Aligning our actions and choices with values brings us the opportunity to live a more meaningful and authentic life. However, this is not limited to humans. Taking an anthropomorphic approach, we reflect on how businesses can stay in touch with their core values and actions through ‘purpose-driven marketing’- a strategy involving a company's external communications efforts centered around a social cause that aligns with its core values. Purpose-driven marketing is about defining and communicating a company's purpose, or its "reason for being," beyond making a profit.
Purpose-driven marketing paves the way for companies to initiate meaningful conversations with their customers about their fundamental values and beliefs. This helps companies maximize their potential by being more sustainable, authentic, and relevant in the long term. For example, Nike's "Dream Crazier" campaign challenged gender stereotypes in sports, while “You Can’t Stop Sports” addressed discrimination in Sports. P&G's "The Talk" addressed conversations about racial bias. Patagonia's "Don't Buy This Jacket" campaign encouraged customers to think twice before making a purchase, promoting sustainability. TOMS one-for-one model addressed poverty and access to basic necessities by donating a pair of shoes for every pair sold. Coca-Cola's "Pool Boy" breaks stereotypes and challenged gender norms. Microsoft's "Empowering Us All" showcased technology's impact on the lives of people with disabilities.
Brands that have invested in purpose-driven marketing have seen both tangible and intangible returns. For instance, Dove's "Real Beauty" campaign challenged traditional beauty standards, promoting self-confidence and body positivity. Overall sales of Dove products jumped from $2.5 billion to $4 billion in the campaign’s first ten years. Dove bars became the number one preferred soap brand in the U.S. and Unilever’s best-selling product company wide. BeautyCounter raised awareness about harmful ingredients and advocated for safer, more sustainable beauty products, promoting transparency in the industry. The brand successfully scaled its business, becoming a $1 billion brand following investment from the Carlyle Group.
As millennials continue to be the largest consumer group, their expectations are shaping brand strategies. Reports by Accenture (2018), Edelman (2018), and Zeno (2017) highlight that consumers prefer brands that take a stand on social, cultural, environmental, and political issues. Meanwhile, Gen Z is amplifying this trend with even stronger expectations for brand accountability. According to a 2023 McKinsey report, 76% of Gen Z consumers believe companies should actively address social issues. Moreover, cancel culture has emerged as a significant force, with consumers taking action—such as boycotting brands, switching to competitors, or discouraging others—when a brand's actions conflict with their values.
When done with purpose, marketing holds immense value for both customers and companies. Purpose-driven companies witness higher market share gains and grow three times faster on average than their competitors, all while achieving higher workforce and customer satisfaction. Such companies also report 30 percent higher levels of innovation and 40 percent higher levels of workforce retention than their competitors (Deloitte Insights, 2019). As the brand’s voice, marketers are responsible for managing the narrative and building the brand responsibly. By adopting a courageous and open-minded approach, marketers can shift their mindset from being know-it-all to learn-it-all, constantly evolving and re-examining mission statements to align everything with their core values of responsibility and inclusion. Therefore, by embracing purpose-driven marketing, brands can resonate with a large consumer base, build trust, and drive business success.
Also Read: AI in marketing: How customer-centric companies can benefit from data privacy regulations
Here are a few factors to consider for the brands while indulging in the idea of purpose-driven marketing:
Purpose-driven marketing, therefore, is not just a conduit for communicating a brand’s values; it acts as a transformative force that encourages brands to introspect and align their business practices with their overarching missions. In doing so, brands not only enrich their engagement with consumers but also inspire collective action towards a more equitable and inclusive future. Moreover, by integrating purpose into the core of their business strategies, brands can effectively broaden their market reach, enhance customer loyalty, and ultimately achieve a harmonious balance between profitability and purpose.
Payal Anand is an Associate Professor at the Indian Institute of Management, Kozhikode and Ameya Agrawal, alumni, IIM Kozhikode
First Published: Dec 08, 2025, 16:48
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