Whiplash, November 3rd 2023

Rebranding, yes or not?

For many companies, the idea of rebranding, giving the brand a new image to better connect with its audience, is always a tempting idea. However, rebranding is not a magic solution and should not be taken lightly. Rebranding is a complex effort with profound implications for the entire organization.

Refreshing a brand is not a minor task; it is a comprehensive transformation that is reflected in every aspect of the company. It involves cultural changes that affect all the organization’s personnel, as well as modifications in product strategies, supply chains, and customer experiences.

Even what might seem like a cosmetic redesign requires the collaboration of multiple departments, such as marketing, production, legal, customer experience, digital security, and information technology.

The danger of superficial changes

A trend that has gained strength in recent years is superficial rebranding. This effort will undoubtedly create a new, modern and elegant appearance and a more unified design language.

However, such superficial changes do not include internal improvements in terms of organizational culture and the customer experience, as well as changes in products or services that should accompany a rebranding. In the long run, these “makeovers” are not beneficial for the brand, as they often require additional rebranding efforts in a few years.

It’s a cyclical approach to rebranding that can be detrimental to the brand’s health. Frequent repositioning and rebranding suggest a lack of direction and can make both internal teams and external agencies skeptical of an organization’s strategic decisions.

When to embark on rebranding?

Before undertaking a rebranding project, it is essential to assess whether the organization is truly prepared for what it entails. To help determine if the company is ready to do so, two critical considerations need to be taken into account:

• The first consideration is whether there is a consensus that the brand is hindering growth. It is vital that the management team recognizes that the current brand no longer reflects the organization’s vision for the future. If there is a widespread perception that the brand image is misaligned with the desired employee experience, product and innovation strategies, and the organization shows a collective appetite for change, then half the battle has been won.

• If the organization is willing to commit to change, the leadership must ensure that it has the means to carry it out.

An alternative to rebranding

Admitting that the organization is not ready for rebranding is not a sign of weakness; it may indicate that the current brand still has untapped potential.

Some of the most successful brands, such as Durex, Farfetch, Nissan, Twinings, Virgin, and Wimbledon, choose not to reposition frequently. Instead, they focus on extracting the maximum value from their existing assets.

It is important to know that repositioning, redesign, and rebranding are not the only paths to brand improvement. While these concepts are widely known, there is no equivalent term for focusing on one’s brand. Some experts call it “upbranding.”

Focusing on what you already have can be the best option

Resisting the temptation to rebrand can be the best choice in certain cases.

For example, about 15 years ago, Barclaycard faced the dilemma that, while its brand essence was rooted in simplicity, it was more closely associated with credit than payments and lacked the desired simplicity. Instead of immediately rebranding, the organization chose to commit to its current simplicity strategy.

The strategy focused on segmenting customer preferences for simplicity in payments, simplifying the product range, and embracing innovative technologies like NFC smartphones.

This approach did not involve a major brand relaunch or a new design system. Instead, it made the existing brand simpler and more consistent. This case underscores the idea that resisting the temptation to rebrand can lead to significant improvements.