Group Black Shifts Focus to a Broader Audience with New Venture

Initially launched to uplift Black-owned media organizations, Group Black is now expanding its horizons. This shift is marked by the introduction of a new initiative, Portrait Media Group, aimed at reaching a more diverse audience.

Co-founder and Chief Strategy Officer Bonin Bough shared insights about Portrait Media Group on LinkedIn. He described it as a 'media entity driven by both people and AI, crafted for Generation Next' that enables advertisers to connect with consumers based on their values and actions, not solely their racial or ethnic background.

According to Bough, Gen Next comprises Black, Latin, Asian, multi-ethnic groups, and white consumers who prioritize values, all influencing the future of media and marketing. More information is anticipated to be revealed on September 8, when 'the frame becomes fully clear.'

New Direction and Challenges

In the aftermath of the George Floyd protests in 2021, Group Black emerged, inspired by a national call for change. Companies like Coca-Cola and Walmart had vowed to increase spending in Black-owned media, which at that time represented a small fraction of all ad dollars.

As a leading entity in directing advertising dollars to Black-run media, Group Black was supported by entrepreneurs Richelieu Dennis and Bough, securing a notable investment from GroupM, later known as WPP Media.

Portrait Media Group's launch signifies another evolution for Group Black amid a range of internal and external hurdles. Historian PQ Media indicated that advertising allocation to multicultural media has remained stagnant between 2018 and 2023.

Internal Changes and Pivot Strategy

Since its inception, two of Group Black's original founders have departed. An array of executives and board members has also exited as it adjustments direction, coupled with the imminent completion of its crucial partnership with NBCUniversal.

Originally, Group Black vowed to funnel $500 million to Black-owned media enterprises. As Bough revealed in a discussion with Ad Age, achieving this goal proved elusive. Nonetheless, he alluded on LinkedIn to Portrait Media Group as a progression rather than a total departure from its initial goals.

Business Strategies and Market Conditions

Group Black's core strategy involved distributing advertising across Black media channels and reinvesting ad revenue into Black-directed media through avenues like NBCUniversal’s Peacock platform. The company claimed a share of the revenue derived.

Beyond Peacock, collaboration extended for content creation with entities like Procter & Gamble on Tubi, and with Everyday Health. Acquisitions of media companies were part of the original plan using the allocated advertisement funding.

However, shifting political landscapes prompted businesses to scale back on diversity initiatives due to pressures from conservative quarters and legal challenges. According to The Washington Post, mentions of diversity and inclusion dramatically dipped in S&P 500 company filings from a height in 2022.

Struggles and Strategic Expansions

Funding delays, coupled with the challenge of providing advertisers with sizable audiences at competitive costs, were cited by former employees and advertisers as hurdles. Group Black aimed to acquire firms like BET, Vice Media, and Vox Media but didn’t secure any of them.

The exclusive ad rights agreement with NBCU for selling ads in Black-led shows on Peacock is set to lapse, with NBCU poised to take direct charge thereafter.

Anticipating the repositioning, Group Black began accommodating more minority groups and more focus on women’s market segments last year.

Leadership Changes and Legal Challenges

A growing concern arose from partners expecting benefits from business ties with Group Black, who had voiced dissatisfaction over the high revenue share taken, failing to meet anticipated support and networking prospects.

Among staff departures, notable exodus included Cavel Khan, an industry veteran from Vice Media and Twitter, who took on the role of Chief Growth Officer but now remains only as an advisor.

Co-founder Travis Montaque exited his CEO position discreetly in June 2024, moving on to a new venture, Mucho, aimed at highlighting Hispanic Gen Z perspectives on multiple digital platforms.

Richelieu Dennis, another founding figure, split from Group Black earlier, dedicating focus to his venture, Sundial Technology & Media Group.

Litigation and Board Resignations

Board resignations ensued reportedly following Montaque’s departure, involving major corporate figures from Xerox, Moët Hennessy, and Ziff Davis, whose company invested substantially in Group Black.

Reports emerged of staff reductions though the precise scale remains unclear. Moreover, Group Black faced lawsuits from past associates. Essence Ventures, part of Dennis’ Sundial, claimed Group Black owed $20 million for misallocated funds—a case still active.

Audiomob, an ad agency ally, also sued for unpaid invoices, settling partially which saw the lawsuit subsequently dismissed.