Every business is faced with the necessity for transformation. One of the techniques for corporate progress is rebranding. It’s a crucial part of a marketing plan that may help a company stay relevant. We’ll explain what rebranding is, what benefits it brings to a company, and when and how it’s worthwhile to alter the style and identity.
What is the definition of rebranding?
This is how businesses attempt to modify people’s perceptions of a brand. All parts of the trademark are updated as a result of this. This includes not just the normal aesthetic features (such as the logo) but also altering the image to reflect the new company plan. The identity, tone of voice, and other aspects of the character may vary.
Audience interest may wane for companies who have been in their area for a long time and have adequate authority. A responsible company’s usual response to market shifts is rebranding. This is a natural process: the world does not stand still, and people’s demands and preferences vary; thus, companies must account for this.
Rebranding may help you accomplish the following goals:
Obtain a competitive advantage. The firm is represented by its brand. It will accentuate present competitive advantages, acquire new clients, and maybe outperform the major rivals with the correct rebranding. You may make more money while keeping your audience’s trust.
Accomplish growth. In a highly competitive market, a good rebranding boosts the company’s power. Customers will grow loyal to your brand if you know how to quickly address the new client’s wants.
Increase your visibility. A company’s progress may be shown via rebranding. If the company is growing, it is important to communicate this via brand renewal.
Customers will believe your firm has reached its peak and is now hopelessly behind the times if you do not improve your brand. Growing client loyalty will let them constantly outperform you in profitability, even if they are technologically and financially behind you. This will stand out against the backdrop of rivals that are rebranding aggressively.
Rebranding isn’t done at random, of course. To begin, undertake market research and determine precisely what adjustments the organization needs. A partial rebranding, such as altering the motto or emblem, is adequate in certain circumstances.
When is it important to rebrand?
What variables impact a company’s rebranding decision? Most of the time, this is because the company’s organisational structure requires reorganisation. Changes in strategy and a repositioning in the market are also possible choices.
A business may want to change its image to grow its market share or boost revenues (especially if its gradual decline is recorded).
Rebranding may be necessary for a variety of reasons, including:
Loss of brand relevance due to “obsolescence”; marketers’ market positioning errors; the emergence of a stronger competitor; expansion or change of the scope of activity; the emergence of new strategic goals and objectives; changes in structure (for example, a company takeover); loss of brand reputation (for various reasons); entry into new markets; desire to involve the audience more.
Rebranding goals and objectives
The fundamental purpose of rebranding is to produce a major improvement in the brand’s and goods’ positioning.
The goal of rebranding is to build a value system as appealing to the target audience as feasible. This is accomplished by establishing perceptional lightness, simplicity, and accessibility. Customers must comprehend what the business is doing, why it must be trusted, and why they must be loyal to the brand. The following steps are completed throughout the rebranding process:
differentiating the brand (raising its originality); improving consumer loyalty (strengthening the brand); attracting more consumers, hence expanding the target population
Rebranding does not imply a complete shift in brand philosophy. While faults and flaws are being ironed out, the focus is on the benefits: you must ensure that they do not stifle the company’s progress. This is what optimization and improvement are all about.
Various kinds of rebranding
Let’s look at the three most common sorts of brand alterations.
Restyling
This is merely a visual makeover. Simply said, the modifications solely influence the brand’s visual aspects. Restyling entails altering the corporate brand, ranging from simple tweaks to complete overhauls, such as a new logo.
Partially redesigned logos are possible (creating a consistent brand name that resembles the previous version and is in line with modern design trends). A brand might also entirely transform its logo by introducing a new symbol.
How can you modify the logo if your budget won’t enable you to hire a design firm? Using the easy Logaster web tool, try to create the symbol yourself. You will obtain a fully new solution for altering your identification in a matter of minutes.
However, it’s important to be objective: the restyling is a component of the rebranding, but it doesn’t entirely reflect it. The alterations show the brand’s significance in corporate branding. However, more measures must be taken to get the full benefits of rebranding.
Rebranding and a shift in positioning
This is the transformation of communication. The firm may stay the same on the inside, but it will be entirely renovated on the outside. As a result, it will conform to market trends and the target audience’s current expectations.
This form of rebranding is entirely focused on the audience’s requirements. It assists in the retention and acquisition of existing customers. Consumers like the change because it shows the organization is becoming more contemporary, including altering how it interacts with customers.
Change of business model + rebranding
We’re talking about significant changes that include a full redesign of the brand’s visual identity, an upgrade to the brand platform, and internal restructuring.
It is feasible to alter the team and refresh its philosophy with such a rebranding. The company expands its client base by altering its management structure and embracing new principles. These are massive alterations that occur before the graphics are altered. Not just the “cover,” but also what is within, has changed.
Stages of rebranding
To put the modifications in place, do the following:
An in-depth examination of the brand. It includes analyzing the current situation, defining target consumer attitudes, evaluating its benefits and drawbacks, and researching the key rivals. You may pick the sort of rebranding based on the results: basic restyling or more significant alterations.
Rebranding strategy development. Develop a plan for future activities after analyzing the study findings. Select rebranding techniques, tools, and alternatives. The components of the brand that need to be modified are identified throughout this procedure. You must also consider emphasizing the identified benefits while addressing the negatives.
Rebranding on the spot. You are making all the planned modifications and putting a new strategy into action.
Audience interaction is important. Customers, both current and future, should be aware of the rebranding. You communicate the substance of the rebranding and new benefits to the audience using current communication methods (website, social networks, media, package information, etc.).
Major rebranding blunders
It’s important to be aware of common business blunders ahead of time to not repeat them. So, here they are:
The procedure of changing your name was incorrect. A shallow approach to rebranding resulting in a reversal (when the brand’s positions fall even more) or the brand being forgotten; adjustments made without regard for the market situation: when rebranding is not based on research and analysis. Most likely, the outcomes will fall short of the audience’s expectations.
Consistency is lacking. The firm modifies, then pauses and restarts the process. Customers get perplexed, fearful, and turn to more “comprehensible” companies; non-constructiveness. Employees with insufficient expertise are tasked with rebranding. The timing of the adjustments has been messed up. There are no objectives, and no jobs are divided into teams. In such circumstances, responsible individuals often overlook assignments and operate inefficiently; unfoundedness. For instance, if the rebranding was the outcome of a senior manager’s “whim.” It isn’t founded on anything; therefore, the audience isn’t aware of the alterations’ goal, substance, or outcomes.
Three fantastic instances of rebranding
Consider the greatest instances of restyling that were carried out in the process of updating well-known brands to avoid diving into the difficulties of structural changes in firms.
MasterCard
Security of credit cards is a major issue for customers. In this day of identity theft, people want to know that their bank cards will not fail them. On the one hand, MasterCard had an internationally recognized emblem and undeniable authority. The introduction of digital payment systems, on the other hand, has drastically altered the market. It was critical to avoid falling behind and losing a competitive edge.
The corporation also altered its logo to go along with the new approach. The color palette is the same as before, but the emphasis on the letters has been removed. As a result, the corporation has stressed its recognizability: buyers can tell what product they’re talking about just by glancing at the logo.
Spotify
A streaming service’s competitive advantages include access to the world’s top music and the opportunity to make your playlists. Each listener may create their playlist from any music, whether it’s for a road trip or a get-together with friends. That is why the bright green color is highlighted in the service’s new logo: it represents the start of the Christmas season. The service has become more contemporary due to the rebranding, and it now competes on an equal footing with iTunes.
From a simple photo-sharing website to a full-fledged platform with configurable filters and cutting-edge solutions for individuals and companies. The new logo incorporates contemporary elements. We notice a sign that looks like a smartphone camera rather than an ancient camera. The logo is more noticeable with bright colors (compared to other social media icons).
Rebranding is a natural component of corporate growth. It’s crucial to hold the audience’s attention and compete with dignity. However, it is important to approach the process cautiously, understanding the audience’s demands and determining the required improvements. Explore, experiment, and remember that your company’s success is dependent on how people respond to the rebranding.
