Recognizing the right time for a rebrand — PART I
As leaders work to build and strengthen their organization, it’s inevitable that at some point, they’ll begin to consider rebranding. It’s important to clearly identify the trigger, or core reason why that moment is the right time to rebrand. In this three part series, we’ll explore the three main drivers for rebranding: Structural, Strategic and Functional. Understanding each and the key goals within them can help you determine whether or not this is the right time to pursue a rebrand.
Structural drivers
The Structural Drivers of a rebrand are exactly that: upcoming events that change how an organization is built and outwardly positioned. The two primary examples of this include merger and acquisition and a spinout.
During our tenure of leading organizations through the rebranding process, the most common structural driver has been merger and acquisition. From healthcare to financial services and many other industries, consolidation has become the norm. However, the goals in these projects can be very different. If this is a merger of equals, we seek to bring out the best of both entities to build a single, powerful brand that retains equity from both sides. One example of this is the merger of Continental Airlines and United.
In other instances, our job is to create unity under the “survivor” brand. More often than not, this includes retaining the name and possibly the overall feel of the brand. During this form of strategic rebranding, it’s not uncommon to focus more energy on culture and internal engagement (build the brand from the inside, out).
Lastly, there are some instances that result in an entirely new vision. Through rebranding, we help organizations close the door to the past and plant a new flag for the future. In the example below, by creating a new name it was possible to avoid bringing any “old technology” thinking into the new brand. Over time Verizon has become one of the biggest players in the telecom industry.
Another structural driver for rebranding is the concept of a spinout. In this scenario, a company could be preparing to break off one or more areas of the business to create a new, separate entity. However, it’s also possible that a particular product or division of the business shows incredible opportunity–one worthy of living on its own. In either scenario, leadership’s goals could include finding ways to preserve existing brand equity or they’re rebranding to express a new vision. Strategies around maintaining some elements of the existing brand consider why and how the equity is preserved. It’s imperative to understand how this can impact the rest of the brand’s structure and take time to plan and execute the strategy in a way that will maintain the forward momentum of the existing brand. When an organization pursues a new vision, the challenge becomes developing a strategy that resonates with employees and customers in a way that feels meaningful.
At pivotal moments, rebranding is the most effective way for leaders to signal significant change. Are you at a pivotal moment? Drop us a line, and we'll be in touch.