Why Purpose-Driven Public Relations Have an Edge 

It’s easy to see why some companies are skeptical of shifting to a “purpose-driven” business model. Doing so requires companies to take a position on important, potentially controversial issues like environmental protection, workers’ rights, racial and gender discrimination, income inequality, and so on.

Is Taking a Stand the New Social Media in Public Relations?

Taking a stand can generate a swift backlash from the community and consumers. For an example, look no further than the reaction from many fans of the National Football League when several players, most notably San Francisco 49ers quarterback Colin Kaepernick, knelt during the national anthem as a protest against police violence.

The NFL is one of the few monolithic institutions left in American life, and the response from its fans would seem to discourage other brands from getting involved in political and social issues. Even President Donald Trump got involved by putting pressure on team owners and league officials. And yet, the NFL’s handling of its players’ police violence protests offers an instructive example of why brands should lean into social causes instead of avoiding them.

After all, what was the ultimate outcome for Kaepernick? The NFL caved on player protests and is allowing social justice messages in the end zones this year. Kaepernick partnered with Nike on their “Dream Crazy” ad, which helped spread his message to a much wider audience. Though the ad was criticized in some quarters, most people responded positively to it. Younger audiences, one of Nike’s key demographics, responded especially well.

Making that ad was a risk for Nike, but it’s a risk that clearly paid off. By being aware of social trends — particularly among some of its core customers — and partnering with someone who had legitimate social justice credentials, Nike scored a public relations coup and rode the wave to increased sales.

Jumping into the realm of social activism is new for Nike, but other brands have engaged in social, political, and environmental causes for many years now. The clothing company Patagonia, for instance, supports many social causes, especially groups focused on the protection and preservation of public lands in the United States. They’ve also imposed a “1% for the Planet” tax on themselves, in which they spend 1 percent of their sales (not just their profits) on environmental activism while encouraging other companies to do the same.

Another brand that’s making headway in terms of changing the way business is done is King Arthur Baking Company. Unlike many larger bakeries, King Arthur is a private company that is owned by its employees and is a benefit corporation. This means that having a positive impact on the world is built into the company’s corporate structure. In an article for the New York Times, Ralph Carlton, one of King Arthur’s chief executives, said “Being accountable to our employee-owners means we have to take them into account. We don’t believe in growth for growth’s sake.” The company’s message is clearly resonating with consumers; according to the Times article, King Arthur’s sales tripled this past spring when many people went into quarantine and started baking their own bread and other goods.

Is a Purpose Driven Public Relations Strategy for Everyone?

These examples and additional research illustrate the gains to be had for brands that embrace social causes. For instance, the research firm Accenture found in 2018 that 63 percent of consumers prefer to support brands that share their values and beliefs. In that same study, Accenture also found that 62 percent of consumers want brands to take a position on social and political causes, and 65 of consumers said their buying decisions are influenced by the values, actions, and words of a company’s leaders.

As we saw with Nike, these trends are even more pronounced among younger audiences and consumers. Other researchers have found that 54 percent of teens age 16-19 boycotted or bought from a brand because of its ethics. Furthermore, 63 percent of teens say they are more likely to buy from brands that back charities or other causes they believe in.

These figures provide more evidence that consumers are eager to buy from brands they perceive as having strong morals and values. However, brand trust is a precious commodity that companies should not take for granted. About 37 percent of teens surveyed in the study mentioned above said they didn’t trust the claims brands make about the causes they support, and 69 percent of teens in the survey said brands overstate how much they support the causes they supposedly champion.

That last point is critical. It’s not enough for companies to say they want to make the world a better place, they have to back it up with their actions and policies. If you tell consumers you’re moving to a purpose-driven business philosophy, you need to give them proof.

Once again, we can look at Nike for an example of this theory in action. Regardless of other criticisms the company has faced in the past, making Kaepernick the centerpiece of a campaign took courage, as he was a pariah in many circles and hadn’t been a star player for several years. But because Kaepernick had sacrificed his career and his reputation for his beliefs, Nike benefitted from his social justice bona rides.

As more consumers push for brands to become more socially and politically engaged, companies that have already adopted a purpose-driven approach or are willing to make a good-faith effort have a tremendous advantage in the marketplace. If you can show consumers that your brand shares their values, they’ll flock to your business.

How to Celebrate a Purpose-Driven Public Relations

 

Of course, getting your message in front of consumers is easier said than done. You need a public relations firm that understands the challenges purpose-driven brands face and the benefits they can provide consumers. Fortunately, PR for purpose-driven brands is what we do at Avaans Media, and we can help show the world what makes your company special.

It’s important not to be too bold or too generic when it comes to PR for purpose-driven brands. You need to be specific about what you’re doing and how it’s generating the kind of positive change you’re striving for. We’ll create a campaign that’s tailored to your company’s specific strengths and goals, and we’ll show consumers that you’re serious about achieving those goals.

This kind of campaign is something we already have experience doing. One of our biggest successes came from helping a nonprofit create content to help parents who were non-native English speakers improve their children’s early education outcomes. We listened to what they wanted to achieve and created streamlined, easy-to-understand social media content for parents to share with each other and their children. Furthermore, we helped the nonprofit lobby the state legislature to fund early education programs for pre-kindergarten students.

Our campaign was a tremendous success, generating over 401,000 impressions over six months among our target audience, with an engagement rate of over 50 percent. The state legislature also saw the extensive community support for the program and funded more early education programs, providing an even greater benefit to the community.

Our organization has the tools and talent to bring this kind of success to your purpose-driven brand. To learn more, visit our contact page to schedule a call with one of our offices. You can also find us locally in New York, Los Angeles, Honolulu, Phoenix, Denver, and San Diego.

What is a Purpose-driven strategy? It’s the natural evolution of four converging cultural changes, the first is when social, cultural, and environmental issues became more visible and urgent, followed by consumers who expect brands to connect with nonprofits or social impact, driven by a lack of confidence in government to solve big problems, and finally, institutional investors evaluating environmental, social governance (ESG). Purpose puts a movement and impact first. Purpose-driven companies understand when society, the environment, and our collective well-being are doing well—businesses do better too.

Purpose-Driven Strategies have Three Key Pillars:

Employee and Systemic Engagement, Externally Virtuous, Meaty Measurable. 

These pillars of purpose require a company to be engaged in a systemic way, are independent of sales, and the impact should be both audacious and measurable. While purpose-driven strategies may give way to recruiting advantages, brand valuation, and competitive advantages, those are not the driving outcomes behind purpose. Purpose-driven PR is not the driving motivation behind purpose-driven implementations. The defining commitment of purpose is when it takes precedence over profitswhen internal culture is SO strong, so empowered, that decisions at all levels are made with a purpose in mind.

These Purpose Driven Strategy distinctions are important—because consumers—AND Investors are savvier than ever: They see through cause marketing campaigns with little authenticity. They’re alert to saying one thing, but doing another -greenwashing is so common it had a name.  Distrust in governments continued to decrease, while expectations of businesses continued to increase.

Purpose-driven strategies differ from the historical ways brands engaged with movements and nonprofits.

The Difference Between Purpose-Driven and Social Impact

Although used interchangeably sometimes, purpose and social impact are different. What exactly is purpose-driven strategy? It’s a deep, sustained engagement for change by which the company recognizes its own impact, including internally, at the corporate level. Social impact is 100% external and very often involves inspiring a stakeholder community, like customers, to work together for a sustained period. For this reason, businesses usually engage in social impact in partnership with nonprofits.

The Difference Between Purpose Driven Strategies and Philanthropy

The difference between purpose-driven strategies and philanthropy is based on the level of engagement the company commits to. Traditionally philanthropy was a broad term used to describe when a business contributed to a cause – anything from a social nonprofit to fundinga building or a program at a college. This type of giving required very little else from the company outside of the donation. Companies often used philanthropy to attract other monied investors or achive other strategic goals, but on the surface, having a philanthropic donation very often align with a marketing campaign or a PR campaign. Philanthropy also usually had very little to do with employees and customer activism or interests.

The Difference Between Purpose Driven Strategies and Corporate Giving

That gave way to CORPORATE GIVING –programs. The United Way is an outstanding example of corporate giving, this is when an organization encourages its employees to unite behind a single cause to create a greater donation scale. At this stage, companies get more involved as multiple departments such as PR, or HR to create systems and messaging around corporate giving. Companies whose employees give a lot receive recognition in the community. Corporate giving gave employees the opportunity to easily give to an organization; some corporate giving programs allow employees to choose a cause that was important to them, but in the most traditional sense, the executive team partnered with a nonprofit to create a corporate giving program.

The Difference Between Purpose Driven Strategies and Cause Marketing

CAUSE MARKETING are initiatives that tied sales to a corporate donation  – started in 1983 when Amex donated a penny to restoring the Statue of Liberty every time someone used their card—cardholders grew 45% and card usage increased by 28%. By 2013, 76% of consumers thought it was OK for brands to support good causes and make money at the same time. Before we knew it, there was a cause marketing campaign everywhere we looked, from pink ribbons to yogurt lids. Enterprises like Hersheys even had internal positions that combined marketing & corporate social responsibility.

If you’re interested in implementing purpose-driven strategies at your company, check out our free guide to implementing purpose. 

Not too long ago, DTC brands were on a tear. The Consumer Packaged Goods (CPG) industry grew at an incredible rate during the 2020 pandemic lockdown – to $933 billion up 10.4% from the previous year. And it wasn’t just the big brands who saw that growth, boutique CPG brands reported revenue growth up 18.3%, compared to 7.5% from large CPG brand manufacturers. But recent changes in digital marketing, along with supply chain issues, have made 2022 more challenging for startup DTC brands. So, given the squeeze they’re experiencing, what CPG marketing trends will give them the most bang for their buck?

 

 

CPG and DTC Brands with Purpose

This first one is a bit of a misnomer because, realistically, purpose-driven CPG brands are an inside-out job, not simply a marketing initiative. And yet, for those CPG startup brands who can find an authentic purpose, the activation opportunities are endless. This isn’t so much a CPG marketing trend as much as it is a brand proposition.

47% of consumers say they’d switched products or services after a company violated their personal values. 

Consumers are increasingly demanding sustainable and natural products in everything from beauty to wellness to food. Searches for “cruelty-free” products increased by 400% between 2012-2022. And it isn’t just consumers. 86% of employees want to know they work for organizations with an environment, social, and ethical business practices (ESG). While we typically think about large brands doing most of the heavy lifting on ESG initiatives, startup CPG brands can create a bigger splash, reduce operational expenses, and increase customer loyalty by doing their part as well.

CPG PR & Influencer Marketing

TV ads are still the first choice for legacy CPG companies, and that’s because they know becoming a household name takes repeated exposure. But ambitious startup brands without the multi-million dollar ad budget are finding excellent success with CPG PR and even seasonal sprint PR programs. From wellness products to beauty products, CPG brands know the value of trusted recommendations, like magazines.

Trust isn’t a CPG marketing trend – it’s a requirement. 

And because of the importance of the trust factor, startup CPG brands are also turning to influencer marketing. But they’re doing it most often with micro-influencers (between 1,000-10,000 followers). While micro-influencer campaigns are considerably more effort to manage, the results can be impressive because micro-influencers typically have higher conversion rates and that’s because they are more relatable and trustworthy than celebrities.  And it isn’t only CPG brands finding success with micro-influencers, consumer tech brands are doubling down on influencer campaigns too.

 

Product Personalization

Consumers are opening their pocketbooks for DTC startups that offer personalized products; 71% of consumers expect personalization. In some cases, consumers are willing to give up product effectiveness to a more tailored product. From personalized product recommendations to celebrating milestones, today’s consumer expects even CPG startups to know them as customers.

Millennials, already spending more on self-care than any other generation before (2X more than baby boomers) are driving the demand for personalized CPG products. Already, 70% of the top DTC subscription brands use product quizzes to help personalize the customer experience. Not only does this increase consumer loyalty, but it provides a pleathora of data that can be used in future retargeting and PR campaigns.

Millennials are also driving another CPG trend: CBD. While 28% of consumers already use CBD, 56% of millennials do. They’re leading the charge that fuels the 4X growth in CBD products projected between 2020-2026. From pets to skincare, CBD is still a very in-demand product.

 

One thing is for certain, CPG startups aren’t going away. The internet has supercharged the consumer’s ability to find and purchase products – and it means CPG products in every category have more competitors than ever before. Brands that invest in savvy CPG marketing and PR will have the upper hand with customer acquisition and loyalty. And that means they’ll have more longevity than ever before.

Purpose-driven public relations means the brand proactively builds incorporates values that impact social, cultural, and environmental issues. A true purpose-driven company makes corporate choices within its purpose framework, even when it means purpose over profits.

Truthfully, public relations aren’t purpose-driven, a brand is purpose-driven. Public relations is simply a lever a purpose-driven brand can use to improve the world around them. Building a purpose-driven brand is an inside-out job. They aren’t PR campaigns or PR ideas; they are a cultural way of thinking that’s internalized by everyone in the company.

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The Importance of Internalizing Purpose

There are lots of ways a brand can support its customers, community, and the globe meaningfully. Cause partnerships, and donation campaigns, are all relevant PR campaigns, but they aren’t purpose-driven. Purpose-driven companies take the long view on purpose and impact.

Internalization distinguishes purpose-driven brands. When everyone from the Board, to the CEO to the janitor walks the talk of purpose, then a brand has authentically implemented a purpose-driven brand. This also means when employees face choices, they incorporate the purpose into their decision-making. This can include employee hiring, employee programs, purchasing, and product decisions. It also means employees feel safe in making a purpose-informed choice because they know they’re acting within the company’s ethos; their choice is supported and even celebrated.

 

Should Purpose-Driven Initiatives Even Have a PR Component?

The deciding factor on this issue is the “why,” behind the initiative. Every day, businesses from Fortune 500 all the way to emerging industries are making decisions that have a social impact, and most of the time, these decisions don’t get the credit they deserve. But it’s not one decision, or one campaign, or one person who makes purpose – it’s people moving in unison making decisions that impact millions.

For example, let’s take eggs. When you go to the grocery, you face a lot of buying choices. Cage-free eggs, organic eggs, local eggs, inexpensive eggs. Many of these egg producers are balancing product, purpose, and price. Even though the organic or cage-free eggs are more expensive, it’s likely the margins on those eggs are considerably less than the mass-produced eggs. It’s also very likely that the producers of the cage-free or organic eggs are making other choices that cost more – maybe they buy the more expensive food, maybe they supplement their electricity with solar power. These are all purpose-driven decisions that are really important, but they won’t make news. What may make the news is the impact or the multiple steps they take for their purpose might make news. The people behind these choices may have interesting stories to tell. There will be PR opportunities, but they require real storytelling. Therefore, it’s important to have experienced purpose-driven PR agencies who can tell ethos and purpose stories.

Brands should have PR at the table when incorporating purpose-driven ethos, but PR should be part of the purpose, not the purpose of the purpose.

 

Are Purpose-Driven Brands Born or Made?

Both and neither. Some brands are founded in purpose, we can all name a few. Other brands grow into purpose. Both are as legitimate as their ability to stick to their ethos. It’s important for both types of purpose-driven brands to be authentic. Just because a brand is founded in purpose doesn’t mean it won’t lose its way. And just because a brand develops purpose doesn’t entirely absolve them from past actions. All brands should be very careful with their initiatives because consumers are getting fantastic at sniffing out disingenuous missions. These disingenuous missions create consumer distrust and may even run afoul of today’s cancel culture. A brand is better off doing nothing than taking on duplicitous or insincere purpose-driven initiatives.

 

If your company is considering a purpose-driven plan, please download our guide and call us. We can help you and your team navigate the exciting opportunities – and avoid the pitfalls – for purpose-driven brands.

Tech PR needs to be reinvented. Telling a great tech story today differs from what it used to be.

For the past 15 years, tech has been leading much of the conversation, so with a few press releases and a TED Talk, an upcoming and coming CEO could set the agenda. Zuck set the “let’s make an interconnected world” agenda. Steve Jobs set the “intuitive design” conversation. And while there is plenty more innovation headed our way – tech itself is no longer the story.

Emerging tech companies need to connect to the conversations their community is having or going to have in an enormous way. Why?

Today’s reporters need stories that capture the moment, not navel-gaze into the future. 90% of tech writers are curious about backend technology, but won’t write about it. Most outlets only have one tech reporter, that poor person receives over 500 pitches per day and an uncomfortable number of them are still using buzz words like “innovative”, “disruptive”, and the worst of them all, “unique.” These words now cause journalists to glaze over because they’re so overused and increasingly unbelievable. The question comes down to “WHY?”

 

So if Tech Itself is No Longer the Story…What Is?

Technology companies need to tell stories about how they’re connecting to the stories consumers are watching. Great tech stories often start with core values and it isn’t just consumers who want to know more about how you’re solving the world’s actual problems, it’s investors too – 88% of institutional investors are evaluating ESG (environmental, social, governance) with the same scrutiny they give operations and finance.

Let’s look at what people are searching for on Google:

How to Tell a Tech Story today

Look how emerging tech doesn’t even register compared to climate change and racism. There are far more reporters covering these emerging trends than the tech itself. Tying your tech story into the zeitgeist, that’s where tech companies become indelible.

Here at Avaans, we write a lot about purpose, what it is and why it’s important to fast-growing companies. Even though we are a boutique firm, we have guiding principles as well.

That’s because not only does a clear purpose give the company and the brand extra internal fortitude, but it allows consumers to connect with your storytelling on a deeper level.

Regardless of stage of growth, having purpose is the path to longevity and a connected customer base. It’s also a great launching pad for purpose-driven PR.

Digging deep to find these stories may take some time and candor about corporate culture – but these are the stories that stick. These are the stories that create memorable brands. You can’t start telling this story too early.

 

What Makes a Great Tech Story Today?

Every story needs to be:
Relevant
Inevitable
Believable
Simple

As you look at these components, you may think about how your technology fits into these buckets; resist that urge for a moment.

The first two are the lowest hanging fruit, the last two can take years. Take, for example, Salesforce. When they wanted to grow, they made a simple but audacious claim: the end of software. Establishing relevance and the inevitability of tomorrow’s cloud-based world were the simple parts. Notice how they made that claim about the user, the client, not themselves, and it was simple. The stories about how this changes business and the world are immeasurable. But, Caryn Marooney who worked with Salesforce during those early days says “it still took us years to establish true believability,”.

Set your expectations accordingly. Expect to get two to three of those messages across in the early stages. As you grow, as you show more credibility, and as trust between your company and the media increases, “Believeable” will come. Trust isn’t something manufactured in a boardroom, trust is earned.

Today, Salesforce continues to tell stories relevant to their customers and the media that aren’t about technology. Salesforce recently claimed that the “Salesforce economy will create 9.3 million jobs and $1.6 trillion in new business revenues.” The white paper is chock full of bite-sized data that an entire story can be built around the new economy, what this means in today’s labor shortage, the threads are endless and the study gives legs to talking points that can last a year.

 

The Case for Tech Storytelling Over Trade Shows

Let’s be clear – we’re big fans of tech tradeshows and conferences. Many a product has gotten media from its standout strategies at CES for example. But the coverage around CES, like any tradeshow, is diluted and noisy. Reporters at conferences are looking for clickable headlines: they want big dollars, ticker symbols, known brands.  At tech trade shows you need to stand out with remarkable, word-of-mouth activations, to give extra lift to your story – or you’ll probably share the story with 1 or 2 competitors. Sure, a trade show can give you a lift, and it can be an excellent place to connect with the media – but you simply can not rely on a trade show to do all the heavy lifting. We so often see companies make a trade show their launch or the key message for an inordinate amount of time. The fact is, trade shows give a temporary boost, but great tech storytelling goes on for decades. 

Here’s more good news: the more simple your key message, the longer your tech storytelling will last. Counter-intuitively, simple messages last longer and provide more room for interpretation.

 

A colleague of mine once asked “Why does everyone want to go viral (with their content), I want to go cancer with my content, I want it to last a long time and fight to stay,” Tech storytelling is the same, tapping into current media trends and the mindset of the customer. Core values, Purpose, a solid mission, and knowing your next 3 steps will ensure your tech story starts out great. 

If you’re looking for a tech PR agency that goes the distance with you to find the great tech stories of today and tomorrow, then drop us a note, we’d love to dig deep with you too.

 

On the surface, it might seem that purpose-driven companies are vastly different from hyper-growth companies or emerging industries, but nothing could be further from the truth. Purpose-driven perspectives for hyper-growth and emerging industries is actually imperative to future success. Hyper-growth and purpose overlap in critical phases in a company’s or industry’s growth. Because fast-growing companies and emerging industries are closer to their customers and in the earlier phases of culture-building, purpose is more clear, and it’s actually the perfect time to codify purpose so as scale occurs, the purpose isn’t lost.

 

Isn’t Social Impact too Expensive for Growth?

While fast-growing companies have certain cultural requirements: creativity, flexibility, and drive, none of these things limit purpose. This very question assumes that growth only happens when hustle culture dominates. We have many clients thriving in purpose without the debilitating effects of hustle culture. But even if your company is incubating a hustle culture mentality, when the stakes are higher than ever, people need a higher purpose that inspires them. So it’s important for companies in the growth stage to double down on brand and product purpose. In fact, purpose may be a matter of survival, and not just PR for hypergrowth companies. At least according to Larry Fink at Blackrock who has for years been advocating for brands to implement purpose in order to grow.

Further, purpose is an expectation of GenZ and Millenials, that companies embrace their social, cultural, and environmental responsibilities. Further, employees are increasingly choosing employers based on the company’s beliefs and values. So, recruiting the best talent will if not now, eventually, require companies and industries to double down on purpose.

One example of this is the emerging vertical of the cannabis industry. The cannabis industry is founded in activism, but when the industry codified as states legalized THC, the industry doubled down on purpose, taking on the social injustice of cannabis prisoners in the Last Prisoners Project. And the cannabis industry is exploding, so there’s a clear precedent for growth and purpose. Brands who take on purpose and a higher power super charge their hyper-growth.

 

When Do Hyper-Growth Companies Need to Define Purpose?

Growth stage companies have an advantage: history doesnt’ hinder them. Existing companies often have to go through an intense reorganization to discover and fulfill purpose. For hyper-growth companies or emerging industries, the time to determine purpose is now. Elevating your company’s biggest aspirations in alignment with today’s social, cultural, and environmental challenges is a key growth strategy. Both private and institutional investors are analyzing a company’s social impact before they ever commit to investing, and this trend shows no sign of slowing down.

Larry Fink, CEO and chairperson of the multinational investment firm BlackRock, created a tectonic shift in 2018 when he said, “To prosper over time, every company must not only deliver financial performance but also show how it contributes positively to society.” In his 2021 letter to CEOs, he said, “It is clear that being connected to stakeholders — establishing trust with them and acting with purpose — enables a company to understand and respond to the changes happening in the world. Companies ignore stakeholders at their peril — companies that do not earn this trust will find it harder and harder to attract customers and talent, especially as young people increasingly expect companies to reflect their values.”

Defining, developing and implementing purpose is step one to ensuring a company’s strategic growth.

How Does Purpose Driven PR Help Companies in Hyper-Growth?

A challenge many fast-growing businesses, especially those in emerging industries, face is brand building. Purpose is a considerable portion of a brand and while it gives internal and external stakeholders corporate structure, it also lends itself to authentic storytelling, which greatly aids in securing media coverage. For many companies in competitive emerging industries, PR is an important differentiator for those with industry-leading aspirations.

 

With all the advantages of purpose-driven initiatives for fast-growing companies. The question is reall- can fast-growing companies afford NOT to define a greater purpose? We’ve been working shoulder to shoulder with our clients on purpose-driven communications and PR since 2008. From movements to politics to social impact, our success stories speak for themselves. Contact us today to get started.