What is Rebranding?
Rebranding is defined as the set of actions that, by changing the name, logo, typography, design, advertising messages or a combination of the above, seeks to change the opinion of customers and investors of an already established brand.
Rebranding is one of the most complicated decisions a company can make, it is very expensive and it cannot always be successful. Renewing your brand, refreshing its image, adapting to new times and the natural evolution of the business, in short, it is about changing what does not work or what works but could work better.
Almost all brands update their image little by little throughout their lives, some with a more pronounced change and another less. The goal is always to change the perception of your brand in front of your audience, seeking a differentiation from your competitors that at the same time is relevant for your audience and above all maintains or increases your credibility as a brand.
A rebranding strategy always brings very high costs with it: decoration changes, uniforms, graphic material, website, social networks, vehicles, corporate stationery, and more.
When should I rebrand my brand?
Rebranding is a pure branding strategy, when a brand is modified the objective is to change its positioning either because the brand has changed or because the positioning they were pursuing has not been achieved.
These are the main reasons why a company decides to follow a rebranding strategy:
Differentiation from Competitors
Your brand may belong to a market where companies hardly differ from each other. In this case, it is a good idea to find a position that helps your company to be perceived as different: because it protects the environment, because it innovates more, because it has a better design ... the value proposition must be based on a difference that matters to your target customer.
Eliminate bad image
When a company has done something wrong for a long time, it is normal that it has a negative image and the value of the brand is devalued. It is recommended that the brand change is given by a change in business strategy, it is useless to change the image if it is not followed by a substantial change in its behavior.
Loss of market share
Faced with a significant loss of market share, brands tend to react by rethinking their branding strategy to reach their audience in a meaningful way and improve their differentiation from their competitors.
Companies that have a good position among their loyal customers but that can’t reach new segments. For example, when a brand expands to other countries and its name either has negative connotations or is associated with other products.
For example a global crisis, bankruptcy or radical changes in the market that make the company rethink an organizational change that is usually accompanied by a new rebranding strategy.
Mistakes to avoid when rebranding
It is not just a makeover. The image must be the reflection of a change in philosophy or a new way of doing things.
Changing the logo for no reason can bring more problems than benefits.
Not taking into account the current positioning in the market: what can make you change your brand to reach a new segment and lose the audience that was already buying from you.
Not taking into account the associated costs: the changes must be integrated into all contact points: Web, uniforms, decoration, and also in the way in which employees communicate with clients, tone, conversation on social networks, etc.
If you are thinking about rebranding your company, make sure you have the necessary resources to complete the process. At Century Digital Marketing we can help your business get a competitive advantage and successfully compete in the market. If you are interested in setting up a meeting with the team let us know!