Brands that lead authentically with purpose are changing the nature of business today.
Purpose is the reason a brand exists. It is the underlying essence that makes a brand relevant and necessary to people. Purpose sits firmly at the core of a brand’s culture and affects every decision. It creates loyalty, affinity, engagement and connections with your employees and customers.
Purpose starts with people. In the world of branding, purpose answers a very important question, “Why does a brand exist?” and the answer can serve as a beacon for all organizational decisions.
Today’s consumers often identify with a brand’s purpose, seeking to connect on a deeper level even as the brand reciprocally aligns with who they are and who they want to be.
Purpose-driven companies realize greater market share gains and grow, on average, three times faster than their competitors, while achieving higher employee and customer satisfaction.
Countless studies have now reinforced the link between purpose-driven brands and business performance:
– Globally, 57 percent of consumers are more loyal to brands that are committed to addressing social inequalities in their actions
– Forty-two percent will only buy from brands that align with their values.
– These types of companies report 30 percent higher levels of innovation and 40 percent higher levels of talent retention than their competitors.
– Ninety percent of Generation Z consumers believe that companies should act to help with social and environmental issues and 75 percent will research to see if a company is honest when taking a stand on issues.
At TOTEM Branding, we believe that a brand with a strong purpose not only helps the overall good of society, but also helps employees and customers know what they stand for. And in times of increased adversity, such as the ones we are experiencing, clarity of purpose becomes the compass in a storm for both the people in your organization and your customers.
Having a purpose is not enough. What makes the difference is living it, feeling it and having it active, alive, beating in every employee, every customer, every action. Brands that understand this are rewriting history.
(Sources WEF, Edelman, EY, Deloitte, TOTEM Branding, McKinsey, Harvard BR, Porter Novelli)