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Leadership

You cannot market your way out of a bad culture

A version of this brief lands on my desk several times a year. The wording changes, the industry changes, the budget changes. Underneath it is always the same sentence: we have a perception problem.

Sometimes that is true. Sometimes a genuinely good company is genuinely bad at explaining itself, and that is a real problem with a real solution, and it is the work I love most.

And sometimes I spend two weeks inside the business and find out they do not have a perception problem at all. They have a behavior problem, and the market is perceiving it accurately.

Those engagements are the hardest conversation I have, because the client has already approved a budget to solve the wrong thing, and I am about to tell them that the most expensive brand campaign in the world will not survive contact with their own employees.

Two contrasting halves of a bold interior space
The gap between the promise and the practice is where brands go to die.

Two definitions, and then everything follows

I want to be precise, because these two words get used interchangeably by people who should know better.

A brand is a promise. Not a logo, not a palette, not a tagline. Those are how the promise gets carried. The promise itself is what a person expects to happen when they deal with you.

Culture is whether that promise gets kept when keeping it is inconvenient.

That is the whole relationship. Marketing writes the promise. Culture determines whether it is true. And when the two disagree, the culture wins in public, every single time, because the culture is what actually shows up when a customer calls at 4:55 on a Friday.

Marketing writes the promise. Culture decides whether it was a lie.

It starts at the top, and there is no version where it does not

People want culture to be a horizontal thing. Something the team builds together, that HR stewards, that emerges organically from good people doing good work.

I have been in enough organizations to tell you it does not work that way. Culture is set at the top and it is set by behavior, not intention. Not the values on the wall. Not the all-hands. What leadership actually does, repeatedly, in the moments where doing the right thing costs something.

Every person in your company is running a quiet experiment. They are watching what happens to the person who raises an unpopular concern. What happens to the manager who hits the number by burning out a team. Whether the executive who is brilliant and cruel keeps getting protected. They run these experiments constantly, they compare notes, and within about a quarter they have arrived at an accurate model of what this company actually rewards.

That model is your culture. It has almost nothing to do with what you told them it would be.

The transmission chain

Brand is the last link, not the first

This is the whole argument in one diagram. Every branding problem that will not respond to branding is sitting one or two steps upstream of where you are treating it.

%s What leadership actually does, repeatedly, when it is inconvenient
Becomes the culture

Not the values on the wall. The behavior people watch get rewarded, tolerated, or punished.

Weeks
Becomes the decisions

What ships, what gets escalated, who gets hired, which corner gets cut at 6pm on a Friday.

Months
Becomes the brand

What a stranger concludes about you after enough of those decisions reach them.

Years
You can change the third box directly. It will revert, because the first two keep refilling it.

Values on the wall, values in the room

I have watched a company with "radical candor" painted in eight inch letters in the lobby run a meeting where nobody said a true thing for fifty minutes.

Not because the people were dishonest. Because eleven months earlier somebody had said a true thing in that room and it had gone badly for her, and everyone present had watched it happen and drawn the correct conclusion.

That is how it works. One incident, witnessed, outweighs three years of messaging. People are extremely good at reading power, and they update on evidence rather than language.

The gap people actually read

Nobody believes the poster

Culture is not what you publish. It is the difference between what you publish and what your team watches you permit.

What the deck says
  • "We put people first."
  • "We value candor."
  • "We move fast and take smart risks."
  • "We are obsessed with the customer."
  • "We hold each other accountable."
What the room learns
  • The top performer who screams at people has been here nine years.
  • The last person who disagreed in a meeting is not in this meeting.
  • The one project that failed is still being brought up eighteen months later.
  • Support flagged this in March. Nobody replied to the thread.
  • Accountability appears to run downward only.
Employees calibrate on evidence, not language. So do customers, eventually, because the same people serve them.

Here is the part that should worry you commercially. The same people running that calculation are the people writing your product copy, answering your support tickets, standing behind your counter, and deciding whether to flag the defect they noticed. A team that has learned not to raise problems internally does not suddenly become forthcoming when the problem is customer facing.

Your customers do not see your culture directly. They see its output, distributed across a thousand interactions, and they form an impression that is uncannily accurate.

How to tell which problem you actually have

Before you hire anybody to fix your brand, including me, run this diagnostic. It takes an afternoon.

Diagnosis

Five tells that it is culture, not messaging

Before you brief anyone to fix your brand, run this. It costs nothing and it will save some of you a six figure engagement that was never going to work.

  1. Marketing keeps fixing the same thing
    The message gets rewritten every eighteen months and lands the same way every time. If three consecutive campaigns have not moved perception, the campaigns are not the variable.
  2. The reviews and the deck disagree
    Read your own employee reviews next to your own brand guidelines. If the adjectives do not overlap, your customers are eventually going to meet the version in the reviews, because that version answers the phone.
  3. Your best people leave politely
    Not dramatically. They give notice, say kind things, and go. Exit interviews return nothing useful because nobody torches a reference. Watch where they land instead. That tells you what they left for.
  4. Nobody can name a decision that got reversed
    Ask your team when leadership last changed its mind because someone junior pushed back. If nobody can think of an instance, you do not have candor. You have compliance that is polite.
  5. Service quality varies by who is working
    A brand promise that depends on which employee a customer happens to get is not a promise. It is a lottery, and the people running it have not been given a reason to care.
Three or more of these and the brand work should wait. Fix the upstream problem or you will pay twice, once for the rebrand and once for the rebrand after it.

If you got three or more, I would genuinely rather you postponed the brand work. Not because I do not want the engagement. Because I have watched what happens when you skip this step, and what happens is that we build something beautiful and true, and then it meets the organization, and within a year it has been quietly eroded back to whatever the culture was going to produce anyway. Then everyone concludes that branding does not work.

The cost, in numbers you can take to a board

I am aware that "invest in your culture" sounds like something you get told at a conference by a person in a headset. So let me put a price on it.

The part with a dollar sign

Culture is a line item you are already paying

You will not find it in the budget, because it is distributed across recruiting, onboarding, lost productivity, and the deals your best people did not close while they were interviewing elsewhere.

86%Of job seekers research reviews before applying
50 to 200%Of salary to replace one person, per SHRM
64%Less likely to apply after poor reviews
Sources: Glassdoor employer branding research; SHRM replacement cost estimates. Ranges are wide because seniority drives them, and senior replacements sit at the top of the range.

Eighty-six percent of job seekers read reviews before they apply, and roughly two thirds are less likely to apply after seeing poor ones. Your employer brand is not a recruiting asset you build. It is a verdict your former employees have already published, and it is sitting one search away from every candidate you want.

Then there is replacement. SHRM puts the cost of replacing an employee at somewhere between 50 and 200 percent of their salary once you count recruiting, onboarding, lost productivity, and the ramp to full performance. Senior roles sit at the top of that range. So a culture that quietly loses you four good managers a year is not a soft problem. It is a number, and it is a large one, and nobody has written it down anywhere because it never arrives as a single invoice.

And that is before the part that does not get measured at all: the deals your best people did not close during the two months they were interviewing elsewhere, and the institutional knowledge that walked out with a polite handshake.

What good actually looks like

Good culture is not perks. It is not a ping pong table, an unlimited PTO policy that nobody dares use, or a values workshop. Those are decorations on whatever is already there.

Good culture, in my experience, is much less fun to describe and much more effective. It is a small number of unglamorous operating habits, held consistently, especially when they are expensive.

What actually transmits

In order of how loudly it speaks

If you want to change the culture, you work this list from the top. Most companies start at the bottom because the bottom is the only item you can finish in a single offsite.

  1. What you tolerateThe single strongest signal you send. Every exception you make becomes the actual policy.
  2. Who you promoteA promotion is a published statement about what this company rewards. People read it correctly every time.
  3. How you behave under pressureCulture is not what you do on a good quarter. It is what survives a bad one.
  4. Whether you can be told noIf disagreement is expensive, you will stop hearing about problems while they are still small.
  5. What you do when it costs youKeeping the promise when keeping it is free proves nothing. The brand is built in the expensive version.
  6. The words on the wallLast, and a distant last. Necessary as a reference, worthless as a substitute.
The faded item is where most culture initiatives begin and end.

Notice that almost every item is about consistency under cost. Anyone can keep a promise on a good quarter. Culture is what you do the first time keeping it means missing a number, and everyone in the building is watching to find out which one you actually meant.

If you are a founder reading this with eleven employees

You are setting it right now, and it is much easier to set than to change.

At eleven people your culture is simply your personal behavior, multiplied. Whatever you do under stress is what your company will do under stress in five years, when there are two hundred of you and you no longer recognize where it came from. If you are dismissive when you are tired, your managers will be dismissive when they are tired. If you avoid the hard conversation, your entire org will route around hard conversations with great sophistication.

The good news is that at this size the fix is also small. One reversal, done publicly, where you change your mind because someone junior was right, is worth more than any document you will ever write. People will still be telling that story when you are four hundred people, and they will be telling it as an explanation of what kind of place this is.

Your first hundred hires learn the culture from about six things you did while you were stressed.

So where does branding actually fit

I do not want to argue myself out of a job here, so let me be clear about what brand work genuinely does.

A brand takes something that is already true about a company and makes it legible, distinctive, and impossible to confuse with anyone else. That is enormously valuable and most companies are terrible at it. Plenty of excellent businesses are invisible purely because nobody has ever articulated what they are, and fixing that changes their commercial life.

What brand work cannot do is manufacture the truth in the first place. If the promise is not being kept inside the building, my job stops being brand strategy and becomes something closer to fiction, and fiction has a very short shelf life in a market where any customer can publish their experience in ten seconds.

So when a founder tells me they have a perception problem, the first question I ask is not about their audience or their competitors. It is this: when your promise is expensive to keep, do you keep it?

Answer that honestly and you will know whether you need a brand agency or a mirror. Sometimes it really is the branding, and then we get to do the fun part. But get it backwards, and you will spend a lot of money making a very beautiful, very professional, very expensive claim that your own employees know is not true.

They will know first. Your customers will know second. And by the time it shows up in the numbers, it will have been true for two years.

Fix it upstream. The rest gets easy.
Brea

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Brea Ballard

Founder and resident Iconist at House of Icon. Twenty-five years creating, building, launching, marketing, and growing brands. Still loud, still allergic to beige.

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