Let’s get one thing out of the way: business purpose isn’t a brand “nice-to-have” anymore. Not because people suddenly got nicer, but because the market has changed.
Consumers now expect brands to carry more of the sustainability load than individuals do. In NielsenIQ’s 2023 sustainability research, 46% of respondents said brands are most responsible for progress on sustainability — ahead of consumers at 37%. [1]
So the real business question isn’t “should we have purpose?”
It’s: can we prove it, and does it actually perform?
1. Purpose is expected, but trust is fragile
There’s a shift happening in what people want from brands: it’s less about big societal statements and more about relevance, credibility, and emotional resonance.
Edelman’s 2025 brands special report describes a move from “we” to “me”. Consumers increasingly want brands to feel personally relevant and supportive, not just publicly virtuous. [2]
That’s why the generic “we care about the planet” language is struggling. It’s not that people hate purpose. They hate purpose that sounds like it came from a template.
Practical takeaway: purpose performs when it’s:
- specific enough to understand,
- credible enough to believe,
- and consistent enough to trust.
2. Purpose shows up in growth where it counts: consumer buying behavior
When brands market sustainability credibly, customers buy even through inflation.
NYU Stern’s Sustainable Market Share Index (2024) found that sustainability-marketed products:
- account for 23.8% of the CPG market, yet delivered an outsized 41% of market growth (2013–2024) [3]
- grew at a 12.4% 5-year CAGR, 2.3x faster than conventionally marketed products [3]
Practical takeaway: credible sustainability (and the proof behind it) can be a growth engine, not just a cost centre.
3. Purpose compounds brand value when it’s credible
Long-term brand value data points to the same conclusion: purpose can compound value but only when people perceive it as meaningful and consistent.
Kantar’s BrandZ analysis (Purpose 2020) found that brands perceived as having high positive impact grew brand value 175% over 12 years, versus 70% for brands with low perceived impact and 86% for medium. [4]
That’s not saying purpose causes growth in a simple, one-to-one way. Brand growth is messy. But it’s a strong signal that perceived positive impact and brand value can move together over time.
Practical takeaway: purpose becomes a value lever when the market can feel it and believe it.
4. Purpose drives internal performance
If you want a blunt internal argument for purpose: disengagement is expensive, and purpose is one of the few levers that reliably touches motivation.
Gallup and Stand Together’s 2025 “Power of Purpose” report shows a dramatic gap:
- 50% of employees with a strong sense of purpose are engaged, vs 9% among those with low purpose. [5]
That’s the difference between a workforce that cares and one that is mentally checked out.
And Gallup’s broader workplace reporting shows global engagement is low. It’s about 21% engaged in 2024, which is a reminder that getting this wrong is normal, but costly.[6]
Practical takeaway: purpose is more than a marketing message. It’s an execution advantage when it’s real internally.
5. Weak purpose backfires
Here’s the uncomfortable bit: purpose isn’t automatically positive. Done badly, it creates risk.
Consumers are watching brands closely. NielsenIQ’s data shows people increasingly expect brands to lead sustainability progress.1 At the same time, Edelman’s work shows trust is now tied to personal relevance and emotional connection, not grand statements. [2]
Put those together and you get the new rule:
Purpose without proof doesn’t just fail, it erodes trust.
Practical takeaway: the business case for purpose is really the business case for credible purpose.
6. The anatomy of credible purpose
If you’re trying to turn purpose into performance, the evidence points to a short checklist:
Credible purpose is:
- Specific (clear enough that people can explain it back to you)
- Measurable (tied to outcomes, not activities)
- Verified (able to stand up under scrutiny)
- Consistent (shows up over time, not only during campaigns)
That’s how purpose stops being brand theatre and starts behaving like an asset.
The simplest takeaway
Purpose matters because it moves the things leadership cares about:
- Growth and market share
- Brand value over time
- Trust dynamics and consumer expectations
- Employee engagement (and therefore performance)
But it only pays off when it’s credible. And that sets up the next uncomfortable question we’ll tackle in the next piece:
If purpose performs, why do so many brands still sound the same and why are so many purpose claims so easy to dismiss?
That’s where we’ll get into what kind of purpose actually works, and why compliance-only narratives are becoming a trap.
Rethinking how purpose shows up in practice?
Our team can help you assess where credible impact fits into your broader sustainability and marketing strategy.
Talk to our experts to explore how plastic recovery-led action can complement compliance, strengthen trust, and support long-term brand leadership.
Sources:
- Global Sustainability Hub, Nielsen IQ, https://nielseniq.com/global/en/landing-page/thought-leadership-hub/global-sustainability-hub/
- Edelman Trust Barometer Special Report, Edelman, https://www.edelman.com/trust/2025/trust-barometer/special-report-brands
- Sustainable Market Share Index, Stern NYU, https://www.stern.nyu.edu/experience-stern/about/departments-centers-initiatives/centers-of-research/center-sustainable-business/research/csb-sustainable-market-share-index
- “2019 BrandZ Purpose 2020 – Igniting Purpose Led Growth,” Kantar, https://sites.kantar.com/marketing/Content/BrandZ-Purpose-2020-Igniting-Purpose-Led-Growth.pdf
- “The Power of Purpose: Why Purpose Matters for Employees and Workplaces,” Gallup, https://www.gallup.com/file/analytics/697478/Gallup-Stand%20Together-Power%20of%20Purpose-Report.pdf
- “State of the global workplace 2025,” Gallup, https://healthyworkcompany.com/wp-content/uploads/2025/05/state-of-the-global-workplace-2025-download.pdf
Header image: Photo by Vitaly Gariev
