Start with Why by Simon Sinek

Simon Sinek caused quite a stir with his Ted Talk of the same title: “Start With Why”, in which he introduces the golden circle, and explains its effect on a company’s vision, its employees, and the loyalty of the company’s following. That video received several million views and likes on YouTube, and it is still going strong.

After watching the video several times myself, I felt compelled to get myself a copy of the book so I could dive deeper into the depths of the golden circle and hopefully gain some insights that would inject a bit of passion into my own life and the business I’m in the process of building.

I got more than a few insights from Start With Why, and I share my top three in this video.

Feel free to do the same in the comments section below.

Most businesses or business owners think they know why customers buy from them, but do they, really? Even we, as consumers, assume we know why we prefer one brand over another, but do we, really? Most of us look at the surface of the marketplace and assume we know why we do the things we do or why things are the way they are. 

In Start with Why, Simon Sinek tells us to re-evaluate these assumptions. He believes that people don’t buy what you do, they buy why you do it. “What you do is not the reason to buy, it is the tangible proof of your purpose, your cause, you Why”. 

In his opinion, most businesses fail not because their product is unable to compete in the marketplace, but rather because they are unable to articulate their purpose and beliefs – because they are unable to show a cause for their existence – they are unable to build a loyal following.  These businesses only attract customers looking for “today’s special.”  These businesses often resort to manipulative tactics to try and win customers.  They are unable to command a loyal following because nobody knows what they believe – they don’t know why the business exists, beyond making a profit for its shareholders.

Simon Sinek asks the question, “If companies don’t really know why their customers are their customers or why their employees are their employees, then how do they know how to attract more employees and encourage loyalty among those they already have?”

His hypothesis is that the goal of a business shouldn’t be to merely transact with anyone who wants what you sell.  It should rather be to focus on the people who believe what you believe.  This, in the Simon’s mind, is how you attract loyalty:  when you don’t simply hire personnel who have a desirable skillset, but you hire people who believe what you believe.

To entrench loyalty in the hearts and minds of your loyal community, Simon Sinek recommends that what you say and do as a business has to prove what you believe.  People who share similar beliefs will then be able to identify with your purpose – your WHY – and they will find ways to become part of your community, primarily by making use of your products and services.

Simon says “If what you do doesn’t prove what you believe, no one will know what your why is and you will be forced to compete on price, features and benefits; the stuff of commodities.”   In this way, you will only attract bargain hunters.  You may get some repeat business, but it will be extremely difficult to build a cult-like loyalty.

Simon says, “It is the cause represented by the company that inspires loyalty, “not the price of your goods.”

The difference between repeat business and loyalty is this: 

Repeat business is when people do business with you multiple times.  Loyalty is when people are willing to turn down a better product or a better price to continue doing business with you.” 

What would you give in return for such devotion by your customers to your cause?

Loyalty is built on trust.  “Trust emerges when we see that another person or organisation is driven by things other than their own self-gain,” writes the author.

Your first base of loyalty, the foundation of your business success, according to Simon, is the employees you hire to carry out your purpose.  Business is complex, and there are many systems to muddle through, “but beyond the structure and systems, a company is nothing more than a collection of people.  Look after the people, and the people will look after you.”

Simon says, “All too often, it is not the systems that fail, but the inability to maintain them.“ This is known as entropy. Richard Rumelt, in Good Strategy, Bad Strategy, writes about entropy in great detail. Simon says that instead of waiting for problems to happen and then scrambling to fix them, rather engineer the outcome you want right from the beginning.  Use your purpose as a guidepost.  “First know why you do what you do… once you know your why, the next question is: how will you do it? The Hows are the values and principles that guide your actions.”

He breaks it down like this:

Don’t tell people what your product is, show them why they need it.  Simply offering a high quality product with more features or better price does not create differentiation. 

Differentiation occurs in WHY and HOW you do it.

Starting with the end in mind gives you a filter for making important decisions.  It allows you to measure progress and improve past performance.

It is not enough that you should understand your purpose and your vision.  More important is that you should be able to articulate it to employees and customers.

And to that end…

Our behaviour, in the author’s opinion, is affected by our assumptions.  We make decisions based on what we think we know.  Simon says, “Sometimes when we get things right, we think we know why.  But do we, really?”

These are the instances where questions come in handy… to clarify and give us certainty about where we are, where we plan to go, and how far along we are on our journey towards the success we want.

Start With Why challenges us to question our assumptions, to remember that there is always an alternative path, there is always another perspective to be considered.  Life is not always black and white.  Considering the grey areas may provide useful insights that we may have overlooked.  Whenever you’re confronted with a challenge, don’t rush in with your answers or opinions.  Rather ask questions - gather enough information that will help you to make wise decisions.

Remember, people don’t buy what you do, they buy why you do it.

Articulate your purpose – your why – to yourself, your employees and your customers.  Make sure it is understood and implemented at all levels across the organisation.

Simon warns that, “Instead of asking ‘what can we do to compete?’ rather ask, ‘why did we start doing what we’re doing? And what can we do to bring our cause to life?’”

 I read Start With Why a few weeks after completing Dr. Victor Frankl’s Mans Search for Meaning.  I haven’t stopped searching for my purpose ever since.

This channel is part of that purpose – part of that meaning.  Sharing these discoveries and engaging people like you in conversation to realise that we each can become better, and by extension make the world, and the people around us better.  Sharing insights and debating important issues that will make us grow and prosper is a key objective of the LocalBiz Academy.  Let’s make our country, our continent, and the world a better place.

Keep pushing to make your life worthy of living, and I will strive to do the same in my own.  Where our paths intersect, sparks of greatness will fly…

Let’s make it great in the comments section below, on every video, and on our other social media channels. Share your thoughts… ask questions… and suggest improvements.

I thank you!