PURPOSEFUL GROWTH lorem
Proven by our work, we know that purpose can be the growth engine at the center of business.
The concept of purpose in business is widely misunderstood, and often seen as a nice-to-have, not a must-have. It’s been confused with ideas like philanthropy, CSR (Corporate Social Responsibility), ESG (Environmental, Social, and Governance) programs and DEI (Diversity, Equity, and Inclusion). We have worked with these functions, and we appreciate the passion and aspiration for the impact they have, but often they haven't been able to demonstrate their impact on the real game in business: Growth.
We think true purpose, as we define it, is a much bigger idea that sits at the heart of economic activity. Yes, it articulates why an organization exists, but more importantly, it forcefully animates how it can leverage its unique ‘superpowers’ to create meaningful growth by adding new value to customers, consumers, employees and society. This is what we call purposeful growth.
OUR SEVEN CORE BELIEFS ABOUT
PURPOSEFUL GROWTH.
Purpose is a compass for leadership
In times of volatility and complexity, leaders are under immense pressure to deliver results while navigating constant change. Purpose provides the clarity, meaning, and focus that allow them to do so with conviction. It cuts through noise, aligns teams, and turns uncertainty into confidence by connecting daily decisions to a shared, long-term ambition. When leaders use purpose as their north star, they create direction without rigidity, empower people to act with autonomy, and inspire belief even in moments of doubt.
Purpose can energize culture
Especially Gen Z and millennial employees are much more drawn to companies that can articulate their strategy as a meaningful mission and demonstrate a positive societal role of their core business. A key driver in acquiring, engaging, and retaining top talent, purpose can be a vital force in the creation of healthy, resilient, and high-performing organizations. For example, in our work for Gap Inc. we have translated purpose and mission into a program that inspires store employees to shift their service model towards more customer engagement, contributing to Gap’s amazing year-over- year growth.
Purpose can be a springboard for innovation
Innovation that puts solving societal needs at the center can unlock new growth. The UN estimates that achieving the Sustainable Development Goals (SDGs) opens up more than $12 trillion of new market opportunities. Whatever you think of Elon Musk, Tesla has become the most valuable car company in the world by leveraging its purpose of accelerating the world's transition to sustainable energy as an innovation springboard to reinvent an entire industry. Or take our work for Sephora, which has activated its purpose of driving inclusion in beauty by redesigning its store experience for neurodiverse customers as part of their ‘quiet hours' program.
Purpose can unlock new brand power
Data shows that consumers are 4-6 times more likely to purchase from, protect, champion and trust companies and brands with an authentic purpose that is meaningful to them. Our work for Mattel for example has laid the foundation for the unbelievable success story of Barbie’s comeback as a cultural icon. The brand’s purpose of inspiring the limitless potential in every girl has increased brand meaning and differentiation and captured the hearts and minds of a new generation of parents - a prime example of the brand power that purpose can unlock.
Purpose can create new value from ‘business-adjacent’ functions
Clarity of purpose will also enable ESG, sustainability, CSR, and DEI leaders to better integrate their functions with the commercial objectives of the organizations they are a part of. By aligning their programmatic focus more intentionally with the overall company purpose and strategic priorities, they are able to contribute to a broader growth agenda. For example, Sephora, Nike and Microsoft have all proven how inclusion strategies can be turned into an engine of new growth.
Purpose can turn investors into believers
While performative ‘purpose washing’ has rightfully fallen out of favor with investors, an authentic purpose that is connected to the core of the business has the power to better articulate the value an organization can bring to the world. This helps investor relations and corporate communication teams engage investors, analysts, policymakers, NGOs, and the general public through a future-oriented growth narrative that articulates why the organization will be relevant in the future. Our work for Akamai, a global cloud and cybersecurity company that is focussed on delivering fast, secure, and reliable digital experiences all over the world, has demonstrated how their purpose of ‘powering and protecting life online’ can meaningfully elevate their investor story.
Purpose can unlock new growth
As a result of all the above, companies that understand the real power of purpose will continue to outperform their peers when it comes to market valuation and year-over-year growth.Recent research shows that over a 20-year period, purpose-driven companies generated an average compound annual growth rate of 13.6% in their stock prices, compared to 3.7% for their closest competitors and 5.5% for the S&P 500.