communicating in the new normal world: the importance of brand purpose
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Communicating in the new NORMAL worldTHE IMPORTANCE OF BRAND PURPOSE
© PENN, SCHOEN & BERLAND ASSOCIATES, LLC
We live in a world that is rapidly changing…
Changing Political Trends
Changing Technology Trends
Changing Economic Trends
Changing Stakeholder Trends
Changing Political Trends
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Changing Economic Trends
Global Recession
Increased Scrutiny of Corporations
Economic Power – The Rise of Asia
Changing Technology Trends
More Social
More Networked
More Mobile
Changing Stakeholder Trends
Stakeholders are now demanding more from corporations:
More Transparency
More Responsibility
More Communication
Finding the New Normal in Communications:Building a Brand Purpose
CHANGING CORPORATE
EXPECTATIONS
In today’s world, a corporation’s image and reputation is more than a function of its performance and citizenship
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MARKET PERFORMANCE
Good value
Variety
Convenience
In touch with changing needs
Is a leader
CORPCITIZENSHIP
Employs fair labor practices
Is responsible
Is trustworthy
Markets carefully
Environmentally conscious methods
Helps local community
Has integrity
Corporate Citizenship = the interaction between the company and society
Market Performance = the perceptions built as a result of delivering products and services
BRAND PURPOSE
Rather, it is a product of its larger purpose
Having a purpose lifts a brand’s meaning above the tangible benefits of any specific product or service.
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“Every brand makes a promise. But in a marketplace in which consumer confidence is low and budgetary vigilance is high, it's not just making a promise that separates one brand from another, but having a defining purpose.”
– Allen Adamson, Landor Associates
Customers
Employees Shareholders
Brand Purpose
Regulators
Media
It is essential to align business strategy and communications across key stakeholders in order to have a strategic advantage in the marketplace
Companies that seek to build trust and engage honestly and transparently with all key stakeholders need to have a well defined Purpose – and to abide by it in everything they do
Transparency Responsibility
BRANDPURPOSE
Communication
Three key elements to enhancing brand purpose:
Defining a strong brand purpose has several implications:
Clarifies employees’ intrinsic value to the company and its reputation as a brand
Rallies customers behind a force larger than a company’s products or services and creates a greater understanding of what the brand stands for
Takes you into the heart of key audiences to foster a strong emotional connection, further integrating the brand into their every day lives
Creates a differentiated and stronger competitive position in the marketplace
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Transparency: A company’s brand purpose answers three key questions
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Who are we?
What do we stand for?
How is this evidenced in our behavior?
Responsibility: Linking CSR to Business Strategy
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Green Brands by Country
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Communication:Engaging in a two way dialogue with stakeholders
“Global companies are now demonstrating greater comfort with the interactive nature of social networks and are more willing to engage their stakeholders directly on these platforms”
–Mark Penn, CEO of Penn Schoen Berland
Digital isn’t an option, it’s a requirement
16©Penn, schoen&berland associates, llc.
A company that looks at its brand and asks:–What purpose does it serve to its customers and its shareholders?–How to bring this purpose to life through every customer experience?
Is the company most likely to beat its competition.
Purpose
Business Impact of Brand Purpose
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IBM – Smarter Planet
Company in service of improving the planet by making it “smarter”
Excellent communication of what the company is doing and stands for
Conclusions– Aligns brand and action;
value and vision– Opportunity for engagement
–The initiative is clearly defined, branded, and unites business and CR interests
–They do not force all CR to fit, it leverages what works
–Greenhouse gas emission reduced by 1.01 mn MTs
–Energy reduced by 4.42 mn MM BTUs.
GE - Ecomagination
“We meet everyday needs for nutrition, hygiene and personal care with brands that help people feel good, look good and get the most out of life.”
Shakti Entrepreneur: Empowering women in poorest rural India – Direct-to-home distributors; 600-800 INR/month Shakti Vani: Spreading health and hygiene awareness – Brand advocates: 50 million touched by 2007
Unilever - Project Shakti
Communicating your Brand Purpose
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The Opportunity:
•Define your brand purpose•Communicate your brand purpose•Enlist customers in your movement•Grow
Source: Penn Schoen Berland – Landor Associates – Burson-Marsteller Corporate Social Responsibility Poll, 2010
In the last year, have you heard about social responsibility from any companies?
Thank You!
Michael [email protected]