Rebranding can either be 'Evolutionary' or 'Revolutionary...
...but regardless of the process, the intention for rebranding is always the same: To differentiate the business or service in the minds of their target market.'
Rebranding can also be one of the most rewarding and transformational undertakings an established business can make. However it's not something that should be taken lightly. Rebranding a business needs to be done for the right reasons:
Rebranding Reason 1 - The business has 'comes of age'
In the life cycle of a business - the organisation can often begin, and experience growth, without necessarily having a professionally designed brand. However there comes a time when the stature of the business 'comes of age' and cries out for clothing that better reflects what it has become. The transition from shorts to long pants becomes an obvious necessity and Rebranding becomes the crucial step for continued businesses growth.
Rebranding Reason 2 - Fundamental Change
Businesses change. Sometimes this change alters fundemental apsects of the business and the message the brand is communicating
is no longer in line with the businesses culture, product or service. Or perhaps a core philosophy or innovation changes
the businesses thinking and core values. For example: BP rebranded to reflect a new "green" focus. Beyond petroleum became a rallying cry for BP’s new vision and strategy and a transformed Helios identity symbolising the sun’s energy,
captured BP’s aspirations
and staked its claim as a leading provider of energy solutions. Source: Landor
Rebranding Reason 3 - Competitor Differentiation
Many organisations operate in very competitive and conjested markets. A red sea, where the majority of businesses sit in an undifferentiated, stagnant pool of Mid-Tier businesses that struggle to demonstrate a service or product advantage. For example: The Financial Services industry. In this instance the best strategy would be "choosing what not to do".
Rebranding Reason 4 - To Remain Relevant or shed an unwanted reputation
This is particularly appropriate to retail, but can apply to any business. For instance, when a business concentrates its efforts too narrowly on a single segment, it risks aging itself out of the market. In the same way, businesses that extend beyond their capabilities can lose their personality and brand differentiation. Rebranding can reinvigorate a brand and haul it back on track, with a revitalised public persona (that needs to be an accurate reflection of the REAL change within).
Rebranding Reason 5 - Relaunch a Product or Brand
Again this is often associated with remaining relevant to a particular consumer group.
Rebranding Reason 6 - Product Differentiation
Rebranding can also be used as a way of retaining an original product brand while introducing a competing product in a different market segment or price point. Another form of product rebranding is when a business sells a product manufactured by another company.
Rebranding Reason 7 - Rationalisation
As a business grows it develops or acquires various products and services, some of which develop into company brands. Often this organic brand growth can result in a complex and confused brand clutter not to mention a fragmented and expensive trail of advertising and media proliferation.
Rationalisation and consolidation through Rebranding has the power to transform this cluttered brand mish mash into an effective marketing tool and achieve renewed brand impact and strong growth.