Why Strategy Is Important When Rebranding
Your brand is integral to the success of your business – it reflects who you are, how you operate, and what your customers can expect from you. In fact, 77% of marketers in the B2B space say they believe branding is crucial for growth (Circle Research, 2022). But what if your brand is not helping you achieve that goal, or worse, having the opposite effect? What happens if your brand, logo, color scheme, or even your company name no longer aligns with what your business has become or what it stands for? It may be time to implement a rebranding strategy.
Revamping your brand can be overwhelming to your staff, confusing to your target audiences, and carry a huge risk. It can also be expensive – rebranding a business costs an average of approximately 10-20% of a company’s marketing budget (HiveMind Studios, 2022). So, when thinking through implementing a successful rebranding process, it is essential to take a strategic approach.
What is a Rebranding Strategy?
A rebranding strategy is sort of a road map to a brand makeover – changing its name, logo, color scheme, visuals, tagline, personality, and/or voice. The purpose of rebranding is to shift how your target audiences – consumers, employees, investors, and partners – view your company. A rebranding campaign can vary from a brand refresh, where you change minor details of your brand, to a partial or full rebrand, where you update most or all of it. Companies often combine each approach, with most companies considering rebranding approximately every seven to 10 years with smaller updates in between to reinvigorate their visual identity (Entrepreneur.com, 2018).
When to Rebrand Your Business
The most integral component of your rebranding strategy is whether you should even be doing it. Here are some things to help you determine if it’s time to rebrand your company:
- Your brand is outdated. If you have been in business for a long time, congratulations! However, the colors you chose because they were popular in the 1980s are probably not working for you anymore. Or maybe the world around you has changed, and your brand needs to modernize with it. An example of a successful rebranding strategy was carried out by health and wellness giant Weight Watchers. When the company first began, it worked to help members manage their weight. But as the conversation shifted from focusing on weight to overall health, the company transitioned along with it and began referring to itself as WW.
- You need to stand out. The strength of your brand relies on your ability to convince customers to choose you over your competition. If it doesn’t, it’s time to prepare your rebranding strategy.
- You are expanding. If you started out offering certain goods or services, but you have since added more, you need a rebranding plan that will reflect it. For example, when Dunkin’ Donuts started expanding its beverage options, especially coffee, they dropped the “donuts” part of their name. Your expansion could include new audience demographics or new markets, and your rebranding strategy must mirror that. A rebrand could also be strategic if you are merging with, or acquiring, a new company.
- Your mission, vision, and/or values have changed. If your existing brand or offerings no longer align with who you are, rebranding is your best option.
- You need to regenerate or repair a reputation. Unfortunately, sometimes a brand faces challenges regarding its reputation and it has to rebrand to address it. When ridesharing company Uber received negative press coverage of its alleged treatment of its drivers, it needed a rebranding marketing strategy to support its softer, more compassionate culture.
When NOT to Rebrand Your Business
Rebranding is not always a good idea. Here are some bad reasons to consider a rebranding strategy.
- You are bored. It can take years, if not decades or longer, to build consumer awareness and trust. Even a small change can undermine that effort. As the saying goes, if it ain’t broke, don’t fix it.
- You have new leadership. When company leadership changes, the infusion of new energy it brings may tempt you to shake things up in a big way. But if those changes occur often enough, the rebranding implementation process may last longer than the new management does.
- Your problems are deeper than your brand. Updating your logo or even your company name cannot overcome every challenge. If systematic problems remain, you will continue to undermine consumer trust.
Evolution is a natural part of operating a business, and failing to do so can have dire consequences. Your branding strategy affects every part of your business, from embodying the core of your organization itself to serving as the backbone for a streamlined marketing and communications plan. At Paradigm, we are marketers and designers, and we know that the design experience shapes the consumer’s opinion of a brand positively or negatively. If you are considering a rebranding strategy, and don’t know where to begin or what questions to ask when rebranding, we can help. We believe in the importance of providing you with brand strategy and design services that help you achieve a cohesive, united brand identity you can be proud of. Please contact us today to get started.