San Francisco’s Philz Coffee is reaching deep into its own pockets to sponsor the city’s Pride Parade, after previously walking back plans to remove rainbow flags from its shop.
The coffee chain is paying $30,000 orgainzers of the annual event, despite not coming on as sponsor since 2018, the San Francisco Standard reported.
The sponsorship comes after Philz caused uproar earlier in the year over plans to remove Pride flags from its cafes. The initial removal plans were simply aimed at changing how stores look, the company said at the time.
The chain then reversed course and decided to keep the flags after staff revolted and public anger grew.
“I made a mistake, and I am sincerely sorry,” Philz CEO Mahesh Sadarangani said in a statement.
San Francisco Pride Executive Director Suzanne Ford played a role in bringing attention to the flag removal plans, and now the coffee chain is doubling down to appease her and others.
“It was like, OK, we see that you’re addressing the harm you caused, you’re reversing your decision. Would you like to deepen this relationship, and would you like to support San Francisco Pride?” San Francisco Pride Executive Director Suzanne Ford, who played a role in bringing attention to the flag removal plans, told the Standard. “I’m really, I’m very grateful that they did.”
Sadarangani appeared at a LGBTQ forum this week to reflect on the flag controversy and his decisions. He noted that he plans to create a “community wall” in his stores, with the Progress Pride flag incorporated into the display.
“We have a very large community of the LGBTQ that work at Philz and every year we support initiatives within the community,” explained Sadarangani, who has said he is “very proud” to sponsor the parade.
The sponsorship comes as the event, and similar ones nationwide, suffers from the loss of corporate partnerships. Some have attributed the trend to President Trump’s aggressive stance against DEI policies.
Starbucks, for instance, is not returning as a sponsor of the city’s Pride Parade this year. Tech companies synonymous with the Bay Area, like Meta and Google, have not pitched in money for years.
