Rebranding is the process of changing a brand's identity to make it appear fresher, more relevant, and aligned with current trends. Typically, rebranding involves changing elements like the brand name, logo, slogan, and visual identity. But it's not just about outward appearances—rebranding can also touch on the brand's mission, vision, and how it communicates with its audience.
A simple example? GO-JEK, now known as Gojek (without the hyphen), underwent a major rebranding in 2019 with a new, minimalist logo and a stronger philosophy centered around its digital ecosystem.
Types of Rebranding
1. Proactive Rebranding
This is done consciously and strategically by companies, usually to seize new opportunities, expand their target market, or increase brand value.
A notable example is Telkomsel's rebranding in 2021. They didn’t just change their logo but also repositioned themselves as a digital solutions provider, not just a mobile network operator. This was a proactive step to enter the digital era and target a younger, more tech-savvy audience.
Reactive Rebranding
This type of rebranding typically happens because of external pressures, such as a tarnished brand image, a management change, or a situation that requires immediate change.
For example, Bank Mandiri emerged from the merger of several state-owned banks like Bank Bumi Daya and Bank Dagang Negara. After the merger, they underwent a major rebranding to present themselves as a solid and modern financial institution.
Benefits of Rebranding
Rebranding is not just about changing appearances; it can also offer various strategic benefits, such as:
- Increasing the brand’s appeal to both new and existing customers
- Opening up new market opportunities, both demographically and geographically
- Adapting to technological advancements and changes in trends
- Shifting public perception of a brand that might be seen as outdated
- Providing a fresh spirit within the company
Reasons for Rebranding
When a brand undergoes rebranding, there are specific reasons behind it, such as:
1. Changing Consumer Perception
Sometimes a brand has a particular image that no longer aligns with its business direction. Rebranding can help reshape public perception. For instance, XL Axiata rebranded to reinforce its digital brand, especially through its AXIS product, which has a more fun, colorful vibe that resonates with today’s youth.
2. Expanding the Market
When a company wants to enter a new market or target a new segment, old strategies may no longer suffice. An example is Sari Roti, which used to be known as a family bread brand but has now rebranded to appeal to a younger audience through trendy packaging, new flavors, and more active digital campaigns.
3. Adapting to Changing Trends
Times change quickly, especially in the digital age. Brands that don’t keep up risk falling behind. BCA , for example, launched BCA Digital (blu), a subsidiary created to follow the digital banking trend. Its branding is distinctly different from traditional BCA, with a more relaxed, fun, and Gen Z-friendly approach.
4. A New Atmosphere and Vision
When a company’s direction changes, rebranding becomes a crucial tool for conveying that new spirit to the public. For example, Pegadaian rebranded from being known solely as a “pawn shop” into a company offering a wide range of financial products, including digital gold investments. Their new branding is more modern and inclusive.
5. Merging with Another Company
When two companies merge, a new identity is usually needed to represent both entities. An example is GoTo, the result of a merger between Gojek and Tokopedia, both of which are digital products. They didn’t just merge their names but created a new brand identity that reflects the strength of Indonesia’s digital ecosystem.
Rebranding Strategy
Rebranding is a strategic move made by companies to update their brand identity to stay relevant in the market, align with trends, and meet current business objectives. A rebranding strategy involves several essential elements:
1. Create a New Vision and Mission
The first step is to reframe the company’s vision and mission. The new vision should reflect long-term goals, while the mission outlines how the company will achieve those goals. The updated vision and mission must be relevant to the times and align with the company’s growth direction.
2. Align with the New Target Market
Rebranding should align with changes in market segmentation. Identify the new target audience, whether it’s younger, more global, niche, or more digital. Then, adapt the messaging, communication style, and brand values to connect and build a strong relationship with that audience.
3. Use a New Name
Changing the brand name can be a significant move if the old name no longer reflects the company’s new values or direction. A new name should be easy to remember, represent the company’s new identity, and resonate with the industry. Choosing the right name can strengthen the brand’s position in consumers' minds.
4. Create a New Logo and Slogan
The logo and slogan are the face of a brand. In rebranding, redesigning the logo and crafting a new slogan aims to communicate the brand’s fresh message and better connect with today’s audience. The logo should be modern and flexible, while the slogan needs to be concise, powerful, and memorable to reinforce the company’s new image.
5. Re-Launch
Once all new elements are ready, an official re-launch should take place. This moment can be used as a large-scale campaign to introduce the brand’s new look to customers, partners, and the media. Utilize various communication channels like social media, websites, events, and press releases to ensure a smooth brand transition and gain broad attention.
Also Read: Cash Out: Definition, Benefits, and How to Make a Cash Out
Conclusion
Rebranding is not just about changing a logo or name; it’s about aligning the brand with market needs and current trends. With the right strategy, rebranding can open new opportunities, strengthen the brand’s position in the market, and even revive a company that has been stagnant.
If you have a business and feel your brand is no longer connecting with your audience, maybe it’s time to think about rebranding. But remember, it requires research, strategy, and well-thought-out execution!
