Rebranding in the company: When is the right time for change?
To remain competitive and relevant, brands must continuously adapt or even reinvent themselves. But how do you decide when the right moment for rebranding has come? In his guest article, Dominik Sedlmeier covers the most important points that should be reflected upon.
In the modern business world, every day looks different. Companies are continuously encountering new challenges and growing competition. With constant change comes increased competitive pressure. To remain competitive and relevant in this environment, brands must constantly adapt.
Often it requires a huge change where they have to reinvent themselves. This process is also called rebranding. In this process, a brand undergoes a comprehensive transformation and develops a fresh brand identity. But how do you decide when the time is right for rebranding? And what are the benefits? How do you plan carefully, and what are the potential risks and challenges?
What is rebranding?
Every brand needs a unique identity to stand out from others. This is defined by corporate identity, which includes design elements such as logos, slogans, web design, colors and fonts.
Companies are faced with the task of adapting to the constantly changing market. As new technologies and products are introduced, customers' requirements also change. This consequently requires changes in brand strategy.
Rebranding often starts with the adaptation of the corporate design. In this way, brands can improve their positioning and address new potential prospects in order to expand their target group. This often involves changes to colors, fonts and logos that create brand recognition.
Yet rebranding is an extremely complex process that can take a brand in a new direction and requires careful planning. It's not just about design changes - both the overall brand image and the message the brand wants to convey are redesigned.
Many brands use rebranding to overcome crises or to signal to their customers that they want to improve. Thus, the timing for rebranding depends on various factors and requires careful consideration of opportunities and risks.
Opportunities and risks of a new brand identity
In principle, a rebranding can help to significantly strengthen the trust of the clientele. A significant change in brand identity often signals a positive change.
Many companies start the rebranding process with the goal of differentiating themselves from the competition. An updated corporate identity can help the brand appear more modern, appealing and contemporary.
One of the many opportunities of rebranding is the fact that new target groups can be addressed. For example, a new image can attract younger consumers and thus reach a broader demographic. With respect to existing target groups, a new corporate identity can make the brand appear more credible and professional. In addition, a creative and eye-catching brand identity can lead consumers to perceive the brand as innovative and competitive and develop a stronger bond. Finally, rebranding can also increase market value and attract the interest of investors and other key stakeholders.
Despite the many benefits of rebranding, there are also some risks and dangers that must be considered. For example, the biggest risk is confusing and even losing loyal customers if the rebranding is not well thought out. Especially for established, well-known brands, rebranding can cause confusion and anger among customers. In the worst case, the brand's reputation can be damaged.
There are also some financial implications involved in rebranding. The entire rebranding process involves significant costs - including domain name changes and other expenses. Therefore, it is important to plan the rebranding process carefully and strategically.
Successful rebranding in just a few steps
Effective rebranding requires careful planning and execution to avoid potential mistakes. For example, the rebranding of X, formerly known as Twitter, did not bring the expected success: the new logo and name confused millions of users. Also, the old trademark "Larry the Bird" can be seen in some places on the platform, and the new X logo hasn't quite caught on yet.
The first step should be to set clear goals. Do you want to create a new image, address a new target group or improve the credibility of the brand? Accordingly, the goals should be clearly defined before starting the rebranding process.
In addition, the analysis of the current identity is extremely important. Here, the strengths, weaknesses and potential problem areas of the brand should be identified. By conducting comprehensive market research, it is possible to analyze how the brand is perceived from the outside and what the needs of the target group are.
In the third step, the new design is developed. Here, the corporate design is modernized to stand out from the competition. Every aspect - including colors, fonts, logos, images and more - is considered.
The new identity is then implemented. Here it is important to consistently implement the newly developed corporate identity. For example, the website, social media profiles and other marketing material should be updated accordingly. It is also important that the company's own target group perceives and understands the rebranding. For this, correct and transparent communication is essential for the company.
Ultimately, rebranding should be continuously monitored and adjusted, because a rebranding process is never truly complete. It is important to monitor the effects closely in order to make adjustments if necessary and ensure long-term success.
Conclusion: Great opportunities with rebranding
Rebranding involves a redesign of the brand. A successful rebranding process enables a brand to reposition itself in the market and stand out more clearly. The focus is always on the needs and desires of the target group. It is also a way to appeal to a broader audience. The right time for rebranding is when the existing brand identity no longer meets the intended goals and a new corporate identity offers more potential. It is important that the individual steps are implemented clearly and consistently and monitored continuously. This is the only way to achieve long-lasting success with rebranding.
* Dominik Sedlmeier is CEO of the agency El Clasico Media and expert in the fields of communication, marketing and public relations.
In guest articles on Werbewoche.ch, the authors themselves are responsible for their content and accuracy. The opinions expressed reflect their views.
