Posted on : 2022-11-25 02:48:59
Article : Good evening, Friday Management TASK 218- Branding and rebranding both are key marketing practices for many companies. They should be carefully treading for the future survival and long-standing success in market.
In the market place usually we observe that many global and national product’s brands are rebranded either with change in brand name, brand logo, or packing design etc. Brands are key to a company’s long-term survival and market leadership. As we all know that Branding is a marketing practice in which a company creates a name, symbol or design that is easily identifiable as belonging to the company. This helps to identify a product and distinguish it from other products and services. Brand is built to be a true representation of the company’s business, and is to be perceived as the better choice for the customers. Every business turns into a brand at some point during its existence.
Rebranding is a marketing practice that involves developing a new business name if needed, symbol or company logo and related visual assets like marketing materials. This is in order to create a new and differentiated brand identity in the minds of consumers, investors, competitors, employees, and other stakeholders. The reasons for rebranding and or relaunching a company, product or service are numerous and should not be taken on lightly without sound strategic reasons for engaging in the process.
Several times, marketers rebrand a company or its products brands to reach a whole new audience or to increase their relevancy. It can be a result of many reasons, including international growth, new management, a bad reputation or an outdated image. Whatever the reason, it’s important to create a stellar brand that people will remember. Rebranding is done in order to ensure that brand matches the current trends and lifestyles of their customers. This is also done to ensure that they are able to grow in future period. However, not all rebranding attempts go well. Some end up as disasters too. When that happens, companies need to take remedial measures to rectify their mistakes.
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. For example – 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 to be discontinued or changed. Possible reasons for such an action could be mergers & acquisitions, legal issues, negative publicity such as fraud, aiming to beat the competition, or create own niche. For 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.
Post your comments and perceptive examples on our comments box or mail to our mail id. We will discuss further on rebranding with examples of post rebranding brands success and failures on our Good Morning Monday management Solution for TASK 218 post on 28th Nov, Monday 2022.
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