If you had mentioned CEO thought leadership to a board room 20 years ago, it’s likely you’d be greeted with looks of confusion.
Any ideas that weren’t guaranteed to make money were often quickly forgotten about.
However, as businesses have evolved from one-dimensional entities, the rise of mass media and increased pressures from stakeholders has led companies to become far more nuanced.
CEO thought leadership has become essential.
But while CEO thought leadership can help companies keep their stakeholders happy and avoid potential crises, it also brings numerous other advantages.
To dive into the specifics, here are five ways thought leadership can help your business.
Injecting personality
Thought leadership involves a CEO using their voice to give their business a face and identity.
By sharing insights in the media and across social media the CEO can help differentiate their company from its competitors and directly connect with their audiences.
Unlike salesy marketing materials audiences are often hounded with, thought leadership gives audiences something they can learn and respond to. This is usually a breath of fresh air and encourages readers to re-engage with CEOs regularly.
If the issues the CEO speaks about are grounded, personal, relatable, and well-supported, their following will grow substantially overtime, boosting their credibility and supporting their personal ambitions. Meanwhile, their company benefits by attracting new customers, partners, and talent.
Accelerating growth
By becoming a thought leader, CEOs can also instil a culture of innovation.
Employees are more encouraged to be entrepreneurially minded and self-reflective like their leaders, helping to improve productivity and retention.
As CEOs and their team become increasingly active in the media and on social media, they can instantly react to any feedback or trends they spot online to continually improve their business.
This proactivity can make a difference for the largest of corporations to the smallest of start-ups, helping to accelerate growth.
Leading media narratives
CEO insights are always in high demand. Publications want credible voices who can comment on prominent industry issues, provide tangible advice and attract a large readership.
Because of this, when a CEO contributes to a publication in the form of an interview or a written article, they have a huge opportunity to lead the media narrative.
This means that they control the flow information, thereby influencing public perception, decision-making, and social or political outcomes.
It can be ideal when a CEO is attempting to frame a story in a certain way that aligns with their companies’ objectives or take leadership in the event of a crisis, such as a financial crash or a supply chain bottleneck.
Moreover, by regularly engaging with the media, CEOs can build and maintain a strong relationship with journalists to ensure sustained influence over time.
Influence change
Since CEOs can spotlight certain issues better than anyone, they can have a major influence on enacting change in the world.
From raising awareness of equal rights to various sustainability issues, they can help introduce better policies and encourage others to act more responsibly or make donations to charities.
Helping influence change in this way can benefit the CEO’s profile and highlight their commitment to CSR.
This, in turn, can lead to increased trust, brand loyalty, and long-term success for both the CEO and their company while helping them avoid regulatory bodies and pressure groups.
Supporting an IPO or sale
It’s highly likely that, at some point, a CEO will be faced with the challenge of overseeing an IPO or a sale.
During this critical time, they will have numerous responsibilities, including attracting the right buyers or partners.
While this is no easy feat, if they have a well-established profile thanks to various thought leadership campaigns, they can build investor confidence much easier.
This is because a well-known and respected CEO can use their reputation to create excitement and generate interest in the market. Research shows that their business can even command a valuation premium.
Moreover, being an accustomed thought leader can enable a CEO to communicate their transition to a new company or venture more seamlessly and build excitement for whatever they do next.
Despite this being a long-term benefit of thought leadership, it’s by far the most valuable.
