How to avoid the pitfalls of purpose-washing

We’ve all heard of greenwashing. Now there’s another kid on the chopping block that’s landing some companies in hot water. Purpose-washers watch out! 

Quite simply, purpose-washing is when a business starts trading on moral credentials without delivering the goods. 

It could be that you’ve implemented a sustainability plan but engage in processes that damage the environment. Or promote gender equality but, in truth, underrepresent females on the board. 

Whatever your MO, if you’re going to promote products and services on the back of a good cause, you need to cement your words with meaningful, measurable actions.

Being accused or prosecuted for purpose-washing can have multiple negative effects on your business. 

Damaged relationships
Your reputation as a trustworthy and respected brand gives stakeholders a reason to believe in your company. Purpose-washing can damage this trust.

Negative PR
Media coverage that highlights your less-than-honourable intentions can be a PR nightmare for your business. 

Financial penalties
In April 2025, fines for purpose-washing were set at up to 10% of a company’s global turnover, according to the Consumer Credit Act. There doesn’t even need to be a court hearing to implement them. 

Ruined morale
Employees may feel cheated if they sign up to work for you on the premise of sharing a strong moral compass, but the opposite is true. It may also mean you fail to attract top talent. 

If you want to really live and breathe your purpose, build it into your business from the ground up. Sound bites and tokenism are red flags for flakiness. 

Embed purpose in your culture
Get everybody onboard with your promise from employees to clients. Purposefully align yourself with people and businesses that share your passions and ethos. 

Make it meaningful
Your purpose isn’t just a marketing gimmick; it’s a mantra to live by. Weave it into every fabric of your organisation. Whether you’re attracting new talent or choosing how to invest in the future.

Constantly evolve
As a B Corp certified agency, we have to document everything we do and keep up the commitment to ensure we retain our status. This means constantly reviewing our environmental practices, governance, work policies, community involvement and client relationships. 

Every year, it’s a requirement to product a contract report that documents progress in these five areas. We’re busy working away on ours and will be sharing it soon. 

Leading with purpose makes good business sense for everyone, but it’s important to get it right to keep driving positive change. If you need help defining or refining your purpose, book a call with us to kick things off.