Rebranding is a phenomenon that companies embark on for strategic reasons. Over the years we have seen major companies change their appearance to befit their new status.
One of Ghana’s top branding coaches, Bernard Kelvin Clive, provides clear insights on why companies do rebrand from their former identity which consumers were used to and why your company may need to do rebranding as well.
Companies do rebrand for so many reasons, however, here are the top 7 reasons why companies change their brand names.
1. Company acquisition or merger: If a company is being acquired by new owners or merging with an existing company that calls for a rebrand.
2. Globalization: When a company wants to go international and another company which bears the same name exists, they might strongly consider rebranding.
3. Market positioning: When the company wants to reposition in a particular market and also focus on a different product line and caliber of customers.
4. Vision: Where a company decides to change its vision and mission which is tied to the company’s name, a change of name to reflect its new identity would be required.
5. Bad Reputation: When a company has suffered serious brand damage to its reputation, one way to recover is to totally rebrand the company.
6. Close Identity: When you discover that your company name, logo, slogan is has a close resemblance to an existing company, especially a competitor, then it’s best to rebrand. In this particular instance, both companies being in the same local market.
7. When the company’s name or logo bears similarities with a terrorist group: Example is the US Company ISIS (now SoftCard: a mobile wallet app) which had to change names to differentiate it from the terrorists group which bears same name.
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