Today’s ever-volatile business landscape calls for maintaining a strong and relevant brand for sustained success. All companies, from solo practitioners to NYSE Goliaths, must keep a keen eye toward evolving markets, shifting consumer preferences, and the ever-changing competitive landscape. One common, yet powerful, strategy to achieve this adaptability is through a brand refresh.
A common knee-jerk reaction is to think of a brand refresh as a logo change or tagline upgrade. But a company's brand encompasses the perception and experience of the company as shaped by its identity, reputation, promises, values, and customer interactions. It is a vital asset that can significantly influence consumer behavior and business success.
Examples of (for the most part) unimpeachable brands include Apple (high-quality products, innovative technology, and strong customer service), Patagonia (commitment to environmental sustainability and social responsibility), and Costco (customer-friendly policies, such as a generous return policy, and its commitment to fair treatment of employees).
Conversely, brands that have struggled with reputational brand challenges due to ethical lapses, security breaches, and controversies that have impacted public perception negatively might include Facebook (privacy and data security), Wells Fargo (creation of fake customer accounts), and Equifax (massive data breach in 2017).
Here are five compelling examples of why a company might consider undertaking a brand refresh.
1. Market Evolution
Markets continuously evolve, influenced by technological advancements, cultural shifts, and economic changes. A brand that was once cutting-edge may become outdated as market trends shift. By refreshing their brand, companies seek to realign themselves with current market trends and consumer expectations. This ensures that the brand remains relevant and appealing to its target audience, allowing the company to capitalize on new opportunities and stay ahead of the curve.
Example: Dunkin’ Donuts
Established in 1950, Dunkin’ Donuts found itself at a crossroads in 2000’s with the shift in consumer behavior—away from doughnuts and toward higher-quality coffee with more options. The 2018 rebrand to “Dunkin’” allowed the company to modernize its image while focusing on coffee and convenience—resulting in the current “America Runs on Dunkin’” slogan.
2. Competitive Advantage
Differentiation is key in a crowded marketplace. A brand refresh can help a company stand out from its competitors by highlighting its unique selling points and creating a stronger, more memorable impression. This is particularly important in industries where products and services are similar, and brand perception can be a critical factor in influencing consumer choices. A refreshed brand can reinvigorate the company's image and provide a fresh, compelling reason for consumers to choose it over competitors.
Example: Abercrombie & Fitch
Once known for its hyper-sexualized marketing and narrow target demographic, Abercrombie & Fitch alienated potential customers and churned through existing customers at an unsustainable rate. Recently, A&F rebranded by moving away from the moose logo, logoed apparel, and narrow demographic to embrace size inclusivity and gender-neutral clothing options. This appealed to a greater customer base, including Gen Z shoppers. Today's website exclaims, "Today—and every day—we’re leading with purpose, championing inclusivity and creating a sense of belonging."
3. Company Growth or Change
Businesses grow and evolve over time, often expanding their product lines, entering new markets, or undergoing mergers and acquisitions. These changes might result in a disconnect between the company's brand and its new reality. A brand refresh can address this disconnect by creating a cohesive and accurate representation of the company's current identity and future ambitions. This not only helps in maintaining consistency but also reinforces the company's vision and values to both internal and external stakeholders.
Example: Google
Rebranding in 2015 due to company growth, Google underwent a significant restructuring and rebranding with the launch of a new parent company called Alphabet, Inc. Google started as a search engine company but evolved into a multitude of product offerings. Alphabet, Inc. allowed Google to separate its core offerings (Search, YouTube, Android) from more experimental and future-forward businesses like Nest, Waymo, and Calico. This move has been largely viewed as a success, helping Google to continue its growth trajectory while managing its diverse portfolio of businesses effectively.
4. Outdated Brand Image
Visual and verbal elements of a brand can become dated as design trends and language evolve. An outdated brand image can make a company appear out of touch and less appealing to contemporary audiences. A brand refresh modernizes the visual identity, messaging, and overall look and feel of the brand. This modernization can attract new customers, re-engage existing ones, and ensure that the brand stays visually and conceptually appealing.
Example: Old Spice
Yes, it still has “old” in its name, but until its rebrand, Old Spice spent nearly 75 years as your father/grandfather/great grandfather’s aftershave. Old Spice took a bold approach and updated their advertising campaigns to employ absurdist humor and an all-in philosophy on social media presence while modernizing their product portfolio to include body washes, deodorants, and body sprays to appear to both men and women. The rebrand is considered to be one of the most successful rebrands in the history of the Personal Care space and proved this through substantial sales growth and market share.
5. Reputation Management
Today’s rapid news cycle, enabled by social media and instant communication, means when bad news comes around, a company's reputation can be impacted rapidly. Nothing erodes customer trust faster than negative publicity, scandals, or declining brand perception. A brand refresh provides an opportunity to rebuild and improve the company's reputation. It signals a commitment to positive change and a fresh start, helping to reset public perception and restore consumer confidence.
Example: Uber
As a testament to Uber’s rebrand, most current users have either forgotten or never knew about the 2017 #DeleteUber campaign that culminated due to a toxic work culture, sexual harassment, and a variety of legal issues. Uber’s co-founder Travis Kalanick, resigned as CEO in 2017 and was replaced by a leader to prioritize the transformation of the company’s culture.
Uber introduced a new brand identity and advertising campaigns to focus on the positive efforts it was making to promote safety and transparency. This rebrand helped Uber maintain its market share lead and set a course to rebuild customer trust, which is still in flight.
A brand refresh is a strategic tool that can help companies navigate the complexities of modern markets. By staying relevant, differentiating from competitors, aligning with company growth, modernizing the brand image, and managing reputation, a brand refresh can position a company for long-term success. In an ever-evolving business landscape, refreshing a brand is not just an option but a necessity for those aiming to maintain their competitive edge.
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