Business leaders have many priorities. Near the top of the list is the bottom line: creating jobs, growing the business and getting ahead financially.
But there is more to doing business than making money. Another priority should be doing good.
Not only is it the right thing to do, but thinking beyond the bottom line can have a positive financial impact over the long haul. From volunteering for a local nonprofit and making charitable donations to treating employees, customers and colleagues with kindness, there are countless ways to give back.
Here’s why doing good can lead to doing well.
Doing good builds goodwill. I think of goodwill as the accumulation of people knowing, liking and trusting you. Every positive interaction, fulfilled promise, helpful introduction, thoughtful gesture and successful project makes a small deposit in your goodwill bank account. On the flip side, showing up late, canceling at the last minute or failing to follow through can result in a withdrawal. Goodwill may be difficult to measure, but its impact is very real.
Goodwill can’t be bought. It has to be earned. When people in your community or professional network see you going above and beyond to help others, that says something about you. It shows that you’re not just about the paycheck. Of course, that only works if you aren’t doing good simply so you can post about it and promote your generosity. Do good because you mean it. When you operate with humility and sincerity, people notice.
Remember the formula: know, like and trust. You cannot put your hands on goodwill the way you can equipment or inventory, but it can have enormous value. It lives in your reputation and your relationships. It gives people the confidence to do business with you. Over time, that can translate into prospect calls, client referrals, repeat business and signed contracts.
Goodwill makes business easier. When people already know, like and trust you, they are more likely to return your call, take a meeting, make an introduction, consider your proposal or give you an opportunity. Think about the difference between a cold email and a warm introduction. Relationships remove friction from business. And ultimately, business is about people.
Your network is your net worth. The stronger your network, the more opportunities you have to connect people, solve problems and create opportunities. Goodwill makes that network even more valuable. And it compounds over time. Twenty or 30 years of doing good, keeping your word and treating people well creates something a competitor cannot simply replicate with an advertising campaign.
Generosity builds goodwill. Generosity doesn’t have to mean making a large charitable donation or spending a weekend volunteering. Goodwill is built day after day, interaction after interaction. Congratulate people on their successes. Write a handwritten note. Make an introduction. Help someone when there is nothing immediately in it for you. Reliability builds goodwill, too. Meet deadlines. Keep promises. Treat everyone with respect.
Build goodwill before you need it. Relationships should not begin when you need a favor, a referral or a new client. Build them long before that. Make deposits in your goodwill account consistently so that someday, when you do need help, people want to help you. If you’re constantly asking and rarely giving, that account eventually runs low. And remember that goodwill can be destroyed much faster than it is built. A reputation that took decades to establish can be damaged by arrogance, dishonesty or broken promises.
Public relations is fundamentally about building goodwill. Whether through community involvement, earned media, thought leadership or simply being a helpful resource, good PR builds positive relationships. But you have to bring value to the table. You can’t just sell. You have to solve people’s problems, whether that means providing useful information, helping a journalist tell a better story or connecting two people who should know each other.
Even beyond PR, business has always been, and will always be, a goodwill game.
The takeaway
Ask yourself this question: How much goodwill have you built among the people who know, like and trust you?
You may never be able to put an exact number on it, but you can keep making deposits.
Do the right thing. Build goodwill. And do well by doing good.
