There are times when your business has to travel a journey of rebranding. There could be many reasons for rebranding, or you may not realize that you need to rebrand. So, to understand why your Business needs rebranding, it is important to understand rebrand first.
What is Rebranding?
Rebranding is the process of creating a fresh look and feel for an already established business. It is a market strategy with the goal of influencing a customer’s perception of a business and its offering by re-energizing the brand.
It has two types, namely proactive and reactive rebranding –
- Proactive rebranding – Business should consider this when there is an opportunity to grow or to reach new markets and customers. It also helps to reconnect with existing customers.
- Reactive rebranding – A business should consider this when an existing brand must overcome some challenges. Such challenges could be negative publicity, legal issues, or mergers & acquisition.
Why do businesses need rebranding?
Listed below are some reasons:
- Globalization – You should consider rebranding when your company has to focus on new aspects and to grow in the international market.
- Increased Competition – Rebranding is done to create a different identity for a brand from its competitors.
- Too Identical – This means, when two different companies have almost identical logo or brand name. It may lead your company to a lawsuit or make your company look unprofessional.
- Digital Transformation – If your existing brand name or product is not yet ready to follow up the world of internet, you may want to consider rebranding.
- Outdated brand image – You should consider rebranding if your existing logo or brand name is not able to represent the new products and services you offer or there is a lack of message consistency.
- Bad reputation – Negative publicity or false accusations can lead to bad reputation for your brand. Rebranding can refresh your business and change the customers’ perception of your brand.
- Merges and demergers – Rebranding is done when a company merges with other companies or vice versa to make the new transformation visible.
- Change in leadership – Change in leadership can bring a new meaning to already existing business and rebranding it can push it away from breakdowns.
Below are some famous historical examples:
Apple – When Steve Jobs re-joined Apple in 1997, he changed the company’s name from Apple Computer to Apple. So, the company would not be confined only to selling Macintosh computers and would reach a larger section of the market by introducing new products.
LEGO – The comeback of the legendary toy company from being nearly bankrupt to a $6 billion empire is one of the most talked about historical events. By the 2000s, the company was short on money and in huge crippling debt. Even they have lost interest of their primary customers. But, by 2003 the company reclaimed its status by adding movies, video games and LEGOLAND themed parks to the franchise. LEGO broadened its brand to new parts, attracting more customers.
Dunkin Donuts– Dunkin Donuts rebranded to Dunkin, so the company would not get associated with only donuts and could modernize the experience for existing customers as well as new customers, while staying true to its legacy.
Here are some recommendations to keep in mind while choosing to rebrand –
- Purpose of rebrand – You should be clear why you are choosing rebranding for your business.
- Customer’s feedback – Customer feedback is very essential for your business before rebranding it. Find out what your customers like, think, and want from your company through surveys either online or in person.
- Employee Feedback – Gather feedback from your employees and ask them to contribute their ideas to rebrand your business. This will help you to improve your business rebranding process.
- New brand promotion – Advertising your new brand through different platforms is essential to make your brand known to the public. Also notifying your current customers will help them to feel more connected to your brand and will keep a positive relation.
- Stay Consistent – You should always keep in mind that brand consistency is very essential. Rebranding means changing most of the aspects of a business. But you should always try to preserve the values of your business, so that the existing customers should always feel connected.
Curious how rebranding could help your business? Reach out to us or any other specialist in the arena that you know. email@example.com is where you can drop a mail.