Entrepreneur
Studies have shown that a strong brand can significantly impact a company’s bottom line. Lucidpress found that brand consistency can increase revenue by 10-20%, while Millward Brown discovered that strong brands have three times the sales volume of weak brands.
By recognizing the signs that your brand needs a makeover, you can revitalize your business and achieve long-term growth. In this article, I will explore key indicators that suggest it’s time for a rebrand and discuss the benefits of a well-executed rebranding strategy.
1. A new product line was launched or the product itself has changed
One common trigger for a rebrand is a shift in a company’s product offerings. Whether it’s a new product line or a substantial upgrade to an existing one, a rebrand can align the brand identity with these changes.
For example, if a product has been reformulated to target a new demographic, a fresh brand image can help to attract this new audience. Often, a brand refresh becomes necessary when entering new geographical markets with their unique cultural, ethnic or religious characteristics. Plus, if a product has grown into a product range or become part of a broader ecosystem, a rebrand can emphasize this unity and showcase the enhanced value proposition.
One of the most high-profile rebrands in recent years was Facebook’s rebranding to Meta. This decision reflected the company’s ambitious shift from a social media platform to a metaverse company. By adopting the new name, Meta signaled its intention to venture beyond traditional social media and embrace emerging technologies like virtual and augmented reality.
Related: How Do You Know If You Should Rebrand? Here’s Some Advice
2. The brand identity no longer reflects the company
There are two primary paths for rebranding: revolutionary and evolutionary. The evolutionary approach involves making gradual changes, preserving recognizable elements and signaling continuity — much like Pepsi did in 2023 when they updated their logo to ‘connect future generations with the brand’s heritage, combining history with modern elements.’ Flowwow has opted for this evolutionary path.
Flowwow’s recent rebrand marks a significant milestone in our journey. We’ve chosen an evolutionary approach, preserving our core identity while embracing innovation. This aligns with our commitment to providing a seamless and joyful gifting experience.
Over the past few years, we’ve expanded our offerings beyond flowers to include a wide range of products, from pastries to home decor. Our rebrand reflects this growth. By prioritizing user experience and leveraging technology, we aim to create meaningful moments for our customers. Our rebranding efforts are centered around this core mission, ensuring that Flowwow remains a trusted partner in celebrating life’s special occasions.
Related: Thinking of Rebranding? This Step-by-Step Guide Will Help Make the Process Smooth and Successful.
3. Implementation of new technologies
The integration of new technologies often acts as a catalyst for rebranding. As businesses incorporate new technologies into their operations, their brand identities often need to evolve to reflect these changes. While technological advancements can prompt a rebrand, a combination of factors often necessitates such a move.
These include the brand’s perceived relevance among consumers, its growth plans and the competitive landscape. Increasingly, businesses are seeking to reflect their technological prowess in their branding, as consumers associate technology with innovation and quality.
A prime example is Photoshop, which has undergone a series of rebrands to keep pace with the rapid evolution of AI-driven image editing tools. Similarly, the rise of digital platforms has compelled many traditional brands to update their visual identities. Volkswagen, for instance, has introduced a new logo and visual identity to align with its digital-first mobility strategy. Other automotive giants like BMW, Nissan, Peugeot and Kia have followed suit. It’s important to remember that rebranding isn’t solely about a new logo. It’s a comprehensive process that involves a holistic evaluation of the brand’s identity, values and messaging.
4. Different pricing
This scenario often arises when a retailer upgrades its product offerings. For instance, a bakery that once sold affordable bread might transition to offering baguettes and brioche. As the product and its perceived value evolve, so too might the target customer. This can necessitate a rebrand or the creation of a new brand identity.
A prime example of such a rebranding is Oatly, a Swedish oat milk brand. Recognizing the need to differentiate themselves in a crowded market, Oatly embarked on a comprehensive rebranding effort. By investing in a bold new packaging design and a witty, informative tone of voice, they successfully repositioned themselves as a modern, sustainable and innovative brand. This strategic move enabled them to attract a broader audience and elevate their brand perception.
5. Client base has evolved
A rebrand might be necessary when a company starts attracting clients with new demands that it can already fulfill, but its current branding doesn’t reflect this shift. Essentially, this is a situation where a company has outgrown its brand identity. Rebranding can help a company explain to these new clients why they should choose its products or services.
For example, Burberry underwent a rebranding to appeal to a younger, digitally-native audience. By updating its logo and color palette and collaborating with contemporary artists, Burberry successfully attracted Gen Z and millennial consumers who value sustainability and innovation in fashion. Similarly, Rolls-Royce rebranded to connect with a younger demographic of luxury car buyers, using a language and imagery that resonates with a new generation.
Remember, a successful rebrand is not just about a new logo or tagline; it’s about aligning your brand with your business goals and ensuring it resonates with your target audience. Investing in a well-executed rebranding strategy can unlock your brand’s full potential and drive sustainable growth.
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