The case for brands defined by a purpose beyond the owner’s pockets is obvious to some, criticized by others. The link between belief systems of organizations and the developments in terms of financial performance is hard to make, but some studies prove the connection between companies that have a well-defined purpose and a high rate of growth, earnings, human performance, ability of innovation and more. Others are pointing to the fact that younger generations are demanding goods and services from brands who serve society and the planet. And guess who the next generation of leaders want to work for? Brands who are focused on making a positive impact while creating better business.
Lots of managers still question a company purpose as a primary factor to set a direction and answer most questions in a business. Will that really pay off? As the former CEO of Italian motorcycle brand Ducati, Federico Minoli, once said to me: “If the Catholics considered building a church, nobody asked for a business plan. They believed it was the right thing to do and started building”. Of course brand leadership today is so much more than belief and very different from religious leadership centuries ago, but in organizations that are still primarily driven by the ideal of rationalism it’s worth thinking about the accomplishments made because people believed in a common purpose.
Get the magazine to find out the six ways of building your purpose brand
By Nikolaj Stagis,
CEO, Stagis Brand Consultants. Strategy and brand consultant and author. Transforming brands for 22 years in his Copenhagen-based consultancy Stagis, he helps organisations define authentic identity and build brands with a purpose.