According to 77% of marketers, a strong brand is the key to the stable development of a company in all areas of activity and a factor in increasing income by almost 25%. And at the same time, an inconsistent, weak brand can hinder business growth and even bring significant losses. You need to deal with the consequences of illiterate branding by radical methods – completely changing the strategy of creating an image. How do you know that your company needs a rebranding right now?
5 signs to rebrand
An obvious sign that you need an image change is that your brand does not stand out from the competition. You will be surprised, but 8 companies out of 10 cannot name their key differences. If you, too, are confused by the question of unique competitive advantages, then here it is – a sign that it s time to think about rebranding.
A good example of an image update is the launch of the Twitch streaming service in a purple palette. So he was able to stand out among Netflix and YouTube, who prefer the red-white-black color scheme. Visual changes are important, and you can see it first hand. Most importantly, do not try to surpass someone in an effort to become more noticeable: if the closest competitor has changed the logo, it does not mean that you need it.
This is interesting: James Edmonson, a designer from Oh No Type Co, on his Twitter page clearly presented the trend of changing fonts in the logos of famous companies.
Reducing the audience
The second sign of the need for competent rebranding is the complexity of interacting with the audience. Perhaps you used to bet on the “wrong” target audience, which is why you could not find contact with her. For example, when attracting the attention of millennials, many brands forget that the consumer habits of today s youth are strikingly different from the values of other generations.
Rebranding aimed at finding points of contact with different categories of consumers will allow you to retain old customers and attract new ones. At the same time, it is important to track the reaction of the target audience to the actions you are taking, and then analyze the results to build an effective strategy.
Brand tracking tools
- Polls. Ask the audience about buying preferences, and you will find out how your brand is perceived by the market, how many people recommend products and services, and whether customers are satisfied with the quality of service.
- Social monitoring. Monitor popular social networks for brand mentions, for example through hashtags. This will allow you to get an independent opinion about your activities.
- Marketing monitoring. Track comments and reviews on the major marketplaces that you sell in order to adjust sales according to customer needs.
- UX analytics. Set up a user testing session to see how they interact with your site or application in real time.
Perhaps the main reason for rebranding for fast-growing companies is the irrelevance of the appearance. However, it is worth separating the concept of “old” and “outdated” logo. If you are the owner of a well-established brand in the market, before you change something, find out the opinion of the audience. For example, the Gap s design redesign was negatively received by consumers who felt a strong bond with the iconic brand.
An example of a successful update of an outdated identity is Mastercard. In 2016, for the first time in 20 years, the designers changed the corporate identity, moving the inscription down, and in 2019 they completely abandoned it. Marketing director Raja Rajamannar said the company spent two years researching to make sure 80% of customers would identify the wordless logo as well.
If there is a merger of enterprises, it is better to change the concept in time. Start a comprehensive rebranding by establishing a common philosophy: mission, vision, purpose and values. This will be the starting point, especially if your business strategy has changed dramatically. So, back in 2017, a Landor M&A study showed that about 75% of companies that acquired assets had re-branded them within 7 years.
An example is the creation of the American telecommunications company Verizon by merging Bell Atlantic and GTE. However, you should be careful here, as you can enter the list of ridiculous rebranding attempts, as happened with the renaming of Yahoo! at Altaba.
“Limitations” of the brand
If there is a need to expand your business outside the city or country, you need to think about building an image that is understandable to a new audience. This is especially important if the brand name is tied to the place of origin, and a bulky logo is poorly adapted for digital platforms. Then you will have to deal with the full elimination of “restrictions” and modernization of the corporate identity. Comprehensive rebranding involves a deep study of the new (foreign) target audience, which you plan to focus on.
Target audience research methods
- Personal interviews / polls. The results of face-to-face communication at points of sale will help to study consumer behavior, their attitude to goods, brands, and predict purchasing behavior in relation to your products.
- Focus groups. In the process of conducting group interviews with participants who have common characteristics (gender, age, interests), you will collect valuable information about the behavior of customers in a narrow circle.
- Hall tests. Hall-test belongs to the category of mix-methods. In the course of such a marketing research, a product is tested by a large group of potential customers in a special room, after which a written (questionnaire) or oral survey is conducted.
- Ethnography. The technique involves observing the behavior of the target audience in everyday life (at home, in a store, in an office). The study can be open – in a personal meeting with the respondent or hidden – by observing customers in the store and recording their actions. It is convenient to analyze the opinion of the audience through blogs and forums.
Competent rebranding is the first step towards success. Having built the right strategy, you will solve several problems at once: breathe life into an outdated brand, interest the audience with fresh ideas, expand your business by bringing it to the international market. But for this you need powerful feedback from your audience, so remember to be in touch 24/7.