Why brand purpose is gaining popularity among D2C brands

Neha Kulkarni
3 min readJan 25, 2022

Purpose helped brands of the previous generation stand out by taking a stand. It’s helping D2C brands today a little differently.

Photo by Mark Fletcher-Brown on Unsplash

Brand purpose has been a buzzword in the world of brands for a while now. The success of legacy brands like Always, Dove, and Surf, as well as a generation that was demanding more accountability from brands, made ‘brand purpose’ popular among consumer brands. Purpose became a way to differentiate brands in a world where consumer loyalty was fickle, competition was rampant and product differentiation became tougher. Purpose helped brands get noticed.

Several brands started interpreting purpose as cause-oriented advertising. Only some applied brand purpose in its true sense — the ‘Why’ that guided not just their marketing, but also their internal culture, customer experience, and product offerings. But for most traditional brands, purpose remained a compartmentalized effort, their marketing department’s domain.

And then came cause-fatigue. The audience was no longer interested in the moral high ground taken by commercial entities. Even advertising agencies started talking about “Acts, not Ads”. But purpose isn’t even about acts, no matter how responsible and celebrated the acts are. It is the reason and the conviction behind those acts.

Today, brand purpose has found its true champions among D2C brands. And it’s the founders with conviction that are starting with Why and building their brand around their purpose. In some cases, it’s the advantage of a blank canvas that helps new brands use their purpose as the beacon that guides everything they do. But there are several other reasons why purpose is especially attractive to D2C founders.

Consumer-Centricity

D2C brands are fundamentally built around consumer needs. Everything they offer is consumer-focused. Brand purpose is essentially the result of research to identify a core consumer and cultural truth that the brand can authentically play a role in. It helps anchor the brand’s core identity in consumer reality.

The ability to live up to the purpose

D2C companies have more control over how the customer finds and experiences their brand. End-to-end control over their supply chain gives them better control over their brand narrative. A well-articulated and inspiring brand purpose directs them towards consistent and authentic brand impact across all consumer touchpoints.

Fuel for loyalty

Brand loyalty and advocacy are arguably the strongest drivers of business for D2C brands. Loyalty is built through consistent positive experiences and brand favorability. Purpose helps deliver both and builds brand love in the long run.

Today, consumers are constantly targeted by ads of similar-looking products. And brand purpose helps elevate a product from being a commodity to being a meaningful and thoughtful brand. It inspires the people building the brand to stay authentic and relevant. Along with a well-defined and distinctive brand voice and personality, it helps build a compelling brand.

So D2C founders today are not using brand purpose just to stand out. They are using it to define themselves and to make a commitment to their business and consumers.

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Neha Kulkarni

Strategy and research professional with a zest for art and culture