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Companies that articulate a purpose beyond profit are more likely to resonate with both consumers and employees. [Getty Images]

In a region where businesses often grapple with social challenges and intense competition, standing out requires more than just offering good products or services.

Simon Sinek’s Golden Circle model—focusing on Why, How, and What—provides a fresh perspective on how companies in Kenya and East Africa can carve out meaningful space in the market.

This model encourages businesses to anchor their operations on a clear purpose, align their processes to fulfil that purpose, and let their products and services naturally flow from these foundations. In a landscape where the stakes are high and the need for differentiation is paramount, this approach offers a pathway to not only financial success, but also lasting impact and customer loyalty.

In the context of Kenya and East Africa, the "Why" is particularly crucial given the region’s socio-economic landscape. Businesses here operate in environments where social challenges such as unemployment, poverty, and inequality are prevalent.

Companies that articulate a purpose beyond profit are more likely to resonate with both consumers and employees. A prime example is Safaricom, Kenya’s leading telecommunications company, whose purpose is not merely to provide telecommunication services but to “Transform Lives.”

This guiding principle has driven the company to innovate and offer solutions like M-Pesa, which has revolutionised financial inclusion in Kenya and beyond. By centring their operations around a higher purpose, Safaricom has earned immense customer loyalty and played a pivotal role in economic development.

Similarly, Jubilee Holdings Limited has embedded financial protection and socio-economic empowerment into its mission. By focusing on providing comprehensive and accessible insurance services that cater to a wide range of populations, Jubilee Holdings Limited has become a leading insurance provider in East Africa.

Our recent campaign, “There’s Living, then there’s Living Free,” subtly reflects our  commitment to helping individuals achieve not just financial security, but also a sense of freedom and peace of mind, resonating deeply with customers who seek more than just insurance coverage—they seek opportunities for a better, more secure future.

The "How" aspect of the Golden Circle refers to the distinct processes and strategies that organizations use to achieve their purpose. In East Africa, where markets are often underdeveloped and competition is intense, businesses must adopt innovative approaches to differentiate themselves.

This requires leveraging technology, data analytics, and creative problem-solving to overcome inefficiencies and address the unique challenges of the region. Whether it’s streamlining supply chains, enhancing service delivery, or tailoring products to specific market needs, the "How" is critical for businesses to not only fulfil their purpose but also to remain competitive and relevant. By focusing on practical, market-driven solutions, companies can create value for their customers while also contributing to broader socio-economic goals such as financial inclusion, education, and food security.

Now, the "What" is the most tangible part of the Golden Circle, but it should be the final piece communicated, as it merely reflects the outcomes of the “Why” and “How.” In East Africa, businesses with a clear "Why" and an effective "How" are able to deliver products and services that not only meet market demands, but also resonate deeply with their customers.

For instance, the fintech sector in Kenya is booming, with numerous startups offering financial products. However, those that truly stand out do so not just because of their "What," but because they tackle the deeper issue of financial exclusion (the "Why") through innovative and adaptive models (the "How").

These companies utilise alternative data to assess creditworthiness, enabling them to provide financial services to individuals who would otherwise be excluded from traditional banking systems. Similarly, the hospitality industry in East Africa, particularly in renowned tourist destinations like the Maasai Mara and Zanzibar, thrives by offering unique experiences that connect guests with local cultures and environments.

Businesses in this sector have recognised that travellers are not just seeking accommodation (the "What"), but are looking for meaningful experiences that reflect their values, such as sustainability and cultural preservation (the "Why"). The “How” is implemented through eco-friendly practices, collaboration with local communities, and the offering of authentic cultural experiences.

Applying the Golden Circle framework in East Africa is not just a theoretical exercise—it has real-world implications for business success. Companies that start with "Why" are better equipped to navigate the complexities of the region, from fluctuating economic conditions to diverse consumer needs. Moreover, in a region where trust in institutions is often low, businesses that clearly articulate and live by their purpose can build stronger relationships with customers and stakeholders.

This trust becomes a valuable asset, especially in times of crisis, as it fosters loyalty and resilience. In conclusion, the Golden Circle of Why, How, and What provides a powerful tool for businesses in Kenya and East Africa to differentiate themselves, inspire loyalty, and drive long-term success.

By starting with "Why," companies can create deeper connections with their customers, employees, and communities, ultimately leading to a more sustainable and impactful business model. As the region continues to grow and evolve, those who embrace this approach will be best positioned to lead the way in creating a prosperous and inclusive future.

Dr Julius Kipng’etich is the Group CEO of Jubilee Holdings Limited

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