Bringing Social Purpose to Life in a World of COVID-19

Welcome to Elewa, a series featuring African thinking and solutions to problems that matter. Here, we don’t just talk about data, insights and technology: we talk about the real drivers of business transformation.

In my previous article, we talked about the key trends that we’re likely to see in 2021 as we gear up for another year of uncertainty – and top of the list was ‘Social Purpose becomes Core’. In other words, we’re living in a time where customers not only want brands to meet their own personal needs, but to solve society’s problems too.

Social purpose was already important before Covid-19. I’ve been talking about purpose for more than two years now. The pandemic simply accelerated the need. Kantar’s Covid-19 barometer in South Africa confirmed that consumers were looking for purpose above profits, while the Havas Group suggested that 77% of consumers buy brands who share their values.

Here’s a scary stat: a massive 77% of brands could simply disappear tomorrow, and no-one would care.

So what does this mean for businesses? Here’s the thing: consumers are starting to use their buying power to make a stand. With 55% of consumers believing brands actually have a more important role than our governments to create a better future, the power of consumers to impact change is greater than ever.

Wait. What is social purpose, anyway?

Glad you asked. In simple terms, social purpose is all about businesses of all sizes creating positive change. When companies choose to do what is right not only for their bottom line, but for communities and broader society, they build trust with consumers. Consumers feel that when they use a product or service of a socially responsible company, they are doing their part to make the world a better place. The more socially responsible the company, the more supportive the community and consumers become. It’s literally a virtuous cycle.

But be careful. You can’t fake social purpose. Consumers will see right through you. 75% of consumers already distrust companies’ motives for donating to charities and helping with community projects. They think companies are doing good deeds more to make themselves look good than to help people in need.

The key point here is that consumers won’t take you at your word. Only 9% say they believe corporate claims about social responsibility all the time, and another 67% believe them some of the time. You can’t just tell consumers that you care: you have to show them what you stand for.

Okay. So how do you create a social purpose?

Some brands, like Patagonia and TOMS, have embedded social purpose into their business models from the start. But for most of the other brands out there, the challenge is to develop one. They’re good corporate citizens, and want to do the right thing. They may even have an existing CSR programme. So where to start?

Understand what’s important to your customer

The world has changed in the past 10 months, and so have your customers’ priorities. We’re living in a world of uncertainty. Know what’s important to them, and what they care about. In many cases, they are prepared to pay a premium for real value and impact.

Know your heritage, and what you stand for

What are the biggest benefits your brand offers customers? Vaseline used the brand’s tagline, “the healing power of Vaseline,” to ask: “Where is our healing power most urgently needed?” It found that Vaseline was an indispensable part of emergency first-aid kits for people living in poverty or emergency conditions – and so the Vaseline Healing Project was born, with a social purpose strategy around skin care for the most vulnerable.

 Offer a real social benefit

The food and beverage industry has been criticised for contributing to childhood obesity. Many brands now position their offerings as ‘clean food’, made without artificial preservatives, sweeteners, flavours, or colours. It’s direct response to a social need.

 Coca-Cola’s Ekocenter initiative in Africa creates community centres with clean water, solar power, and internet access, among other services. The centres house modular markets run by local female entrepreneurs.

What are companies that are getting it right doing?

In short, they’re solving problems that matter. Google is trusted for its environmentally friendly initiatives, that include a data centre using 50% less energy than others in the world. They also have committed over $1 billion to renewable energy projects and enable other businesses to reduce their environmental impact through services such as Gmail.

 Netflix offers 52 weeks of paid parental leave, which can be taken at any time whether it is the first year of the child's life or another time that suits their needs. Pfizer drives initiatives that raise awareness for non-infectious diseases as well as providing healthcare for women and children who otherwise would not have the care they need.

 At TransUnion Africa, we help people understand and improve their financial health, so they can become part of mainstream economy. We also use data to improve financial inclusion, and work to promote diversity, wellness and safety among our own employees. It’s at the core of our purpose.

Social impact isn’t an initiative you do once, and tick the box. It’s an ongoing commitment by a company to keep living its purpose, and changing the lives of as many people as possible, every day. That’s why we really exist.

Are you one of the 77% of brands that could disappear and no-one would care? How has your approach to social impact changed since the start of the pandemic? Please reach out - I’d love to hear your thoughts and comments below.