Rebranding is the refreshing of the identity of a company. It is the process of changing the image of a company. It includes in changing the logo, name and design of an already well established company. Many of the biggest companies have followed this strategy to reinvent themselves in the market and adapt to the ever changing market. Companies like Apple, Google, Uber and even Microsoft have made changes to their logos. Out of all of the companies mentioned above, Apple seemed to benefit the most out of their rebranding. The year was 1997, Steve Jobs had just returned to Apple as CEO of his company. He changed everything from the logo, advertising, packaging of products and made the buyer feel the beauty of the assembly. Steve Jobs is a tech icon who founded the most successful tech company without a degree from college. This rebranding saved the company from bankruptcy and made them flourish to the company they are today.
There are two types of rebranding, proactive and reactive rebranding. Proactive rebranding is the process of refreshing the old brand and not changing much. Proactive Rebranding is done when the company has new products or services to be launched in the coming future and to integrate the new products or services smoothly into the running of the company and within the realm of possibility that this company can actually launch this product or service without it looking out of place. Rebranding solves this problem and helps integration of new products or services easier into the company. Another reason proactive rebranding is done is probably because of the brand’s age and the number of years it has spent in the market. Due to its age it might have lost some of its luster and to regain the luster and get back into the spotlight, a rebranding might be the way to go. McLaren, primarily a racing team rebranded itself into a road car making company, they compete in the exotic super car range but this change effectively made the company a car giant in the world, using the racing history as a background they changed their fortunes and turned the company around. The above example is an example of proactive branding for an expansion. Proactive branding is also done when a company hits a milestone, say 50th anniversary or anything special achieved by the company or organization. Scuderia Ferrari, another one of the greatest racing teams in Formula 1 rebranded to celebrate 90 years of the company and announced a partnership with Mission Winnow, a title partnership with Scuderia Ferrari. It was also their 1000th appearance as a team in a Grand Prix.
The second type of rebranding, Reactive rebranding is done to counteract something that has happened that can potentially damage the reputation of the brand. Any brand with a bad reputation in the market has the opportunity to rebrand and reinvent itself to get out of the shadow of the bad rep. It is used as an escape route of sorts to get away from the negative image and start fresh. An avid example in India is Satyam Computer Service, which was pushed to the brink of bankruptcy in 2009. The company was acquired by Tech Mahindra and it relaunched itself as ‘Mahindra Satyam’ in 2013. This helped the company move on from the bad reputation and the negative image portrayed in the market and could move on to something more positive. Reactive rebranding is also done when a company is going through major changes like mergers, revamped leadership or acquisitions. This is done to show that these changes are positive and the company is only going to get better and move forward with these changes. The rebranding is also done to please the customers and the investors, it is a sign of things changing and in business, change is usually good as it freshens everything up. A rebrand is required to build a strong foundation for the changes occurring in the organisation. Reactive branding is also done to combat the competitors in the market. Some organisations follow others into doing the rebranding of their company just to make sure that they are able to keep the pressure on the competition.
There are a lot of examples of successful rebranding in the market. Most of the companies that we see as giants now have constantly adapted to the changes thrown at them. They have persevered and have risen to the top of their respective markets. Harley Davidson was one of them. It was on the verge of disappearing in 1985. They were $90 million in debt. They were not able to procure a loan to pay off the debts. Their CFO Richard.F.Teerlink, became the CEO and turned the ship around. He said that Harley Davidson had a loyal clientele but their quality of product was letting themselves down. This man changed Harley Davidson forever and made it into the company it is today. The lesson learnt from this story is that a brand is not only the way it is portrayed, it also relates to the quality of the product or service produced by them. The quality of the product or the service needs to be stable and good. Smart use of social media and marketing can propel the relevancy of a company. A major player in this is Old Spice, they used influencers and social media giants to gain their relevancy and now their ads are known worldwide and people know the ads are amazing even though the products might not be that known in the market of men’s healthcare. Rebranding is important for growth and for a company to achieve its goals and adapt to the changing landscape of the world’s market, it is crucial to keep changing and adapting as things can be on top at one moment and then can change and the company can forget everything that the company has done. Rebranding can change all the fortunes of all the companies and ensure success of a company in the market.