Why companies need to rebrand

In one of the previous posts on the LLC «Tradittex Solution» blog, we looked at the concept of 'brand' and its main attributes. Today we are going to talk about rebranding: what it is and why companies need it.

Stages of rebranding
Rebranding is a set of actions to change a company's brand. Rebranding can be major, completely changing the company and its products, or partial, changing individual elements of the brand such as slogan, logo, positioning, identity, etc.

The most important thing to understand and remember is that rebranding is not a tribute to fashion, but an urgent need for change within the company as well as in its communication with the target audience.

Rebranding consists of several stages

1. Marketing audit - this is a study of each element of the brand and an analysis of its strengths and weaknesses.
2. Repositioning - the search for successful ways to change the brand while preserving and multiplying its advantages.
3. Corporate style restyling is changing the aesthetics of the brand attributes.
4. informing the public about the changes made during the rebranding process.

Moving to a new price point. For example, the Finnish cosmetics company Lumene had long lost sight of its consumers and target audience. The brand was getting lost in the crowd of competitors. Then the company decided to make an evolutionary change: it updated its product range and moved from the 'mass market' to the 'masstige' category. The rebrand dramatically changed Lumene's image, emphasising the brand's Finnish origins and differentiating it from all its competitors.

Transition to a new consumer. By refocusing on a new consumer, you can find and target an empty niche. Take the Marlboro brand as an example. This cigarette brand was originally aimed at progressive women, but failed to capture the market. The only way out was to change the target audience. As a result, the Marlboro brand began to produce cigarettes aimed at people who knew about the dangers of smoking but continued to smoke. To do this, the company created the image of a brutal cowboy.

Strengthen corporate spirit. A successful rebrand can attract not only customers but also new employees. It can bring fresh topics of discussion, reinforce a sense of leverage and give employees hope for the future. The team will feel a renewed sense of purpose and morale will be boosted. This is exactly what Halifax did. The bright corporate slogan 'Employees are like stars' significantly increased the company's human resource potential and ultimately made this bank a prominent player in the UK market.

Eliminate negativity. One of the functions of rebranding is to eliminate negative associations and any other negative background. For example, the brand of the English Premier League (England's top football league) was often the subject of negative feedback from its sponsors and investors. A new logo was developed to meet modern design standards and to be adaptable to different audiences.