Does a purpose-driven brand work?
Does purpose work? Should it really be the thing that's driving our brands? Marketing pundits have been arguing the effectiveness of a purpose-driven approach recently. Some argue that it shows that a purpose-driven approach is more effective. Some argue that the research shows a non-purpose-based approach outperforms a purpose approach.
They're missing the point
What the pundits miss is that this is not a zero-sum scenario. If you think it's an either/or choice. You don't get it.
Critics somehow think that we have to abandon sensible business growth strategies and tactics in order to adopt a purpose-driven approach. Maybe they've seen companies do this. Let's be clear here. Companies that take this approach are bound for failure. And those that adopt a purpose as some sort of promotional gimmick are on the express train to that destination.
You don't have to sacrifice product promotion to adopt a purpose-driven approach. And you don't have to sacrifice purpose in order to promote a sale, a special, an incentive, etc.
If this is what you've been struggling with, you're thinking about it all wrong.
Purpose underpins your brand
Purpose helps guide everything you say and do. So naturally, it should guide your brand messaging, connecting your brand with the difference you can make in a life, a community, and even the world. That can make for some potent brand messaging. But brand messaging is just one part of the equation of a successful effort.
Purpose should also guide how you promote your offering. In other words, the promotion you choose should not conflict with the purpose you serve. In fact, it should amplify it.
Here is an example. Let's say that there is a bank. And its purpose is to help people make more thoughtful decisions with their money so they can feel less anxiety and have the ability to build a brighter future.
The bank decides to create an incentive for opening a new checking account. The incentive is a $50 prepaid card. And they position it as a reward you give yourself. To go out and splurge on something just for you.
Obviously, that kind of runs counter to the idea of making more thoughtful decisions with your money. So what should the bank have done?
Rather than the $50 prepaid card, the bank could offer a $50 match to the first $50 the customer puts into a new savings account. The customer is still getting $50. But this approach rewards saving and supports the purpose of helping people build a brighter future.
The bickering is doing no one any good
Clarifying a purpose (or Big Audacious Meaning as I call it) helps a brand understand the difference it can make in a life, a community, and even the world. And then adopt an approach to pursue that purpose.
When done right (and yes, that's an important distinction), it helps you infuse everything you do with something meaningful. Something your customers and prospects yearn for. That feeling that they are part of something that is making a difference for those around them.
It's not something you do at the expense of growing your business. In fact, a benchmark that you're doing it right is business growth.
Patagonia and Dove are purpose-driven brands. Patagonia has sales. Dove runs specials. You don't have to sacrifice money for meaning. And vice versa.
We can do good. And do well.