Rebranding an existing company is a very intelligent way to foster growth in the business, especially if you’re looking for better modern design and new marketing strategies. Sometimes you only need a refresh or refreshment, but other times a major overhaul is just what the company needs.
A rebranding may not be necessary, but it is one of the ways to revitalize stagnant companies or products. In marketing, branding refers to the process of creating a unique name, symbol or design that represents a product or company. It is one of the most significant aspects of marketing strategy because it establishes the customer’s first impression and creates awareness about a product or service.
As the competition amongst products and services increases, and consumer behavior changes, it is wise to take advantage of all of the opportunities for your company to evolve that a rebrand presents.
A good brand will give you an edge in increasingly competitive markets, but what exactly does “branding” mean? It’s all about identifying and communicating the core values of your business.
While considering a rebrand, it’s wise to weigh up all the pros and cons. Do you really need a rebrand? Do you have money for the rebranding process? Is a rebranded logo sufficient or do you really need an entire rebranded identity?
Asking these questions can help you decide whether or not your brand would benefit from a rebrand. Let us discuss the pros and cons of rebranding one by one. Mockups play an important role in rebranding.
Pros of Rebranding
1: Can target a new segment of the audience
Targeting a new audience is one of the great ways to get your business growing. You can rebrand for a new segment of your audience like you would for a product launch. If you are trying to target a certain segment of the audience, then using different names and logos, can help you get all the attention of your potential customers.
If you’re looking to appeal to an entirely new demographic. Meeting an unaddressed consumer need. Rethink your approach and focus on rebranding your business to make more of an impact on consumers.
When it’s time to target the segment of the audience who is willing to pay for a better product, not just for a cheap one. Targeting a new segment of the audience can be an easier and more effective way to boost your bottom line. You can experiment with new types of content that resonate with this segment of the audience. The rebranding will give customers a chance to remember a better and improved product, rather than the one they already knew.
2: Can improve your SEO.
This may have been obvious, but rebranding a company can greatly help improve your SEO. While rebranding your company, update the website to use a more modern design, change the logo and make it more clear what you do. Also, change the domain name to include your keyword. This will lead to a major increase in Search Engine Visibility.
Branding describes the process of creating a product of identity for a company — usually a name, logo, slogan, and/or design scheme.
Other elements that help with SEO include regular blogging, social media, content marketing, and optimizing internal links. Upon rebranding, your company name will be associated with more relevant keywords. This will increase the number of search engine queries that yield your website as a result.
3: Attracting new clients after rebranding
The rebranding will help to refocus on your existing strengths and also add more strengths, which will help to attract new clients or tap into a new market. Changing your identity as a strong new and improved brand will help to attract the right giant clients and that will set you apart from all the other competitors. It will help to invite a new generation of clients and can help to fulfill all their needs.
4: Brand Awareness can be improved
Rebranding signals that the organization is changing and growing, and it is great for increasing brand awareness. Building brand awareness not only increases market share, but it also improves customer loyalty. Once a company has begun rebranding, its new ideas, products, or vision will move the company in a positive direction and will lead to brand awareness.
Cons of Rebranding
1: Cost of Rebranding
There are costs involved in rebranding your business. For a small business, it isn’t cheap and there are many variables that need to be addressed. To increase our credibility by creating a new image. And it is not just a name, the whole logo of the company has to be changed. We need to spend a lot of money on ads and tv commercials.
Spending money on the new logo, designing t–shirts, pens, and other stationery. But to achieve the level of success you want for your business or organization, sometimes you have no other choice but to take the plunge. Rebranding spending money can be more cost-effective than designing a new product.
2: Losing Customers
The problem is that rebranding may be the cause for customers leaving. This can be seen as something natural and normal if the company offers each customer what he expects to get. As humans, we are creatures of habit and so when things change we tend to feel uneasy and have resistance towards it. If a business loses customers after rebranding, it means that it has not offered them the same service, product, or quality that made them buy its products or services in the first place.
The good news is that profitable customers tend to be very sticky – so hopefully we can recover from this mess and retain the customers who are most likely to buy more. After rebranding, it’s important to still provide an engaging and positive experience for your customers. Rebranding may require slight adjustments to your marketing strategy, so make sure you are taking the right steps toward keeping your customers happy.
3: Creates Confusion and Suspicion
For every rebrand that works, there’s a rebranding that fails. Rebranding creates confusion and suspicion. A strong brand identity helps gain more customers. Customers can benefit from rebranding, but one of the major risks is that customers may have trouble recognizing the rebranded company. This could potentially lead to lower sales if customers are put off or confused by a new brand.
Branding is a way of distinguishing yourself from the competitors and clarifying what it is you offer that makes you the better choice. Your brand is derived from who you are, who you want to be and who people perceive you to be.
No matter if you are a big or small business, a strong brand identity increases recognition and trust that leads to higher sales, but if your branding lacks balance and has confusion or low quality, it gets easily lost in the crowd.
Building a brand is hard work! When a company or product goes through a rebrand, everyone from the CEO to the newbie gets excited about the new look and feel of the brand. What looks like a positive change can sometimes cause confusion and suspicion between customers and employees.
The more research you do, the better equipped you will be at managing your brand’s rebranding efforts.