Brand Purpose Playbook 2

Activating a Purpose Program Playbook

April 13, 2021    

Purpose matters in business. Companies that lead with purpose, and execute a strong purpose-driven program, can achieve consistency, relevance, loyalty, and improved results through longer-term and more meaningful relationships with their customers.

In its purest form, purpose answers the question, "Why does a company exist?" That answer can serve as the North Star for all organizational decision-making. As Frank Cooper, global CMO at BlackRock, once opined, "Why you exist is the new frontier." In his annual letter to CEOs in 2018, BlackRock CEO Larry Fink implored public companies to have a "sense of purpose," because it is essential to sustained shareholder support. "To prosper over time," he wrote, "every company must not only deliver financial performance but also show how it makes a positive contribution to society."

Purpose cannot be a marketing veneer. To get it right, brands must truly embed it into their businesses and the organizational culture. And the authenticity of that purpose is critical.

For Andrea Brimmer, CMO at Ally Financial, building a purposeful brand is all about authenticity. "Don't say you're customer-centric, be customer-centric," she asserts. "Build love for the brand and keep the customer relationship strong. You must live up to the values of the brand in all you do, and that goes beyond marketing. We moved 2,000 people to Detroit as the city was going through economic mobility. It was a huge expense and a 20-year lease, but it helped the younger generation understand the legacy of the city. We committed to being a solution as part of Detroit's rebirth. That doesn't have anything to do with marketing."

For purpose to resonate as real, endure over time, and yield results, it must start deep within an organization, from the beliefs of employees and the manifestation of an engaged corporate culture to the tangible benefits delivered by products or services. Purpose must also be the key criterion by which a company assesses all its actions and consequences for every stakeholder.

While some feel purpose is just another corporate buzzword or mere marketing jargon, it's clear that purpose matters to consumers. A 2019 consumer survey from Deloitte found that more than 80 percent of consumers in the U.S., U.K., China, and Brazil would be willing to pay more if a brand raised its prices to be more environmentally and socially responsible or paid higher wages to its employees.

In fact, Deloitte's research underscores that when a company leads with purpose, it comes to understand that consumers are more than just customers. They are active stakeholders who invest hard-earned money, time, and attention in a brand. They also see a brand's purpose as aligning with their own values, whether they be their views on sustainability, social impact, or product quality and service.

When brands talk about the good they're doing in the world but don't back it up with actions, stakeholders immediately see this as "goodwashing." It's simply not possible to create a values-based marketing story today without being a truly values-based company.

"Purpose-bashing" often results when people post how they won't buy from a company that is hypocritical, or one that doesn't treat its employees well. Similarly, in our transparent and often critical social media world, brands are also accused of "greenwashing" if they fail to show immediate evidence of improving society or the environment. Today, the general public isn't afraid to comment, and stakeholders are committed to keeping brands honest.

While purpose-driven marketing is on the minds of more marketers, several challenges often arise when embarking on a program. Some marketers face insufficient buy-in from top management. Others may not be able to connect a company's values to its marketing strategy. And some simply don't want to risk a message that could polarize a portion of a company's current audience.

This second playbook from the ANA Center for Brand Purpose focuses on activating a purpose strategy and all of the elements involved:

• C-suite involvement
• Driving the process so it is funded and prioritized
• Employee buy-in
• The systems and policies necessary across all business functions
• Building a framework to ensure purpose is a long-term strategy with specific goals

It features the voices of many marketers across a broad range of business categories as they share their perspectives in the evolution of creating meaningful and purposeful marketing initiatives.

Most of the in-depth learnings were contributed by marketing leaders from six global companies with a network of employees and stakeholders throughout the world who have fully embraced the transformative aspects of purpose. These pioneering individuals willingly shared their thought processes, experiences, and methods for activating a vibrant sense of brand purpose within their organizations.

Among the companies are century-old brands and newer ones. Not all are household names. Some are business-to-business operations, others are consumer-driven, and several have both B2B and B2C offerings. All recognize the value they must provide for their stakeholders.

 

Featured Contributors

 

Additional Contributors

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WHAT DRIVES YOUR PURPOSE?

Visit the ANA Center for Brand Purpose for education, guidance, and leadership on purpose-driven marketing.