What the World Is Doing (for Better and Worse)

A brand purpose can be a tricky thing. If it is not done right, it may bring more harm than doing any good for the company. Many big brands and business leaders struggle with their purpose either because they do not understand it fully or their purpose is not rooted in authenticity and relevance. On the other hand, some businesses elevate from zero to millions solely because of their purpose. Many start-ups that get their purpose right benefit highly from it. 

For instance, Warby Parker, an eyewear brand, broke into the market in 2010 with the purpose of making eyewear affordable for everyone. Their brand purpose was derived from their observation of the eyewear market. They found that the majority of the eyewear brands are dominated by a single giant company, ‘Luxottica’ as it had licensing deals with brands like Versace, Ralph Lauren, Ray-Ban, Oakley, etc. So, the market price was set by them. Warby Parker challenged that domination with the concept of affordable glasses. They leaped from not even having a website to a $3 billion value pretty quickly. Not only this, but they also expanded their purpose through their non-profit works and distributed more than 4 million pairs of glasses to people in need. Warby’s brand purpose is an inspiration for many start-ups looking to make a big name in their industries.

Another great example of brand purpose is Axe/Lynx. It is an established brand that reviewed their purpose when they discovered that more than 72% of guys in society are told to behave in a certain way to become manly. This led to increased searches on google with questions like ‘Is it ok for guys to do this or that?’. Axe, with their ‘find your magic’ campaign, established the purpose to help guys celebrate their individuality. They encouraged guys to be themselves and be as attractive as they can be. Any established brand can learn from Axe as to how to ace their brand purpose with the changing time. 

However, there have been times when many big and established brands have drastically failed in implementing the relevant purpose or communicating it rightly with their audience. This has caused great damages to brands, including massive public outrage for their opportunism. Starbucks, a brand purpose pioneer, has been a victim of misleading communication of the brand purpose. During the racial protests in the US, Starbucks with its ‘Race Together’ campaign, invited baristas to write ‘race together’ on their coffee cups to stimulate conversation and compassion for races. But the public saw this as an inauthentic move from Starbucks since only two of its 19 executives were black. Moreover, people also criticized the photos of the campaign as there were no black hands for the representation of races. The audience outrage to this campaign was so strong that the head of communications of Starbucks had to suspend his Twitter account temporarily. 

Another tragic brand purpose failure was from Coopers Australia when the company joined forces with The Bible Society Australia. In their ‘Keeping It Light’ video campaign, their guests discussed same-sex marriage which led to a public backlash within minutes of the launch of the video. People criticized the brand with #BoycottCoopers on Twitter and commented ‘never drinking Coopers bear again’ on their Facebook page. There was a nationwide boycott of the brand and pubs switched off Coopers tap. At last, to stop the criticism, the brand had to come in front of the camera and issue an apology with full support on same-sex marriage.

These examples show that brand purpose can be the true asset on which your brand stands or it can be a weapon that does your self-harm. It all depends on clear communication, authenticity, timing, and execution of your purpose. Without all these factors in place, you will look like just another business trying to leverage a social cause or sensitive issue. A brand should give proper thought and consideration to its brand purpose, to reap its benefits without any harm. To establish a relevant brand purpose, you should:

• Dig deep into the roots of the company
• Understand the pain-points and beliefs of the stakeholders
• Identify the motivation of leadership

The most important thing to keep in mind is to not do something you are not committed to. Keep your brand purpose contextual and actionable. Take up a cause that your values reflect with. It does not have to be a revolutionary idea. A small business or start-up can start by taking up smaller everyday causes to tackle and further develop as a brand purpose along the way. 

Outcomes and Benefits

Brand purpose is the foundation of your brand. Building a strong and meaningful brand purpose has endless benefits. It helps you build customer recognition and drive a competitive edge in the market. Customers that share the same values as that of your brand purpose become loyal to your brand. It also enhances your credibility and reputation in the marketplace. A powerful brand purpose alleviates your brand socially as well as commercially.   

Commercial benefits:

Havas’ Meaningful Brands study suggests that a relevant brand purpose multiplies the wallet-share of brands 9 times. Brands with an active purpose outperform the stock market by 206 per cent over 10 years span. A meaningful purpose helps increase KPI’s of brands by 137 per cent in comparison to those that do not have one.    

A strong sense of purpose has a positive impact on:

1.Brand Advocacy

2.Customer Loyalty

3.Higher Quality Products & Services

4.Employee Satisfaction

5.Transformation Efforts

Social benefits:

Brand purpose also benefits social causes that include the environment, races, individuals, sexes, groups, genders, countries, cultures, and continents, etc. Reports suggest that brands that empower society and improve sustainable living grow over 50% faster than the rest of the others. Purpose-driven brands help society by:

1.Inspiring actions and positive change

2.Impacting communities

3.Improving the health of the planet and society

4.Creating value for customers

5.Providing employees with a sense of meaning

6.Creating a better world for future generations

Activate Brand Purpose

The first and foremost way of activating your brand’s purpose is by implementing it in your company culture. Your employees should live your brand purpose every day. Your brand is the co-creation of people inside, that is, your employees, and outside, that is, your customers. Customers are active stakeholders who invest their time, money, and attention in your brand. So, all your important decisions should be based on them. 

Brand Purpose is not just a word. It’s an action. Having a meaningful purpose is important, but it is equally important to put it into constant action. Once you formulate the right purpose for your brand, the focus should be on keeping it relevant in the fast-changing environment. With changing times, your stakeholder’s interests and priorities also change. Having a robust brand purpose means you need to re-evaluate your values, solutions, and customer-experiences regularly to stay at the top of your business game. 

Your brand purpose is your lasting legacy for change. So, establish one that connects consumers, tells your story, and build authentic relationships that ensure business success.