Why your brand needs a purpose
Most things we do in life need a purpose. A goal, a path and a clear direction towards where we are going and who we are. The business world is no exception and a well-crafted purpose can be crucial to a brand's success. But what does a good purpose actually mean and what qualities are included?
Purpose gives meaning to life
Today, we live our lives at a furious pace and most of us spend the majority of our waking hours at work. We spend a huge amount of time with the organization we belong to and for work (and indirectly life) to feel meaningful, we need a clear purpose.
The more young people enter the workforce, the more important purpose becomes. Having a meaningful job and feeling part of a group are two factors that are particularly important for millennials (people born between 1980 and 1995). Historically, high pay has always been a strong motivator, but even that is changing. Today, many say that company values such as social responsibility and sustainability are at least as important as a big paycheck.
Changing consumer behavior
The same is true when consuming goods or services. 60% of younger consumers say they are willing to pay more for a product if it comes from a socially responsible company. Having a strong and meaningful purpose not only strengthens the brand internally but also externally.
Find the company's why
Based on what we have learned in the previous paragraphs, we can conclude that a well-developed purpose brings many benefits. But what exactly is a purpose? In simple terms, the purpose is the 'why' of the company. Which in turn contains an amalgamation of the questions "who are we?" and "what need do we fill in society?"
The first question is about what the organization is like at its best, what are its distinctive strengths? The second question is about the organization's impact on the world. If the organization were to disappear tomorrow, what would the world be missing?
Create your purpose based on five characteristics
To make it even clearer, it is also possible to identify five characteristics that need to be present in a good purpose. For the purpose to work, the organization should be able to answer the following questions.
- Presence: Is the purpose clear and obvious? Is it easy to explain to an outsider?
- Relevance: Is the purpose inspiring? Does it reflect the society around it? Is it as relevant today as it will be tomorrow?
- Consistency: Can the purpose be linked to the company's roots and history? Is it part of the company's DNA at all levels?
- Credibility: Does the purpose align with the company's other decisions? Does the company live out its purpose with passion?
- Engagement: Does the purpose create stronger loyalty among employees and customers? Are people more engaged with the company because of its purpose?
Get started!
We hope that this article has given you a better understanding of why your business needs a purpose and how to create one. Perhaps you are already well on your way to developing one or have an idea of where to start. If you need help along the way, you are more than welcome to contact us.
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