifting the burden of having to carry production costs is a key enabler to create equity in media.”
Dentsu pledges to stick with the new more generous terms indefinitely but has no plans to roll out the initiative internationally. To qualify for the favorable terms media owners must first verify their identity via a web-based form.
Dentsu has sought to position itself on the forefront of diversity, equity and inclusion principles, evolving its product offerings as part of a long-term commitment to reach more diverse audiences and promote sustainability.
Credit: The Drum