The world’s biggest fast-food chain says the media tycoon’s $10 billion federal lawsuit is about adding to his own revenue, not leveling the playing field.
t’s getting nastier between Black media mogul Byron Allen and the world’s biggest fast-food chain.
If that weren’t quarrelsome enough, Allen has kicked it up a notch or two. He’s been buying newspaper ads imploring others to join the fight “against McDonald'sblatant racism against Black America.” Last month, he filed a $100 million complaint in California state court alleging that McDonald’s failed to live up to a promise it made after the murder of George Floyd to spend 2% of its ad budget with Black-owned media in 2021, escalating to 5% by 2024.
“McDonald’s sends Black-owned media to its Black ad agency and white-owned media to the white agency,” Allen told. “The white ad agency has nearly all the money and the Black ad agency has very little to spend with Black-owned media. This is the epitome of racism when you have a white water fountain and a Black water fountain, and these two systems are separate and not equal.”
represent about 40% of the overall fast-food market customer base. Meanwhile, the suit alleges, McDonald’s spent about $5 million with Black-owned media in 2019, or about 0.31% of its $1.6 billion TV advertising budget that year., said its U.S. national marketing budget is about $500 million, which includes media companies, production houses and content creators. More than 3% of its U.S.
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