CAUSE FOR THOUGHT: REALIGN YOUR BUSINESS TO THRIVE IN THIS “NEW NORMAL”
In the current business environment, we keep hearing the term “new normal” being used by business and government leaders to provide context to the sweeping changes that have disrupted the global business ecosystem due to COVID-19. The question is, how can business owners realign their businesses to thrive in this “new normal?”
Initiating a purpose-led growth strategy has become essential for business owners. As discussed in a recent article on ey.com, The CEO Imperative: Rebound to more sustainable growth, CEOs need to accept that a post-COVID growth strategy simply cannot rely on previous assumptions and principles. In order to create long-term value as the global economy recovers, CEOs need to shift their business model to both redefine their strategy as well as implementing a clear purpose-led vision.
So what has changed?
With the numerous restrictions implemented by governments to help manage the pandemic, businesses’ growth has been severely and negatively impacted. But even as we plan for and work towards a global recovery, companies recognise that the basics of their business have changed. Even more so, companies also understand that their employees and customers have developed a different perspective on the role of companies. Millions of people all over the world are demanding their voices be heard, not just in how our nations are governed, but also in how organisations are run.
This has created a growing trend in society where consumers are now not only looking for products and services that satisfy their needs but also searching for experiences and business models that touch their socially and environmentally conscious side. As a result, people are longing for responsible brands that are responsive to consumers and work to make the world a better place. They seek ethical brands that can provide answers to the causes in the world that they care about.
With these changes, it becomes even more imperative that organisations revisit their purpose in order to meet changing expectations. For some companies who have not yet firmly established their organisational purpose, this may mean a complete reboot.
It’s not just a buzzword
Aside from it just being something ‘nice’ to have on your mission statement, it’s now also incredibly profitable to be purpose-driven. Positioning your company as being purpose-led can have significant benefits such as boosting your customer acquisition and customer engagement. A well-thought-out strategy can help you attract and retain customers, and empower employees to be more engaged and innovative.
It’s worth noting that establishing a purpose is a continuous journey for most companies. It goes further than just creating a purpose statement; a purpose-led strategy should be integrated into your wider marketing and social media strategy.
The rise of the ethical consumer
While ethical shopping was on the rise prior to the outbreak of COVID-19, the experience of the pandemic has shifted consumer expectations further. EY surveyed over 14,000 respondents for our Future Consumer Index and found that 33% of consumers believe that the way they shop will change in the long term as a result of the COVID-19 pandemic. More than a quarter (29%) of respondents indicated that they would pay more for local products, 26% for trusted brands, and 20% for ethical products.
In a nutshell
The advantages of being purpose-led stretch well beyond saving the environment: choosing this path can have a powerful and positive impact on your business’s bottom line. Companies that choose to take action on environmental and social issues will see a double whammy of benefits: differentiating themselves from competitors by being purpose-led and reducing costs or improving sales.
What is also significant is that many sectors see the COVID crisis as an opportunity for companies to reinvent themselves, with a shift to purpose-driven metrics on people, customers, communities, and the environment. In fact, a number of business leaders believe that the pandemic has increased the expectation on businesses to drive, measure and report on social impact, sustainability, and inclusive growth.
So why should companies align going purpose-led with their social media strategy?
Well, environmental and social issues have been of major concern in recent years, and have caused consumers to think more critically about the origins, content, and manufacturing processes of the products they buy. Therefore waste, packaging, sustainability, and climate change play a pivotal role in the change of the environmental landscape for organisations. Therefore, an organisation’s focus should not only be on maximising profits but also carrying out its operations in a manner suitable for both the environment and society.
So how can we help?
The journey toward purpose-led is not always smooth – particularly when integrating it into your social media strategy. We believe that when you are purpose-driven, the world should know about it. We can help you integrate this into your social media strategy by delivering campaigns that benefit both your company and the social and environmental causes you support.
Customers are more aware than ever before about environmental and social issues: to attract today’s consumers and to retain your existing customers, you need to make it clear what you’re doing to be more environmentally and socially conscious.
By showing your audience the positive impact of your business on your socials, you will enhance engagement with your brand; boosting customer acquisition and strengthening the sustainability of your business.
If you're interested in finding out more about integrating supporting a cause into your social media strategy and becoming purpose-driven, please give us a shout and we’ll be happy to go through the finer points with you.
Click Ethical blog squad