This newsletter comes from the hosts of The Marketing Architects, a research-first show answering your biggest marketing questions. Find us on Apple Podcasts or wherever you listen to podcasts!
This week, we're examining the concept of brand purpose. Is it an essential strategy for connecting with consumers, or just another marketing trend? We'll look at the data and share our take.
—Elena
Only 56% of Gen Z prefer to buy from companies aligned with their social values.
This surprising statistic challenges the common belief that younger consumers are more driven by brand purpose than other generations. In fact, Gen Z appears slightly less motivated by a company's social values compared to the average across all generations (59%).
Is Brand Purpose Helpful or Hype?
Brand purpose, or the idea that brands should contribute positively to society beyond making a profit, has gained traction in recent years. However, marketers should be wary of jumping on this bandwagon without careful consideration:
Authenticity is key. Purpose should align closely with your core business and values. Consumers can quickly spot inauthentic attempts to co-opt social causes.
Measure Effectiveness. IPA data reveals that purpose-driven campaigns often underperform compared to traditional marketing approaches. This suggests that focusing on brand purpose may not be as effective for driving growth as previously believed.
Consider your audience. Data shows that even Gen Z may care less about brand purpose than previously thought. Purchase decisions are often driven more by factors like price, quality, and convenience.
Business as a force for good. Running an ethical, profitable business that sustains families and communities is a worthy purpose in itself.
The bottom line? Purpose can be powerful when it aligns with your brand's mission and offerings. But don't force it. Focus on delivering real value to customers first.
"Good Intentions Lead to Bad Marketing"
This article by Nick Asbury examines the pitfalls of purpose-driven marketing and why it often misses the mark.
The Cost of Purpose
"A principle isn’t a principle until it costs you something”
— William Bernbach