Purpose
Every brand has a purpose, examples include raising awareness and promoting wellbeing. Brand purpose is particularly important for customers, especially Gen Z. This is supported by a Forbes repOrr that found that Gen Z are so conscious of brand ethos now that they are actually willing to spend “an incremental 10 percent or more on sustainable products” (Forbes, 2020). Brands have to adapt to these shopping patterns of Gen Z and acknowledge that customers are willing to boycott companies that don’t practice ethcial behaviours. The demand for an ethcial purpose is rising and brands are now expected to communicate their purpose to their customers.
An example of a brand that has entirely embraced the demands of an ethical purpose, is Rare Beauty by Selena Gomez. The foundations of Rare Beauty is embracing your individuality and uniqueness, ”Rare Beauty can be more than a beauty brand. […] You’re not defined by a photo, a like, or a comment. Rare Beauty isn’t about how other people see you. It’s about how you see yourself.” (Glamour, 2020). As well as this Rare Beauty established “The Rare Impact Fund” which has pledged $100 million for mental health services to individuals in underserved communities. In order to achieve this, Rare Beauty is donating 1% of all sales to the fund.
Like Rare Beauty, ’Wellbeing’ is a concept often prioritised by brands. While it is such a widespread term it can often be hard to describe. According to the American Psychological Association (APA) ’wellbeing’ is “A state of happiness and contentment, with low levels of distress, overall good physical and mental health and outlook, or good quality of life.”. While some brands, like Rare Beauty, have communicated their purpose without distracting from their products, other brands such as Goop have fully commercialised the concept of wellbeing by heavily endorsing ’wellness’ products. Goop has marketed wellness products with false and unreliable scientific claims to Gen Z audiences by claiming that it will improve their wellbeing. One of their most notable controversies is the infamous ‘Rose quartz egg’ that claimed to ‘balance hormones and regulate menstrual cycles’. In 2018, Goop suffered a $145,000 (£112,000) loss for making these unscientific claims (BBC, 2020).
According to the CFI, the sharing economy can be described as “an economic model in which goods and resources are shared by individuals and groups in a collaborative way such that physical assets become services” (Corporate Finance Institute, 2021). The sharing economy is relevant in today’s climate as it eliminates waste and the need for people to own all of their possessions. For consumers, the sharing economy is particularly beneficial as it makes everyday costs more affordable. “The basis of the sharing economy is simple: by using the internet to expand our networks, the needs of one consumer can easily be met by another community member.” (IE University Driving Innovation, 2020). In practice, Uber is a good example of this. Uber drivers can work as much or as little as they choose to, by providing consumers near them the service of a taxi for a reasonable cost.
Reference List:
Allure (2020) Selena Gomez’s Rare Beauty Line Is Coming Soon, and We Got to Try It Early., Available at: https://www.allure.com/story/selena-gomez-rare-beauty-makeup-line-interview-review (Accessed: 28/10/22).
BBC (2020) Gwyneth Paltrow’s Goop series on Netflix slammed by NHS chief., Available at: https://www.bbc.co.uk/news/health-51312441 (Accessed: 28/10/22).
CFI (2021) Sharing Economy., Available at: https://corporatefinanceinstitute.com/resources/knowledge/other/sharing-economy/ (Accessed: 28/10/22).
Forbes (2020) Sustainable Retail: How Gen Z Is Leading The Pack., Available at: https://www.forbes.com/sites/gregpetro/2020/01/31/sustainable-retail-how-gen-z-is-leading-the-pack/ (Accessed: 28/10/22).
Glamour (2020) Rare Beauty: Selena Gomez’s Beauty Line Is Finally Here., Available at: https://www.glamour.com/story/selena-gomez-rare-beauty-line-details (Accessed: 28/10/22).
IE University Driving Innovation (2020).,Available at: https://drivinginnovation.ie.edu/what-are-the-advantages-of-the-sharing-economy/ (Accessed: 28/10/22).
Figure Reference List:
Allure (2020) Selena Gomez’s Rare Beauty Line Is Coming Soon, and We Got to Try It Early., Available at: https://www.allure.com/story/selena-gomez-rare-beauty-makeup-line-interview-review (Accessed: 28/10/22).
Goop (2020) Rose Quartz Egg., Available at https://goop.com/goop-wellness-rose-quartz-egg/p/ (Accessed: 28/10/22).
IE University Driving Innovation (2020).,Available at: https://drivinginnovation.ie.edu/what-are-the-advantages-of-the-sharing-economy/ (Accessed: 28/10/22).