Rebranding is the process by whicha service or product that was developed in one brand, or company is marketed ina different brand name or identity. This involves essential changes in thebrands name, logo, image, advertising, and marketing strategies. Generallyafter a Merger or Acquisition, companies rebrand their newly acquired products,to keep them along with their existing product line. The process of rebrandingaims to reposition the brand or the company, or to distinguish itself from thenegative opinions about the previous brands or to climb the success ladder by movingthe brand still upwards.

 

Brand, Branding, and Re-branding:

 

Brand: Brand is a symbolicembodiment of all information related to the product, service, or company. Itis an intangible and emotional bond created by every interaction, eveninsignificant ones. It is a feeling that is being evoked when the organizationor the products name is heard. A brand has a unique name, identity, character,and personality; just like a human being. A good brand possesses the followingcharacters:

  • Deliver messages in an appropriate way.
  • Confirm credibility.
  • Get connected with the prospects, and sustain relationship with the existing members.
  • Attract potential business opportunities.

 

Branding: Branding is theart of creating and maintaining a brand; successfully. The brand experience ofthe target audience can be directed in a positive momentum through appropriatebranding activities. It enfolds the company's commitment to the ultimateconsumers that the product carries quality and posses some features that makesit unique from that of its competitors'.

 

Rebranding: This can bedefined as "a process of giving a product or an organization a new image,in order to make it more attractive and successful" (Collins EnglishDictionary). This is done to increase consumer loyalty, improve memberprofessionalism, enter a new market trend, create a stronger voice in theindustry, increase share holder value or to reenergize a company.

 

Is Rebranding Necessary?


Contradictory opinions exist regarding the process of rebranding. One is thatrebranding is essential for business success; to evolve the brands so as tomake sure that it keeps abreast of the competition, and meet the consumers everchanging preferences. The other side of the coin depicts an opinion thatrebranding should be avoided at all costs. If brands like Kodak and Coca Colacan be market leaders why should rebranding ever be considered? Generally manycompanies consider rebranding as a 'Cosmetic Work out'. When companies fail toestablish one brand, or companies whose brand had been through any kind ofscandal, may go for a rebranding process. Here, the intention is to erase theprevious brand image and establish a fresh one. Some others have positivereasons; like mergers, or a company that is expanding its product line.

 

Rebranding can be successfullyapplied to new products, those that are still in the process of development oreven to mature products. As this is a very complex process, utmost care must betaken. The new brand should be launched with much empathy and care. Thisinvolves a methodical process of proper strategy, personal interactions andmemorable visuals.

 

 

 

 

 

Dos and Don'ts:

 

A successful rebranding process must take care of the following:

  • Intensive Strategy: The Company must be ready to spend a significant amount of money in advertising, communications, and promotion. This will enable the brand to get re-staged.

  • Gradual Restage: This can be done with a limited overall marketing investment. This requires a low budget, but a considerable amount of time, and should be done on a continuous basis.

 

On the other hand, the company must be cautious not to commit the following errors while executing rebranding:

  • Non-looking through the customer's perspective: The needs and mindset of the consumers should be properly evaluated before any changes are implemented. Rebranding strategy of the company should be understood and accepted by the consumers.

  • Lack of credibility and facelift: The reason for rebranding should be believable and acceptable by the consumers. It must have a credibility; internally. If the employees of the company do not believe, the ultimate consumers would not have faith in the product either.

  • Inadequate branding process: A brand only becomes successful when supported with adequate branding. To streamline business operations, and expand demographic focuses, branding is necessary.

  • Intimidated by consultants: Notwithstanding consultants being hired for rebranding, it is the owner who knows more about the brand than anyone else. The internal point person should be checked for his skills, time and resources.

  • Rebranding without research: Every brand needs refreshing to stay alive in the market. They need to be positioned and enhanced. But adopting a change without doing proper research may prove to be disastrous.

 

Innovating positioning of brands creates a huge market opportunity for the players and enables them to capture the market. With proper brand image, supported by the USPs clearly defined, businessmen can stand apart in the competitive clutter.

 

References:

  1. "Learning Rebranding from Experience of 2007", Pooja Bahl, Priya Sabhlok, & Jayashree Badal, http://www.iitk.ac.in/
  2. http://www.marketingprofs.com
  3. http://en.wikipedia.org
  4. http://blog.nasscom.in