I was in the supermarket checking out the nutritional facts on a loaf of bread when something caught my eye. Every package of Dave’s Killer Bread includes a striking blurb about the brand’s story, and its purpose:
“I was a four time loser before I realized I was in the wrong game. Fifteen years in prison is a pretty tough way to find oneself. It’s been said that adversity introduces a man to himself; a whole lot of suffering has transformed an ex-con into an honest man who is doing his best to make the world a better place… one loaf of bread at a time.”
Dave dahl, dave’s killer bread
The company was founded by Dave Dahl, who got a second chance at life in his family bakery. He used baking as a creative outlet and grounding force, sparking a brand that would go on to sell for $275M4.
Today, the company he founded is committed to giving second chances and employment opportunities to people just like Dave. In fact, one in three of the employee-partners at DKB’s Oregon bakery has a criminal background, holding positions ranging from entry-level jobs to management roles responsible for critical bakery operations.
In the thirty seconds it took to read that message, I made my decision. I tossed the bread in my cart, happy to align myself with the purpose and values of the brand. That is the power of purpose.
Start With Why
In his 2019 TED talk, which has now garnered over 50 million views, Simon Sinek posed a revolutionary idea:
He explains that brands that “start with why”—communicating their purpose and beliefs first, then demonstrating how they do this and finally, what they actually do—are able to capture the loyalty of consumers who share their beliefs. And the end results range from more customers who are more valuable to the ability to introduce new products and services with less resistance.
People don’t buy what they do, they buy why you do it. And what you do simply proves what you believe.
Simon sinek
What Is Brand Purpose?
Brand purpose is a company’s fundamental raison d’etre; the reason a founder was compelled to forgo the comforts and stability of a cushy corporate job and forge into the unknown of entrepreneurship.
To be clear, to generate a profit is not a purpose. It is a result. As an entrepreneur, you could generate a profit in XX number of industries by XX number of means, but you didn’t. You chose this one. So why? Is there a specific problem you’re trying to solve? Did you uncover a better way to do something? Do you have a passion? Does this pursuit scratch an itch for you?
Purpose answers: Why does your company exist?
If purpose is the “why”, then our core values are part of the “how”. We’ve all seen generic corporate values written on a website or hanging on the wall of a lunch room. While the intentions are good, they usually miss the mark. Why? Because ideals like “honesty”, “integrity” and “professionalism” are not only so trite as to be rendered meaningless, but they are considered by many to be table stakes for doing business. They are qualities that could and should be true for every organization, including all of your competitors. Real, meaningful core values get at the heart of how your company actually operates in order to deliver on its purpose. They serve as principles to uphold in good and tough times, the common thread running through you and everyone you hire, and form the foundation of the belief system that you share with your customers.
Why Does Purpose Matter for Challenger Brands?
Purpose is especially powerful for middle market challenger brands. You may not be able to compete with larger, traditional brands based on product, price, or innovation, for example. But communicating your purpose differentiates your brand and enables you to capture market share based on a shared belief system with your customers.