profiting on purpose
Purpose isn’t just a nice-to-have, it’s the engine driving loyalty, productivity, and profits. Yet, without alignment, your business risks losing out on millions in untapped potential.
The Hidden Costs of Misalignment
Misaligned cultures don’t just affect employee morale, they have direct financial implications that could be draining millions from your organisation.
Here’s what it could be costing you, along with evidence supporting the power of purpose-driven, aligned cultures.
employee turnover
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The Cost:
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​​Replacing an employee can cost £25,000 - £50,000, with disengagement increasing turnover by 30% .
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The Evidence:
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Gallup reports that businesses with highly engaged employees experience 59% lower turnover and 21% higher profitability .
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According to SHRM, employee replacement costs are typically 6-9 months of salary per individual .
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lost
productivity
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The Cost:
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Disengaged employees are 30% less productive, costing businesses £3,000 per £10,000 in payroll annually .
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The Evidence:
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Gallup's State of the Global Workplace found that only 20% of employees worldwide feel engaged at work, resulting in over £7 trillion in lost productivity globally .
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Purpose-driven teams report 21% greater productivity and 41% lower absenteeism
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customer
retention
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The Cost:
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​​A 5% drop in customer retention can cost businesses between 25%-95% of profits .
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The Evidence:
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Bain & Company research shows that increasing customer retention rates by 5% can boost profits by up to 95% .
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Zeno Group’s Strength of Purpose Study found that customers are 4x more likely to buy from purpose-led brands and 6x more likely to defend them in a crisis .
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brand
reputation
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The Cost:
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A loss of trust can reduce market share by 10%-15% and decrease customer acquisition rates significantly.
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The Evidence:
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PwC reports that companies with strong trust ratings see a 30% higher market share growth over competitors .
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Edelman’s Trust Barometer found that 88% of customers would stop buying from a brand they felt didn’t align with their values.
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cost of inaction
For a business generating £10M annually according to reports from leading research institutions, misalignment could cost, directly and in lost potential:
Don’t let misalignment continue to drain your resources. Aligning your culture, purpose, and strategy isn’t just the ethical choice, it’s the profitable one.
