Some of the most successful brands manage to look inward and use their inherent potentials to strengthen the company’s authentic brand. This fall Nikolaj Stagis and I held events in a collaboration with The Danish Chamber of Commerce (Dansk Erhverv) in Copenhagen and Aarhus, where Nikolaj talked about what some of the strongest brands do to clearly define their purpose. Research shows, that companies with a clearly defined purpose are more innovative and create significant growth. With examples from Patagonia, LEGO, Noma, Bøgedal and Tesla, Nikolaj talked about how some of the strongest brands are driven by a clearly defined purpose and how to use those examples as an inspiration to define your own company’s purpose.
How to find you company’s inner strengths
A company’s authentic identity can be viewed through three distinct dimensions of authenticity. Try to think about these questions related to your own company:
– Is the company’s history a strength or a limit?
– Does the company have a strong purpose?
– Does the company express what it stands for?
By rating your company in these three authenticity dimensions, you can discover where there is a potential and how you can use that potential combined with your company’s strengths.
Purpose makes a profitable business
Finding your company’s authentic strengths is also about finding your company’s purpose which can motivate employees and make the company a profitable business.
A recent study from EY and Harvard Business Review called “The business case for purpose” shows that companies with a clearly defined purpose has higher growth, better financial results and the employees finds more meaning in their work life. 58% of companies with a clearly defined purpose have over 10% growth.
Among several strong brands, Tesla, LEGO, Noma and BMW are all good examples on how a clearly defined purpose can create a good business. Nikolaj highlighted Tony’s Chocolonely as a purpose-driven company. A chocolate brand who makes “100% slave free” chocolate as a result of a Dutch documentary, which uncovered slavery-like production conditions among the world’s largest chocolate manufacturers. Tony’s Chocolonely manages to use their cause to create brand value and preference for their product in the market.
Among the participants in Copenhagen and Aarhus we met different types of organizations, ngo’s and corporate businesses which gave occasion to talk about how you can use both your company’s strengths and purpose in your work, whether your company serves a cause or sells electronics.