Yvon Chouinard stood at the base of a mountain, both literally and figuratively in Ventura, California back in 1973.

An avid rock climber and surfer, Chouinard saw an outdoor industry that prioritized profit over the planet. It was cheaply made gear that wore out quickly. And, companies exploited natural resources without a second thought.

Was this really the best the outdoor industry could offer?

Chouinard faced a choice: accept the status quo or reimagine what an outdoor company could be. He chose the latter and Patagonia was born.

Chouinard’s vision was bold: build the best product, cause no unnecessary harm, and use business to inspire and implement solutions to the environmental crisis.

This wasn’t just a mission statement.

It was Patagonia’s DNA, its reason for being.

“I never even wanted to be in business,” Chouinard once said. “But I hang onto Patagonia because it’s my resource to do something good. It’s a way to demonstrate that corporations can lead examined lives.”

This philosophy would shape every decision Patagonia made.

Consider their approach to product design. Patagonia doesn’t just make outdoor gear; they make gear that lasts. Why? Because the most environmentally sustainable product is the one you don’t need to replace.

Or take their infamous “Don’t Buy This Jacket” ad campaign. On Black Friday 2011, Patagonia ran a full-page ad in the New York Times urging consumers not to buy their products unless absolutely necessary.

Crazy for a retail company? Perhaps. But it perfectly aligned with their commitment to reducing consumption and environmental impact.

Behind the scenes, Patagonia’s practices often raised eyebrows in the traditional retail industry.

They use recycled materials in their products. They repair old gear to extend its life. They even encourage customers to buy used Patagonia items through their “Worn Wear” program.

“The ultimate purpose of Patagonia as a business is to save our home planet,” Chouinard declared.

This wasn’t just clever marketing. It was a fundamental business strategy that informed every aspect of Patagonia’s operations.

The inside out, it’s business strategy (IQ)

Patagonia constantly pushed the boundaries of sustainable business practices:

1. Became one of the first companies to switch to organic cotton, despite the initial hit to their bottom line.
2. Implemented fair labor practices and transparent supply chains long before it was trendy.
3. Pledged 1% of their sales to environmental causes, helping to found “1% for the Planet.”

The outside in, brand strategy (EQ)

Patagonia’s approach resonated with a growing community of environmentally conscious consumers:

1. Built a loyal customer base who saw buying Patagonia as a way to vote with their dollars.
2. Inspired other companies to adopt more sustainable practices.
3. Even influenced policy, with Chouinard using the company’s platform to advocate for environmental protection.

As Patagonia’s influence grew, it became clear they hadn’t just changed the game. They had created an entirely new playbook for business.

“I know it sounds crazy, but every time I have made a decision that is best for the planet, I have made money,” Chouinard reflected.

This approach shaped everything from their product design to their political activism. Patagonia wasn’t just selling outdoor gear; they were selling a vision of responsible business.

In the world of Patagonia, the business is inseparable from its environmental mission. Every decision, from material sourcing to marketing campaigns, reinforces who they are and what they stand for.

So, what can we learn from Patagonia’s trail-blazing journey?

1. Purpose drives profit: A clear, compelling mission can lead to business success (why you exist not what you do).
2. Actions speak louder than words: Don’t just talk about your values, embody them in everything you do (show me don’t tell me).
3. Think long-term: Sometimes, doing the right thing might hurt in the short term, but pays off in the long run (think beyond the sale).
4. Engage your community: Build a tribe of customers who share your values (belong to something bigger than yourself).
5. Use your platform: A business can be a powerful tool for change (“Show me the incentives and I’ll show you the outcomes” — Charlie Munger”)

Now, it’s your turn. What’s your equivalent of Patagonia’s “save our home planet”? What fundamental promise does your business make to the world?

Remember, consumers are looking for more than just products. They’re looking for purpose. Are you ready to find your cause? To turn your industry on its head? To make your business a force for good?

Patagonia started with a climber’s desire to make better gear without harming the planet. As Chouinard put it, “Who are businesses really responsible to? Their shareholders? Their customers? Their employees? We would argue that it’s none of the above. Fundamentally, businesses are responsible to their resource base. Without a healthy environment, there are no shareholders, no customers, no employees.”

What desire could transform your industry?

The world belongs to brands that understand the power of purpose. Are you ready to stake your claim?

Your business is your brand. Make it matter.

(img: wsj)