Why Purpose-Driven Brands Are Outpacing the Competition

Why Purpose-Driven Brands Are Outpacing the Competition

Q1: Kass Sells, CEO of International, WE Communications:

What does social impact mean, and how are brands practicing it?

Marcus Hernon, Managing Director, Hopscotch, U.K.:

Social impact goes beyond pledges and policies and focuses on results. That means working to create meaningful and measurable improvements in areas like health, education, environmental sustainability and community well-being. 

This is a business imperative today. Consumers are more discerning than ever, and they expect businesses to do more than just make money. A recent Kantar study finds that purpose-driven brands are growing at double the rate of their competitors, with the vast majority of consumers actively seeking out companies that take a stand on important social issues.

In a world marked by economic uncertainty, pressing social justice concerns and environmental challenges, the pressure on brands to drive positive change has only increased. WE’s Brands in Motion research finds that consumers and employees are looking to brands to be powerful agents of change, and they want to see the receipts: 75% want brands to inform the public about the actions they’re taking in response to societal issues.

WE's Brands in Motion research shows that brands need to clealry communicate their social impact with consumers.

Many top brands are meeting this challenge: Barclays LifeSkills is helping young people get the experience they need to enter the world of work. Hellmann’s is educating families on reducing food waste, and IKEA’s Buyback & Resell program promotes sustainability.

These campaigns are successful because they offer tangible services that people can see and measure, and they prove that brands aren’t just paying lip service — an essential point since 50% of respondents to WE’s Brands in Motion survey say brands’ promises about social issues are motivated by purely financial considerations.

 

Q2: How does Hopscotch use its proprietary Path to Impact Framework to help brands deliver meaningful action and reputational change?

WE’s research finds that 61% of respondents say most brands aren’t delivering on their social-progress commitments, but 81% believe they can improve their reputations through concrete actions. Our Path to Impact Framework helps them get there. The framework identifies the critical intersection between social needs and our clients’ purposes — uncovering where and how they can, and should, act.

We work with clients to determine how they can best leverage their unique expertise and influence to complement and amplify the great work that public-sector organizations and charities are doing to address societal challenges. We support clients throughout their purpose journeys — helping them define the impact they want to make, create a strategy, put it into action, measure the results and share their stories.


Hopscotch's propietary Path to Impact Framework supports clients through their purpose journeys.


Q3: Hopscotch partners with brands to help recruit and train people to work successfully in important areas of work, like construction, telecommunications, technology and more. Would you tell us more about that work?

Nearly a third of U.K. job vacancies stem from skills shortages, which cost the economy an estimated £39 billion. But the impact goes far beyond financial figures.

These skills gaps also pose a significant threat to social mobility. They can shut people out of evolving job markets, limit career and salary progression, and deepen regional inequalities. Without intervention, entire communities are at risk of being left behind.

Right now, almost a million young people are not employed or in education or training. This highlights a critical disconnect between employer needs and existing workforce skills. We’re working with clients to bridge this gap by:

  • Developing programs that prepare young people for the future world of work
  • Creating campaigns that inspire interest in sectors young people and their families might have overlooked but offer great potential
  • Highlighting education pathways for young people towards meaningful careers

For example, we worked with the U.K.’s Nation Health Service to expose primary and secondary schoolchildren to the wide range of careers available to them with the NHS, the nation’s largest employer. Children from a wide range of backgrounds explore more than 350 NHS careers—from drama therapist and radiographers to carpenters and technicians.

These sorts of programs not only benefit the students and their families, they also ensure a deep talent pipeline.


Q4: What are the most important life skills for young people to develop for successful careers today and into the future?

Today, technical know-how is no longer enough; to succeed in our ever-changing digital landscape, young people will need human-centric skills, too. Skills like empathy and emotional intelligence are critical in this space because workplaces must ensure that technological innovations are inclusive, responsible and truly impactful.

Businesses need employees with green skills — people with the knowledge, abilities and attitudes necessary to build a sustainable, low-carbon economy. Critical thinking, creativity, adaptability and resilience are essential. They’re the skills employers want now, and they’re essential to environmental and social sustainability in the future.

We’re equipping young people to be future-ready changemakers who can drive positive impact and realize their full potential.

 

Q5: You are a successful marathon runner. What have you learned from running that helps you as a leader and client counselor?

First, resilience. Distance runners will always face periods of doubt and discomfort. Leaders will always face setbacks and challenges. Staying focused and calm through adversity helps keep you moving forward, even when it gets difficult.

Next, goal-setting. It’s great to complete a marathon, but it’s just as important to celebrate smaller wins, like just doing that 45-minute run in the rain. The same applies to leading teams; we need to ensure that everyone remembers to enjoy the experience along the way.

Running has taught me that you need to enjoy conditions when they’re good and use the strength you’ve built to power through the tougher miles. That’s when you dig deep and draw on the support of the people around you.

 

READING LIST

Barclays LifeSkills | Barclays

Brands in Motion | WE Communications

Finding Your Path to Impact | Hopscotch Consulting

How High Economic Uncertainty May Threaten Global Financial Stability | International Monetary Fund ; Mario Catalán , Andrea Deghi , Mahvash S. Qureshi

IKEA’s Buyback and Resell Offer is back, supporting a more affordable way to shop | IKEA

Kantar BrandZ Most Valuable Global Brands 2024 | Kantar

Levelling up or down? Addressing regional inequalities in the UK | Journal of the Academy of Social Sciences ; Felicia Fai , Phil Tomlinson

New Research Reveals Strong Support for Social Justice by US Workers and Consumers, Challenging Business to Take Action | Business for Social Responsiblity

Skills and Labour Shortages | House of Commons Library: Research Briefings

The Sustainable Consumer | Deloitte ; Celine Fenech , Dr Bryn Walton PhD , Alan Majury

They Can ‘Have It All’: The Rise Of The 2020s Consumer | Forbes ; Paul Calandrella , US General Manager at Naked Wines

Think You’ve Got Nothing to Eat? | Hellman’s

Young people not in education, employment or training (NEET), UK: November 2024 | Office for National Statistics


Very interesting Kass Sells. From CSR heads now we see more Chief Purpose Officers. The stakeholders are now wanting more transparency and are also wanting to learn more about organisations’ business practices.

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Marcus Hernon

Managing Director at Hopscotch Consulting

6d

Thanks Kass - it was great to talk about some of the work we're doing at Hopscotch Consulting and other brands leading the way in social impact

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