Navigating in uncertainty: How purpose-driven Brand Strategy can thrive in turbulent times

03 | 2024

Navigating in uncertainty: How purpose-driven Brand Strategy can thrive in turbulent times

The world around us feels like a mess. There’s an overwhelming sense of uncertainty, where no one really knows what’s coming in the next few months, let alone in five years. Pandemic, war, inflation, climate crisis – sigh.

When the world is in turmoil, company leaders face tough decisions. Should we invest in future competitiveness now or cut back on everything but essential expenses and focus on stabilizing our cash flow? In turbulent economic times, it’s tempting to postpone all non-essential development projects until things calm down.

But—preparing for a recession can often lead to one, and the energy of uncertainty is contagious. Unfortunately, history provides many examples of this.

That’s why we decided to explore three key perspectives on the current trends and forecasts. Why is it that, in times of chaos and uncertainty, it's particularly fertile ground for companies to reconnect with their deeper purpose? What opportunities might arise if businesses dare to create meaning while the rest of the world seems paralyzed?

The DNA of Meaningful Work

The reordering of the world, brought on by the COVID-19 pandemic and the war in Ukraine, has introduced a host of new emotions into our lives, with uncertainty and fear being the most dominant. Our sense of security has been shaken in many ways, causing people to naturally question their surroundings, their lives, and the choices they make. A survey conducted by Yle in autumn 2022 revealed that half of Finns had changed their worldview in the past two years (Sitra Megatrends 2023).

In particular, the search for meaning in work has gained newfound importance. Does my work matter? Why do I do what I do? What is the purpose of our company? Which brands do I want to support with my efforts and choices? These are the questions more and more of us are asking as payday rolls around.

According to the State of Global Workforce 2021 report, only 20% of employees worldwide felt engaged and committed at work (Inhimillinen Strategia, 2022). In Finland, the figure was a worrying 10%. Could we say, then, that 90% of our domestic human capital is underutilized? In an already challenging economic environment, poor employee engagement is a cold, hard fact that undermines the growth and profitability of every Finnish company.

But what if even 0.01% of that 90% of disengaged professionals could be mobilized to perform better for your company?

Research shows that employees expect companies to take a more active role in social issues alongside commercial efforts. They want a purpose they can participate in. In creating meaningful work experiences that enhance competitiveness and commercial success, a clear brand plays a particularly important role right now. The goal of modern brand strategy is to create a guiding thread and clarity for everything the company does, primarily for its internal teams and contributors.

As Kerttu Tuomas, former HR Director of Kone, put it: “You can never overemphasize the importance of clarity regarding the company's direction, goals, and an individual's role in the bigger picture. While communicating goals is often done well, it’s equally important to explain why the change is happening. People approach things very differently when they have time to process them and understand the necessity of the change.” (Inhimillinen Strategia 2022)

We believe that when facilitated and led correctly, a company’s core brand and key messages can answer the toughest question of all: Why do I do what I do?

Building brand strategy around shared meaning can foster emotional engagement and reinvigorate the workforce during challenging times.

Belief in a shared goal and understanding the value one’s role contributes are powerful ways to harness team strength toward the company’s future. However, a brand-driven purpose and clear goals are not enough on their own. Bold leadership is needed to embed these elements into the company's culture and everyday operations.

Brand Strategy as an Executive Communication Tool

In times of turbulence, leaders face immense pressure as they make tough decisions and bold choices. They must maintain a grounded, pragmatic approach to decision-making while believing in the future—navigating uncertainties and balancing the responsibilities they have toward employees and shareholders alike. Many CEOs find themselves in a leadership trial by fire, where every available tool, like a guiding lighthouse, becomes crucial to ensuring the company’s future competitiveness.

Strategy work has traditionally set the direction and provided the roadmap for the future—an overarching plan that encapsulates the leadership’s vision of where the company is heading and why.

But how do you engage the 90% of employees yearning for meaningful work with a leadership vision focused primarily on business decisions, competition, growth, and margins?

In many older Finnish organizations, “brand” is still seen as a consumer-focused marketing effort, or worse, as a logo redesign, even though it’s a critical part of modern strategy. While traditional strategy work often remains abstract ideas shared only among board members, brand work strengthens the strategy by offering a concise and visual interpretation of the business vision. Companies often turn to brand work to clarify a strategy that feels ambiguous.

Among the leadership tools, a strong brand has the power to reach all levels of the organization. The brand communicates and illustrates the business's core strategies, turning them into a daily compass where the customer experience is at the center. But strategy alone achieves nothing—people do. The brand’s direction, goals, and vision must be made tangible enough for customers, employees, stakeholders, and even the leadership to grasp.

The Executive Vision Becomes Personal

As much as consumers and employees expect companies to play a role in societal impact, over 80% of them also expect CEOs to personally lead in this space, according to Edelman’s research. This gives a clear brand a personal significance for the leader as well.

When social responsibility becomes central to modern leadership, CEOs must take on the role of change-makers. Many successful brands today are led by CEOs with strong personal visions, like Tiina Alahuhta-Kasko (Marimekko), Elina Björklund (Reima), and Pekka Lundmark (Nokia). They, along with hundreds of other new-era leaders, embody a style of leadership where brand strategy and personal values together guide their companies toward transformation.

A strong brand strategy can be the tool that helps the CEO clearly communicate the company’s vision and align their personal role with it. Brand work clarifies the essential questions a leader must answer off the shelf: What is our company’s deepest purpose, and what is my mission alongside it? What positive impact do our products and services have on society? What real value does our business provide to customers?

In times of uncertainty, reconnecting with a company’s deeper purpose and building a clear, purpose-driven brand can inspire employees, engage customers, and provide a powerful compass for leadership. By aligning personal values with brand strategy, leaders can foster commitment and drive positive societal impact, ensuring long-term competitiveness and resilience in an ever-changing world.

Ilona Oksanen

The writer is a brand strategist and concept designer, passionate about people's psychological motivations, whose commercial insight and human-centered design can be seen both Nordic and global brands.