Why is rebranding sometimes the best choice for a company? There are many reasons why a company may select this path. Perhaps the demographic of their clientele is changing, or the company founder is slated to retire, necessitating a shift in focus. Sometimes the need for rebranding is simply a sign that a company is growing, and thus outgrowing their former brand, or that the marketplace is shifting. Timing also plays a role with most companies revaluating their branding periodically.
Here are some of the pros and cons to consider when deciding whether or not your company is ready for rebranding:
Pro: An Untapped Source of New Projects
In the homebuilding and remodeling industry the age demographics of clients are shifting. More young professionals are paying to customize their homes for growing families. With fewer houses on the market many millenials are choosing older starter homes intending to stay indefinitely and make renovations. In fact, according to Home Builder’s True Cost report, as many as 80% of millenials plan on remaining in their current homes. Although the amount of money millenials currently spend per project is lower on average than their parent’s generation that number will continually increase over time.
Con: There is Risk
Even with a well executed rebranding handled by professionals, there is still a risk that some previous clientele will lose interest. After all, people dislike change and for some clients it is enough to diminish their loyalty. But there is little reward without some risk involved. Some ways to avoid this pitfall include introducing new information gradually and explaining why certain changes are occurring; above all else avoid abrupt changes with no explanation.
Pro: A Fresh New Look for a Competitive Edge
Most companies evaluate their brand at least every 7-10 years. Without acknowledging the fluid nature of the marketplace, one’s company promotional material may stagnate. The best thing about rebranding is that depending on your company’s needs, a light touch may work better than a total overhaul. Especially when you are working with a logo or motto that is still relevant and meaningful to the company brand. These periodic revamps help keep companies relevant so their brand never appears outdated or out of touch. An added bonus is turning heads with a bold new look, leading potential clients away from competitors who may not have the same up to date branding.
Con: Falling Flat
There are many historical precedents for company’s rebranding efforts falling flat. One of the most infamous rebranding fails happened when The Gap redesigned their logo in 2010. The company chose a new logo—abruptly—after twenty years of using their simple, somewhat iconic, blue box logo. The new logo was so horrible it resulted in what was dubbed as “Gapgate.” After less than a week, the company changed the logo back. The whole endeavor was a waste of money and only resulted in alienating customers.
Pro: Shifting Focus
People love supporting family businesses, especially in an industry like ours that prizes individual attention by expert craftsmen. But all businesses evolve over time. Whether you have retirement plans, a rising generation of star employees, a desire to shift your focus, or you have decided to merge with another company, a rebranding can be vital during times of transition. Gradually introducing changes and keeping your marketing content consistent across all mediums is a way to ease your clients into whatever change your company needs.
Con: A Delicate, Costly Process
One of the biggest drawbacks of going through a complete rebranding is the time and resources spent making so many changes, from business cards and other branded materials, to website content and social media. That is why it is helpful to have marketing professionals at your beck and call, with a proven plan and budget, to navigate the delicate transition.
A Professional View: Consistency and Cohesiveness
One of the most important reasons to entrust your rebranding to a marketing professional is for the sake of across the board consistency and cohesiveness. At RT Marketing Inc., we take pride in our ability to provide a consistent voice with expertly customized content, and we can update your brand’s look along each digital pathway, including website, social media, and email lists. Staying within your company’s marketing budget is another reason rebranding with a professional is the best route. Rebrands can be costly, but with experts in the field, you can stay within a predetermined budget that works for you.