Entrepreneur Magazine South Africa
Advertisement Marketing Branding Profit Image Credit: Entrepreneur Magazine South Africa
Advertisement Marketing Branding Profit Image Credit: Entrepreneur Magazine South Africa

Why Purpose Drives Profits

Gone are the days of simply advertising your products and watching the cash roll in. Today’s consumers have more access to a wider variety of products, solutions and information than ever before — and they’re choosing who to do business with, often based on whether the brand’s values align with their own. If you want to succeed, it’s time to start engaging where it matters.

Stuart Innell

Over the past two years, many clients have been extending brand positioning exercises into purpose-driven expressions.

When we look at it, it makes sense given the country’s demographics. With many of our fellow countrymen struggling to make ends meet, brands have stepped in to provide them with a picture of a future worth striving for.

Global customer-centricity study, Insights 2020, led by research firm Kantar Millward Brown, has attempted to understand how brands could drive customer-centric growth as well as the factors that really make a difference. The research surveyed 10 495 individuals in 60 countries, and there are some significant efforts worth investing in if brands want to engage where it matters most, in consumers’ hearts.

The research uncovered that for market-leading companies and brands, traditional value drivers such as quality, packaging, or distribution are necessary, but no longer provide a competitive advantage; most brands are capable of providing these drivers. What is important, are a few critical approaches. 

Purpose-led brands

The study found that when companies or brands linked to a purpose, 80% of them outperformed the market. Only 32% of non-purpose led brands managed to perform better than the market.

On the ground

It’s important to engage with consumers in their space and on their terms. Through the use of memorable campaigns, experi


Continue Reading with Magzter GOLD Subscription

Log in if you're already a subscriber

Continue Reading This Article For FREE By Downloading The Magzter App

Magzter for iOS Magzter for Android

To continue reading on the website, Click here

Get unlimited access to thousands of curated premium story and 5,000+ magazines

Try FREE for 7 days or

Download the Magzter App and
Try FREE for 30 days


More from Entrepreneur Magazine South Africa