Rebranding is the process of refreshing the corporate identity of an organisation with a new or modified symbol, design, vision and values, target audience etc. It helps businesses improve by gaining a fresh perspective from consumers, investors, competitors and other stakeholders. But before you decide to rebrand, you need to be sure if it’s the right move, as the adage goes – If it ain’t broke, don’t fix it. But how to know if the time is right? Rebranding at the right time can be one of the highest paying investments you can make. Here, we’ll share with you 6 signs that clearly indicate the need for rebranding.
- Internal brand contradicts outer brand: Most businesses are not built with any kind of brand strategy at their inception. As a result, these businesses approach their strategy from a surface level, where they declare a handful of statements about their vision and values. In most cases, these statements are not aligned with their internal brand, which includes how the brand communicates and the messaging behind these communications. In such cases, the internal and outer brand should be aligned together with rebranding. Google is one of the best examples of internal branding, as its employees are heavily vested in the brand culture.
- Undefined target market: Many brands start their journey without a well-defined target market that they can follow and build on overtime. Also in many cases, when products and services span over multiple industries, it can be a challenge to target a specific audience. To overcome this challenge, brands need to analyse their products, customer motivations, market competition and more. Take Netflix for example, a company that used to rent out DVDs through the mail has shifted its focus towards streaming to keep up with the demand of its consumers.
- Growth of products and services: In many cases, businesses start with a very specific focus on a handful of products which gives them a clear idea of who their target market is. But with time as businesses grow with new products and services, they become misaligned with their target audience. Cases like this require a rebranding exercise to realign the target market with what the business is today. One such real-life example is Airbnb, a home-rental company expanding its services to flight bookings and online reservations.
- Brand positioning is not unique: You need to give consumers a reason to turn towards your brand, and that reason is the unique brand positioning in the market. If your brand isn’t unique, you need an effective differentiation strategy that would differentiate you from your competitors in a way that makes sense and adds value to the consumers. One classic textbook example of unique brand positioning is Apple as a startup making computers for everyday use, which had set them apart from their major competitor IBM at the time.
- Unclear messaging strategy: With a unique position, you are giving your audience a reason to turn towards your brand. After that, you need to make it crystal clear to them what that reason is, and why they should care. This is when a clear communication strategy becomes very important. If the audience fails to understand why they should buy your brand, your position is likely to fail. Take an example from Nike’s slogan ‘Just Do It’, or Walmart’s “Save money. Live better”, both of which communicate their brand values in a smart, persuasive and concise way.
- Outdated visual representation: The definition of good design constantly changes over time. What may have looked good a few years ago, may not look so good now. That’s why outdated visual representation is the number one reason many entrepreneurs choose to rebrand their businesses. If the visual representation is not done right, it doesn’t matter how good or unique the products and services are, because when you fail to make a good first impression, you don’t even get to tell your story. Check out how we updated SiGMA’s visual branding in 2019 and 2022 with fresh perspectives.
- Outdated logo: Updating the logo is one of the most obvious ways of showing your customers that your business is willing to update and change with time. That’s why major corporations such as Google, Starbucks, Spotify etc. constantly update their logos every few years. Also, check out below some of our logo designs that helped our clients revamp their businesses.
Due to the lack of education and lack of understanding about real branding, the majority of entrepreneurs ignore these vital signs in their businesses. But ignoring these can hold you back from reaching your full potential. When your brand shows any of these 6 signs, it’s high time to pay attention and fix the brand. Learn which aspects of your business needs to be updated for rebranding here. If you’re a business owner looking to brand, rebrand or simply want to know more, feel free to reach out to us.