Rebranding is the process by which
a service or product that was developed in one brand, or company is marketed in
a different brand name or identity. This involves essential changes in the
brands name, logo, image, advertising, and marketing strategies. Generally
after a Merger or Acquisition, companies rebrand their newly acquired products,
to keep them along with their existing product line. The process of rebranding
aims to reposition the brand or the company, or to distinguish itself from the
negative opinions about the previous brands or to climb the success ladder by moving
the brand still upwards.
Brand, Branding, and Re-branding:
Brand: Brand is a symbolic
embodiment of all information related to the product, service, or company. It
is an intangible and emotional bond created by every interaction, even
insignificant ones. It is a feeling that is being evoked when the organization
or 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 following
- 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 the
art of creating and maintaining a brand; successfully. The brand experience of
the target audience can be directed in a positive momentum through appropriate
branding activities. It enfolds the company's commitment to the ultimate
consumers that the product carries quality and posses some features that makes
it unique from that of its competitors'.
Rebranding: This can be
defined as "a process of giving a product or an organization a new image,
in order to make it more attractive and successful" (Collins English
Dictionary). This is done to increase consumer loyalty, improve member
professionalism, enter a new market trend, create a stronger voice in the
industry, increase share holder value or to reenergize a company.
Is Rebranding Necessary?
Contradictory opinions exist regarding the process of rebranding. One is that
rebranding is essential for business success; to evolve the brands so as to
make sure that it keeps abreast of the competition, and meet the consumers ever
changing preferences. The other side of the coin depicts an opinion that
rebranding should be avoided at all costs. If brands like Kodak and Coca Cola
can be market leaders why should rebranding ever be considered? Generally many
companies consider rebranding as a 'Cosmetic Work out'. When companies fail to
establish one brand, or companies whose brand had been through any kind of
scandal, may go for a rebranding process. Here, the intention is to erase the
previous brand image and establish a fresh one. Some others have positive
reasons; like mergers, or a company that is expanding its product line.
Rebranding can be successfully
applied to new products, those that are still in the process of development or
even to mature products. As this is a very complex process, utmost care must be
taken. The new brand should be launched with much empathy and care. This
involves a methodical process of proper strategy, personal interactions and