I’m Barry Chandler co-founder and principle at Storyforge. The world’s most successful companies and the world’s most loved brands do not lead with a value proposition. 3 years ago Howard shows the CEO of Starbucks gathered a group of Wall Street analysts in his Seattle office and rather than sharing with them his plans for world domination and his strategy for how he was going to double profit for the next 10 years instead he started the meeting by showing them a video a video that showed the challenges and the woes faced by returning veterans coming back from Middle East wars and the acknowledged after playing the video to this group of analysts that this is a very strange way he admitted to starting an analyst meeting but he followed that by saying we’re in a bigger business than just coffee and these are things that we stand for and things we believe and we believe that we need to do our part in helping solve some of society’s challenges Starbucks has long held beliefs and and worldviews and positions that is shared very publicly be it on health care or refugees or same-sex marriage and Starbucks has continuously taken a stand and Howard shows has maintained that altruism and profitability are not mutually exclusive and he’s proven that by sharing with shareholders that the returns they’ve got over the past 20 25 years have been astounding back in the 1980s a McKinsey consultant coined the phrase value proposition and he coined this phrase because he felt that in order for a company to be differentiated in order for a company to be desired by its audience it needed to have very clear lines of differentiation a very clear value in fact a very rational value be its speed or price or durability something very rational and for the past 30 years that’s how businesses have marketed themselves looking for their value proposition what is this rational technical or functional aspect of my product or service that I can speak to and that I can leverage with my marketing and my advertising but fast forward to the present day today that value proposition is no longer what has led what large companies the successful brands and the most loved companies lead with you see today the landscape is very different than it was back in the 1980s today there are there’s far more choice for consumers there’s far more choice for where to work for employees not only that but social media and the Internet has made information available to available to us in ways that was not available in the 1980s today I can check glass door and see what employees think of a brand think of a company before I work there I can look on facebook or search on twitter or instagram and find real-time comments about businesses and brands before ever buy from them so the sharing of information is availability of information the democratization of information allows consumers and employees to make very different decisions today with far more choice than they had 30 years ago and so today what the most loved companies and the most successful companies are realizing is that it’s not a value proposition that leads it’s a values proposition so increasingly brands need to understand what they stand for in order to in order to understand how they align with those employees and those customers who believe the same things so this shared value economy this values proposition and has burgeoned over the past number of years giving rise to such organizations as B corporations which help you become more of a benefit corporation taking care of the needs of your society your community your employees your customers your stakeholders more than just shareholders alone conscious capitalism founded by the co-founders of Whole Foods this idea that capitalism at its purest form is is great for society and but only when it’s conscious or not crony and so whole foods and other companies part of this conscious capitalism movement believe that we need to understand our values where our values to every aspect of organization and then align with the values of those people who we do business with and who work for us so if we want to be differentiated today it’s not about finding a tangible rational logical difference in our product or service it’s about understanding how we can line our values with the values of our audience and when we align our values of those of our audience we become closer to them they become more loyal to us they forgive us of things go around they’ll buy from us even when it’s harder to do so why because they believe in us they share values of us they have a deeper emotional connection with us employees increasingly certainly the millennial generation looking to work for and for a new employer they look for things beyond the rational it’s not enough to have a 401k or a salary or certain number of days off a year that’s cost of entry but moreover what are you as an organization doing to match my own values are you contributing to the account the community that I’m a part of because I believe in that are you contributing to society are you ailing are you am fixing some kind of element in the world because they’re my beliefs and their my values so as we consider how to grow our organizations grow our businesses grow our brands we have to think increasingly beyond tangible rational value propositions and said move towards irrational illogical but increasingly more relevant values proposition for more tips and strategies on growing your business discovering your purpose forging your story please visit our blog at blog story for geo and I look forward to seeing you there

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