The benefit of taking this approach is that everyone can be clear on the things that matter most for the business:
What business you’re really in, as your customers see it.
This is about knowing the needs you meet, not the things you make or the services you provide. Over time the need should not change but the ways you meet that need should evolve, to keep you ahead of competition.
What your customers value most.
This is where the link to the money comes in – it’s not about giving people everything they say they want, it’s about knowing what they value and will pay for, and what isn’t so important,
for each type of customer or situation you
wish to serve.
What’s a business priority, and what you can stop worrying about.
You can’t do everything. You can’t even do everything your competitors are doing – besides, they may have a different strategy. Your own purpose, closely bound to what customers need and value, gives people the confidence to make choices and follow them through.
Which internal projects and initiatives will contribute to growth, and which you can let
A few truisms about business strategy: it’s only as good as the execution. It’s as much about what you don’t do as what you do. Choosing not to do things is hard. Everyone will lobby hard for their projects because they believe in them. In a purpose-led organisation, that lobbying is replaced by evidence of how an initiative will advance the cause, making things better for customers and giving them more reasons to choose or stay with you.
How to have both focus and scale in your sales activity.
Rapid growth is much easier when there is perfect clarity right through the business about the target customers, and what they need to hear, at each stage of their purchase journey.