In a time when stakeholders increasingly value transparency, authenticity, and social responsibility, companies are no longer judged solely on what they do but also on the “why” behind their actions. The purpose, meaning the fundamental reason for a company’s existence, is the key to answering the question of a company’s motivation and gaining the trust of employees, customers, investors, and other stakeholders.

It has long been clear that a credible and effective purpose must not be just a marketing trick; it must be exemplified by management and cascaded throughout all parts of the company. Summarizing the purpose concept in a succinctly formulated slogan helps communicate the essence of the concept and establish a unified understanding throughout the organization.

Globeone commissioned an independent market research institute to survey 5,938 German consumers between the ages of 18 and 65 on how the 68 purpose statements or similar slogans with purpose-like qualities publicly communicated by companies listed in the DAX and MDAX were perceived.

The result: Four out of ten statements convinced the respondents, achieving an approval rating of more than 50 percent. One in twelve companies received an approval rating of less than 30 percent.