What is Rebranding
Definition: Rebranding is the process of changing the corporate image of an organisation. It is a market strategy of giving a new name, symbol, or change in design for an already-established brand. The idea behind rebranding is to create a different identity for a brand, from its competitors, in the market.
Description: There are several reasons for a company to go for rebranding. One prominent factor is to connect with customers. Rebranding is good for the business, but at the same time it may be risky. There is always a possibility that the consumers do not like the new brand.
There are two types of rebranding: one is Proactive rebranding and the other is Reactive rebranding. Proactive rebranding is done when a company recognises that there is an opportunity to grow, innovate, tap into new businesses or customers, and to reconnect with its users.
Let¡¯s understand with the help of an example ¨C Titan Industries rebranded itself in 2013 and changed the logo as well as the name to Titan Company. The new logo highlighted the company¡¯s commitment to "create value, innovate, and maintain highest global standards".
Reactive rebranding is done in a situation when the existing brand has be discontinued or changed. Possible reasons for such a action could be mergers & acquisitions, legal issues, negative publicity such as fraud, aiming to beat the competition, or create your own niche.
Let¡¯s understand with the help of an example. Following the revelation of 2009 fraud, Satyam Computer Service was pushed to the brink of bankruptcy. The company was sold to Tech Mahindra. The whole process was overlooked by government authorities and Tech Mahindra then rebranded the company as ¡®Mahindra Satyam¡¯ and in the year 2013, it merged itself with Satyam Computer Services.
Description: There are several reasons for a company to go for rebranding. One prominent factor is to connect with customers. Rebranding is good for the business, but at the same time it may be risky. There is always a possibility that the consumers do not like the new brand.
There are two types of rebranding: one is Proactive rebranding and the other is Reactive rebranding. Proactive rebranding is done when a company recognises that there is an opportunity to grow, innovate, tap into new businesses or customers, and to reconnect with its users.
Let¡¯s understand with the help of an example ¨C Titan Industries rebranded itself in 2013 and changed the logo as well as the name to Titan Company. The new logo highlighted the company¡¯s commitment to "create value, innovate, and maintain highest global standards".
Reactive rebranding is done in a situation when the existing brand has be discontinued or changed. Possible reasons for such a action could be mergers & acquisitions, legal issues, negative publicity such as fraud, aiming to beat the competition, or create your own niche.
Let¡¯s understand with the help of an example. Following the revelation of 2009 fraud, Satyam Computer Service was pushed to the brink of bankruptcy. The company was sold to Tech Mahindra. The whole process was overlooked by government authorities and Tech Mahindra then rebranded the company as ¡®Mahindra Satyam¡¯ and in the year 2013, it merged itself with Satyam Computer Services.
