Why Every industry Needs Thought Leadership
From law to financial services to manufacturing, more and more industries are seeing the power of thought leadership.
Drop the phrase “thought leadership” into any business or workplace conversation and most people invariably think of the management consulting industry. In many ways the association is justified. The largest consulting companies spend millions of dollars each year on what seems an ever increasing flow of reports, white papers, blogs and podcasts, all backed by formidable marketing machines. Market positioning is of course an important factor behind these burgeoning volumes of thought leadership output. But management consultants also need thought leadership: it provides the lens that helps consultants look around the corner for unseen trends, understand the dangers, opportunities and turning points for their clients, and devise new and often counter-intuitive actions in response.
And not only do they need it, it also works. High-quality thought leadership has a clear and measurable impact. A 2024 study by Edelman and LinkedIn, based on a survey of 3,500 business executives across seven countries, found that a staggering 86% of decision makers would be “moderately or very likely to be more receptive to sales or marketing outreach from a company that consistently produces high-quality thought leadership.” The same survey found that 60 percent of decision makers would willingly pay a premium for the services of companies they regard as thought leaders.
One consequence of this impact is that more and more industries are taking up the mantle of thought leadership. Consider, for example, the legal services industry. A recent Passle survey found that 45% of law firm managing partners put thought leadership in their top 3 marketing priorities; a separate survey by the same organization found that 77% of general counsels devote more than eight hours per week using thought leadership to stay up-to-date on key trends. That makes sense—law firms serve clients who need to grapple with the legal and regulatory implications of a slew of emerging issues such as generative AI and automated decision making. Leading global law firm DLA Piper, for example, publishes a biennial Tech Index Report, with the most recent (2024) report shining a spotlight on topics such as AI, cyber-security, data monetization, sustainability and ESG, fintech and the Internet of Things.
The financial services industry is another area of emergent thought leadership activity. Take, for example, Fidelity Workplace, a provider of financial, retirement and health services for corporations and their workers. It publishes an annual Global Sentiment Survey of 26,000 working adults across 23 countries, with the 2023 study coining the term “The Restless Workforce” to describe the balance of competing forces that make employees feel well or restless in their current job.
The growing appetite for thought leadership is not restricted to the professional services sector, however. Manufacturing and engineering firms, for example, are also making significant forays into the realm of thought leadership, spurred in part by the imperatives of climate change and broader sustainability demands. Global manufacturing titan Siemens explores innovative methods of sustainable food production, for example. Finnish company Neste, a global producer of sustainable fuels and renewable solutions for the chemicals industry, offers intriguing perspectives on questions such as “Can AI solve the global waste problem?” and “How to make sports more sustainable.” Design and engineering giant Arup Group publishes thought leadership on energy transition and nature-based solutions to environmental challenges. The centrepiece is its Global Sponge Cities Index, adverting to the importance of “sponginess” (use of the natural environment) in city design.
To be sure, some industries and sectors are still largely devoid of significant thought leadership activities, despite an abundance of promising issues and trends to address. For example, while trends such as population ageing and demographic shifts seem ripe topics for healthcare and life sciences, examples of significant industry thought leadership are scarce on the ground. One exception is global pharmaceuticals company GSK, which has published insights into the role of AI, data and robotics in discovery of new medicines, and on the ways in which smart manufacturing can quicken drug supply chains. Large retailers also do not appear to be especially prominent in thought leadership—surprising given the disruptive effects of new digital technologies and issues such as algorithmic selling—although retail industry analysts are notably active in this space and help to fill the gap.
The broader message, however, is clear: thought leadership is no longer the exclusive province of the management consultancies, but an activity that all industries to varying degrees can and should benefit from.
Yet getting thought leadership initiatives started and then building momentum is far from easy. Starting points are different: management consultancies have years of experience in thought leadership ideation, production and marketing. They have established channels through which to work. To get started, budding industry thought leaders can consider the following actions:
Identify the sweet spot for your ideas: Trying to cover too many topics or fashionable trends is likely to dissipate efforts. Moreover, credibility on the topic is essential. Emergent thought leaders need to play to their home advantage, picking the sweet spots where they can draw on unique expertise and experience. A “plus one” strategy is often particularly effective, coupling unique organizational expertise in a particular business area with a bigger trend of business or public interest—sustainable design in manufacturing, synthetic data use in banking, or demographic shifts in investment services, for example.
Seek partners with the right expertise: Partnerships are vital. Few firms possess the complete repertoire of skills and knowledge to create thought leadership at the highest level. Firms that are successfully building their thought leadership typically work with a passel of external partners, from survey research companies to economic modellers to subject matter experts to teams of writers and editors. Emerging thought leaders can also take a leaf out of the management consultancy book, which often involves working with external think tanks and research institutes to expand convening power and amplify thought leadership externally.
Don’t let insider bias limit your thinking: Organizations often do great research, but then muddy the waters with internal business jargon or sales messages. Compelling thought leadership is akin to a great movie, novel or play—it has got to work for different audiences at different levels. Emerging industry thought leaders need to consider how their key ideas will be understood and received externally—by industry peers, journal and newspaper editors, even family and acquaintances. Are the key ideas explainable and unique? Do they grab people’s attention? Would they work for a CNBC or Today programme interview? Answers to these questions will help your organization decide if it is on the right path from day one.
A new era of industry-led thought leadership beckons. Will your firm seize the advantage now?
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