Marketing & Communication Series: The Keys to Adapting to New Behavior and Values
It is paradoxical that, while there is ample evidence that globalization and capitalism have helped destroy poverty in the world, trust in brands and companies is on the ground. Many citizens look at them with skepticism and as a cause of their problems, not as part of the solution.
At the same time, there is evidence that sales elasticity to conventional advertising spending has decreased in recent decades. Some marketing departments stick to traditional branding strategies. Others have opted for new media or new creative paths, trying to hyper-segment and trying to reach customers with a new language. In many cases, however, the brand equity has been eroded.
At a higher level in the marketing department, many companies have embraced the stakeholder theory and understand that the pursuit of profit should not be the only objective. As a result, CSR has been entering the conversations of many boards of directors and management committees, although, in many cases, opportunistically or defensively.
The recent update of the Business Roundtable’s “statement on the purpose of a corporation” reflects a gradual but profound shift in the consciousness of top management. We see more and more companies taking seriously having a positive impact on society. Some go from -simply- investing in a set of social initiatives to seek a social purpose intimately linked to everything they do.
It is in these companies where the brand cannot be left out. A brand with purpose is not a brand that uses some social initiatives to guide its marketing and / or communication. It is a brand whose identity is inseparable from a social purpose.
In this session, we will discuss what a purposeful brand is and whether embracing this concept makes sense for any company and, if it does, how to build it.
Prof. CB Bhattacharya, H.J. Zoffer Chair in Sustainability and Ethics at the Katz Graduate School of Business, University of Pittsburgh
Malena Cutuli, AVP Global Communications-Food, Nestlé
Prof. Julián Villanueva, Marketing, IESE Business School