Top 10 Risks of Rebranding Your Company
Top 10 Risks of Rebranding Your Company
So you are thinking of rebranding your company? If your answer is absolutely, YES! Then, I thought you’d really need to be aware of a number of risks. Rebranding is a big deal; it is time-consuming, expensive, but is also super exciting and has the capacity to change and re-energize your business’ trajectory. Businesses grow at astronomical rates with time by adding new products or services, or building new partnerships or adding new set of professional employees.
They do this when they want to relate with different clients or explore new markets. This is called business growth. All these are wonderful, but keep in mind that they require organizations to come up with rebranding techniques. These techniques should make them appear more prominent in the marketplace and even more professional. However, rebranding your company is a serious adventure; it is something you should do carefully. So, when’s the best times to rebrand?
Dealing with change
Are you ready for change? According to Heraclitus, an ancient philosopher, change is the only thing that is constant. One of the strong risks you will face is dealing with change – obviously this is not an easy option. The first indicator that you should be rebranding your company is if you’ve recognized that it is not evolving with your environment, competition and customers. If you are facing any or all these issues, it will lead to untold confusion in the marketplace, therefore resulting in lost opportunities and sales.
Start with why
When you take a look at your business, you will notice that there are multiple reasons to rebrand. Ensure you articulate why rebranding is needed. Why do you want to rebrand? What is working in your marketplace and what is not working? Do you have problems that you want to solve and what has been your competitive landscape? What is the kind of story your company is telling? Is it fulfilling the mission and vision of the founding fathers? An honest answer to all these questions will help you to engage in a meaningful rebranding both internally and externally.
Problems connecting with the customers
You know about your business, but your opinion is limited. You need to engage in rebranding if you are having challenges connecting with your clients. Try as much as possible to ensure that your rebranded company has the capacity to deal with your client’s and employee’s pain points. So this way, they will be proud to recommend your products or services to their circles.
Problems working with industry experts
If you are having issues partnering with with industry experts in your niche, then get a rebrand and a fresh new look. They can be easily influenced if you get in touch with them again and explain your new goals, new missions and new initiatives for partnership.
Problems communicating your vision
Rebranding is inevitable in your business if you are having challenges communicating your vision to your employees or customers. During rebranding process, some people may not be happy with it, but you should convince them that you are here for them. All rebranding efforts will serve their needs with professional growth.
If done incorrectly, rebranding can create confusion
It is important to know that rebranding is a long and detailed process. Before, you engage in this service, you need to take a good look at your company. Be sure to determine how your customers and employees will perceive your action. Your goals should be clear. If it is not clearly defined, it can make you to lose your customer base. If and when you decide to rebrand, make sure you put out a press release and post on social media to inform and communicate the new change.
Rebranding is an expensive adventure
Rebranding is not only time-consuming, but also very expensive. These days branding strategy may come and go. When you rebrand, you are not only creating a new branded logo, but also creating a new image. You need to portray this image across your business cards, signage, print materials, websites etc. You must have a budget before rebranding and work with your budget.
If your budget is not clearly thought-out, you may end up spending all the money you would have used in marketing your business to rebranding- this is a misplaced priority, and it could make you to be broke, and as well make your customers and employees to leave you.
Rebranding is not a guarantee of success
Obviously, rebranding your business can help to solve some of the problems in your establishment. There have been many success stories about companies who rebrand and make much more sales. It can also lead to other problems if it is not clearly thought-out. Most times companies spend money rebranding their products or services, yet they don’t see any change or results. A good marketing tip is to pair up with a new graphic designer who can help with your brand identity and update your content marketing to match.
Change of ownership
Many times we see rebranding occurs if your company is acquired by a new person or investment group. Unfortunately, many people may not like the new change or the marketing strategies of the new team and that can make the business not to go into extinction without a couple of months, or years as the case maybe. Also, if you have an online business that will undergo a name change, you’ll want to be able to keep your loyal customers. You’ll have a new brand identity which will yield a new competitive advantage in the marketplace.
Introduction of new products or services
Most times, rebranding leads to introduction of new products or services. Even if you have a successful rebrand, many customers or employees may not like the newly introduced products or services. Sometimes, this is enough to motivate them to either stop patronizing the business or working with the company. Many times for business owners, rebranding causes you to revise your mission statement. This is something employees and customers look for to understand your company’s goals.
Not being actively prepared can cost your current place in the industry, current and prospective customers as well as your marketing budget. Don’t forget to include social media marketing in your rebranding efforts. Changing your company is a big effort. Before you get involved with any rebranding effort, ensure you have a well developed solid plan. Take your time to study this plan, do market research and ensure that rebranding worth the risk.
How important is it to you, to rebrand your company?