Think for a moment about your personal values. How much do those values shape your view of the world? How much have they influenced your decisions? Have they changed your life?
Your values, whether you realize it or not, are truly steering the ship of your future. Values play a vital role in every decision you make and are an essential piece of your personal identity. In fact, many of your decisions on a daily basis are most likely values-based: where you go shopping, what you eat, how you dress, and so much more.
So is it any wonder why values are so important in an organization? If you’re a business owner or company, it is essential to know your company values as it speaks to who you are as a brand: for better or for worse.
Simply put, showcasing your values to your potential customers or clients is like wearing your heart on your sleeve. In the new era of corporate trust and transparency, your values should direct every decision your company makes, not just your marketing.
Building your company’s marketing strategy around your values isn’t just for the “feel-good fuzzies”, it’s incredibly good for business, and we’ve outlined the top four reasons why:
1. Your Values Echo Your Purpose
A mission statement explains the purpose of your company, and values serve as the moral compass for the decisions that are made to fulfill that purpose. When it comes to building out your marketing strategy, it is essential to know your mission and the values behind your organization to ensure that your brand messaging is consistent, meaningful, and is driving you where you want to go.
“Your mission, vision, values, and purpose all set the stage for the story you want to tell with your marketing.”
If you need an example, see this page to discover the PHOS mission statement and how it guides the work we do as a company.
2. Values Foster Fierce Loyalty
As personal beliefs and values drive many of our daily decisions, it’s no surprise that values are a main factor in a purchase decision. In today’s marketplace, it’s more important than ever to openly discuss your internal company values and share that with your customers, as customers who feel aligned to your business values tend to be fiercely loyal to you.
Fiercely loyal customers are vital to your business and if you clearly communicate your value to them, they’ll stick with you, even if you don’t necessarily have the lowest price.
Fact: 73% of customers will spend more money if they love your brand.
3. Showcasing Your Values Build Trust & Transparency
It’s becoming more and more common for businesses to be completely open and transparent about factors in their business that would have been proprietary information 50 years ago. Here are some examples of transparency in action, according to an article in the Boston Globe:
- Apptopia, a Boston-based company, lets their employees see all of their security monitors. The monitors show everything from monthly revenues, client numbers, and customer churn.
- HubSpot, a well-known marketing automation software company, states that all of their employees are “insiders”. Being an insider means that they can see the company’s financial information before it’s released to the public.
- Whole Foods Market and a travel-website company called How I Travel discloses all of their employees’ pay. “We’re strong believers that transparency breeds trust,” the travel firm’s CEO told the Boston Globe. “And it’s extremely important for us to have a trusting family feel within our ranks.”
These brands are clearly showcasing their values by being open and transparent with their employees, but in doing so, they are communicating to their customers and investors that they have nothing to hide. Chief executive Eliran Sapir from Apptopia stated, “When you have nothing to hide, things are going really well.”
“Corporations are people, my friend.”
Logically, that can be a struggle to understand. How can corporations be people? Yet in many ways, corporations can seem as real as people because they have personality.
4. Values Boost the Bottom Line
So, we know values are good for a company’s image, but how does it affect the bottom line? Quite a bit, in fact.
According to an Edelman brandshare survey, 87% of people want a meaningful relationship with brands, but only 17% think brands are actually delivering.
Marketing based on values can result in big sales. For example, Under Armour created a marketing campaign entirely based on the values of their customers. Their campaign titled, “I Will What I Want” sought to tap into their consumers’ emotions and core values.
So, what happened? According to Droga5, the ad agency in charge of the campaign, it resulted in 1.5 billion impressions and helped lead to a 28% increase in sales for Under Armour.
This campaign clearly demonstrated the power of marketing to the values and unmet needs of consumers. Under Armour successfully showcased their values and struck a chord with their consumer community, which resulted in a hefty increase in sales.
Values aren’t just good for the soul, they are vital to your business. If your company has a strong set of values, it might be worth considering taking a values-based approach to your marketing. Your customers will love you for it.