By: Michael De Boer
The rationale for implementing a purpose-driven campaign should always start with a mission to benefit the common good. Authenticity is a must, and ideally the cause should be directly related to your core product or service. Uniting your employees, vendors and customers behind a cause is basic common sense. And, numerous studies tell us that companies who focus on a purpose perform much better in a number of key business metrics such as acquisition cost, share of wallet and lifetime consumer value.
“87% of consumers will purchase a product because a company advocates for an issue they care about.” – Cone/Porter Novelli Purpose Study, 2018
Recruitment is arguably the most basic objective of all businesses.
We must acquire customers to provide the revenue to run the business, and employees to provide services and build products. Not only will you attract more consumers with a purpose-driven approach, your cost of acquisition will be reduced.
“62% of consumers say their purchasing decisions are influenced by a company’s ethical values
– Accenture Strategy, Global Consumer Pulse Research, 2018
When it comes to building your company infrastructure, successful companies are in a continual search to attract the best and the brightest talent. Those companies who have a clear and distinct purpose — especially with regard to Millennials and the soon-to-be coveted Gen Zers — have a natural leg-up on the competition to build the best team on the field. Regardless of generation, people just naturally prefer to do work that has a meaning beyond simply making money.
“73% of employees who feel they work for a purpose driven company say they are engaged; only 23% of those that don’t feel they work for a purpose driven company are engaged.”
Making your brand relevant to your customers is a standard check-point in any marketing strategy. Very often, tieing your brand to a purpose is a key element in adding relevance to your product. The connection to a cause or mission that resonates with your consumer increases their enthusiasm and emotional relationship to your brand. This translates to some significant business benefits. You’ll find that positive word-of-mouth, recommendations and even brand advocacy will spike up (aka higher Net Promoter Scores). In addition, share of category and wallet should increase as consumers simply feel good about doing business with your company. For your employees, this will most likely increase productivity as their work now has more meaning.
“77% of consumers see brands as not meaningful.” – Havas’ Meaningful Brands 2019
So, if you are considering the implementation of a purpose driven effort, keep in mind that the old adage of “doing well by doing good” is a real thing. Your business metrics will improve, you’ll have an engaged workforce and most importantly, your brand will be a positive force in the world.