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Global 2015: 10 YEAR RESULTS | 3. PURPOSE BUILDS EQUITY

Having a clear brand purpose accelerates the growth of brand equity, the factor that predisposes a consumer to purchase a particular brand, or to pay more for it, or both.

Purpose essentially means having a reason for being beyond making money. At its basic level, brand purpose is about improving the life of the consumer in some way – making it easier, richer or more interesting, for example.

At its most fully formed and ideal level, brand purpose not only improves the life of the consumer but also contributes to making the world better. Achieving this ideal level is not only a good thing to do, but is also smart for brand building.

Strong brands depend on difference. Difference is harder to achieve today, when competitors provide comparable brand functionality and even emotional appeal. Brand purpose, especially a higher purpose, becomes a differentiator. 

BRAND IMPLICATIONS

Because consumers will continue to expect more from brands, having a purpose is not really optional.
But brand purpose cannot be invented. It must be genuine to the brand, inspire the employees, be relevant to the consumer and clearly communicated. Done right, brand purpose helps sustain brands through the inevitable market fluctuations. 


Brand purpose builds brand equity

Having a clear brand purpose accelerates the growth of brand equity, the factor that predisposes a consumer to purchase a particular brand, or to pay more for it, or both.