1

High Street Rebranding

2

introduction

3

Inthisdiscussionwillinvestigatehoweffectivetherebrandingofacompanyis.Iwilldothisbylookingatthewayinwhichthepublic,consumersingeneralandthebrand’scustomers,reactedtothenewbrandimage.Bylookingatbothsuccessfulandfailedrebrandingventures,todiscoverwhatstrategiesmakeasuccessfulrebrandandwhatcompaniescandotoavoidfailure.Toinvestigatethisdiscussionwilllookintorebrandingwhichhadtakenplacebetween2000andthepresent,2012includingwellknownhighstreetbrandsasthesecompaniesaremostlyinthepubliceyeandcausemoreofareactionfromalargerrangeofpeople.

Thereasonforchoosingthisparticularsubjecttoinvestigateisakeeninterestinbrandingandhowthepublicreacttobrands.Chapterone‘WhatisBranding?’Givesabriefhistoryofbrandingandhowandwhyitwasusedinhistoryandwhythathasaffectedustoday.Chaptertwo‘SuccessesinRebranding’looksatsuccessfulrebranding,VirginMedia,Marks&Spencer

andITV,andwhytheserebrandsweresuccessfulandwhatkepttheconsumerinterestedinthem.Chapterthree‘FailuresinRebranding’,willlookatthreecompanyrebrandswhichwerenotsuccessful,howthepublicreactedandwhy,andhowthecompanymanagedtheunsuccessfulrebrand.

Weliveinthe21stcentury,atimewherethemarketissaturatedwithdifferentcompaniescompetingwithoneanothertoselltheirproducts.Oneofthemajorfactorsinthisfightforincreasedmarketshareishowthecompanyisseen,theirbrandandbrandvalues.Eachcompanywantstobethebest,theywanttobedifferent,andsotheywanttheirbrandtobesignificant.Thebrandneedstohaveauniquesellingpointtostayinthecompetition,itneedstogaincustomerloyaltyandenticenewcustomersintothebrand.Thefollowingisaninvestigationexamininghowtherebrandofcertaincompanieseitherhelpedordamagedtheirbrandimage.

4

what is branding?

5

TheOxfordDictionarydescribesbrandingas‘thepromotionofaparticularproductorcompanybymeansofadvertisinganddistinctivedesign’(OxfordDictionary,nodate.).Thisdefinitionseemstounderstatethevalueofbranding.Brandingisahugemarket,abrandiscancreatepositiveornegativefeelingstowardsaproduct;itmakesthecompanymorerecognisable.Brandingreliesheavilyoncommunicatingbrandvalues,theseare

‘Howthevisionandpromisesaredeliveredtotheconsumer.Thesmallnumberofdescriptivebehaviorsthatthebrandistoexemplify.Thesearetorepresentthecompany,brandandemployees.Examplesincludepassion,inventiveness,respect,honesty,collaboration.’(Branson,B.nodate.)

Althoughbrandingisseenasquiteamodernthing,especiallyduringthelate1900sand¬early2000,whereitwasusednotonlyforcompaniesandproducts,butalsouniversities,charitiesandevenpeople,brandinghasbeenusedthroughouthistorytoidentifyproductsfromdifferentcraftsmanandtoclaimownership.

‘Inthe1200sEnglandrequiredbreadmakers,goldsmithsandsilversmithstoputtheirmarksongoods,primarilytoinsurehonestyinmeasurement.’(Fusco,C.nodate.)

‘Betweenthe1600sand1800s,criminalswerebranded(againliterally)asaformofpunishmentandidentification.Forinstance,inEngland,theybrandedanSonaperson’scheek,whileinFrance;theybrandedafleurdelisontheshoulder.Asrepugnantasitmaybetoustoday,slaveswerealsobrandedroughlyduringthesametimeperiodtoconnoteownership.’(Daye,D.2006.)

Surprisinglybrandingcanbedatedbackevenfurtherto1300BC,givingbrandingahistoryofover5000years.

‘Asfarbackas1300BC,potter’smarkswereusedonpotteryandporcelaininChina,Greece,RomeandIndia.Brandingofcattleandlivestockgobackasfaras2000BC.’(Fusco,C.nodate.)

Althoughinhistorybrandingwasusedtodifferentiatebetweendifferentcraftsmanandtoinsurehonestyinmeasurement,youcanseehowbrandingstillincorporatestheseaspectsbuthasalsomovedonagrownsincethen.Brandingisnowusedtoattractnewcustomers,communicatethebrandsvaluesandcreatecustomerloyalty.Brandinginnowhighlycompetitiveandisaconstantgameofon-uppingthebrandscompetitorstogainthelargestmarketshare.

‘Butatsomepointinthetwentiethcenturybrandingbecamepervasive.Themaintenanceofbrandimageandvaluewasthedrivingforceforproducersandbrandownersandnational–evenglobal–brandnamescametodominatelocalmarkets.InthepostwarWestagainstthebackdropoftheColdWar,tobeanactiveparticipantinaconsumersocietybecameincreasinglyregardedasabasichumanright.Theideaofcitizenshipbecomesframedaroundtheideaofconsumershipandthis‘redefinitionofrightsandobligationsarticulateditselfintheseeminglyinnocuouslanguageofsoftdrinks,carsandhouseholdappliances.’(Pavitt,J.2002.P32)

Brandingreallytookagreatimportanceinacompany’sstrategyduringtheindustrialrevolutionwhereproductswereabletobemassproduced.Withtheeffectofthedepression(1930s)andWWII(1939to1945),consumersdidnotwanttospendmoney,socompaniesinthe1950screatedmoderndaybrandingawaythatwouldidentifytheirproductstothemassesusingposters,radioandeventuallytelevision,makingtoproductsappealmoretocustomersbycreatingthingssuchasbrandvaluestoenticecustomerstobeloyalandbuyonlytheirproducts.

‘Thebrandbecamethenewexpressionofassurance.Itlaidthefoundationforthemodernconfidenceofthepurchaserwhenbuyingcommodities,whichhecouldneithertrynortestbeforeuse.Thisappliesinparticulartoarticlesforwhichaguaranteeisgiven;thebrandedarticlemeans,moreorless,adirectrelationshipbetweentheconsumerandtheproducer.’(Pavitt,J.2002.P33)

Thisnewassurancebetweencustomerandproducer,createdthestartofcompaniesestablishingtheirbrandvalues.Whetheritbequality,swiftnessorevenjustalwaysbeinghelpfulandmakingthecustomerfeelvalued,brandshadtodecidewhattheywanttocommunicatewiththeircustomerbase,andmakesurethattheircustomersheardwhatwasbeingsaid.

‘Sohowisbrandvalueestablished?Theinventionofanewbrandovernightwithsubsequentrapidmarketingisunlikelytobeasuccess.Brandswithstrongimagesaretheproductofsuccessfulnurturingoftherelationshipbetweenproducerandconsumer.Theyalsorequireeconomicinvestment,marketingandcorporatenurturing.Themostrecognisablebrandstendtomaintaintheirpositionbyestablishingloyaltyandubiquity,bybecomingthemarketstandard.’(Pavitt,J.2002.P23)

Assaidinthequoteabovebrandsneedstrongimagesandvaluestocreatethatimportantrelationshipbetweenproducerandconsumer.Expressingthesestrongimagesandbrandvaluesinaneffectivewayisacorereasonwhycertainbrandssucceed.‘YourBrandistheultimatecollectionofviewsandopinionspeopleholdaboutyouintheirmind.Itencompasseseverything:qualityofexperience,lookandfeel,customercare,retailandwebenvironmentsandcreativeexecutionacrossalltouch-points.’(Lemley,D.nodate.)

‘Insomecases,thebrandnamebecomesthegenericnameforthatproduct,suchasHoover,Coke,WalkmanorRollerblade.Forcertainproducts,whatstartedoutasabrandnamehasbecomesogenericthatitcannotbeprotectedbyatrademark:aspirin,yo-yo,thermosandescalatorarealltermsthatbeganlifeasbrandnames.Thefamiliarityofnamessuchasthesedemonstratestherisetoprominenceofthebrandinthelastcentury.Brandsareapartofthetwentiethcenturymythology.’(Pavitt,J.2002.P23)

UseofBrandnamestodescribehouseholditemssuchas‘Hoover’insteadofvacuumcleanerand‘Brillo’insteadofwirewoolgoestoshowjusthowmuchbrandinghasbeenintegratedwithourdaytodaylivesandalsohowbrandawareweareinthe21stcentury.

6

OneofthegreatestexamplesofjusthowsuccessfulabrandcanbeisApple,peoplequeueforhoursjusttogetthelatestiPhoneorMacbook,buyingtheproductswithouteventryingthembecausetheconsumerissurethattheproductwillbeofhighqualityandgreattechnicalspecification.Apple’sadvancesintechnologyareasurereasonwhytheirproductsaresopopularbutthebrandalsohasamassiveimpactonthepopularity,showingeachnewproductashipandcoolandthemusthaveitemoftheyear.Eventhoughthereissuretobereleaseabettermodelin6months(e.g.iPhone4s)peoplestillwanttoupgradestraightawaysothattheydonotgetleftbehind.

7

ArecentphenomenonsurroundtheApplebrandwastheamountoftweetspostedfrompeoplecomplainingthattheydidnotreceiveaniPhoneforChristmas,therewerecommentscomplainingthattheyhadreceivedthewrongcolouriPod,andevenaphewfurioustweetsstatingthattheyhadreceivedacarforChristmasbutnotaniPhone.

‘Angry:MostofthecomplaintswerefromentitledindividualssayingtheywereupsetafternotreceivinganAppleiPhone,iPadorcaronChristmasDay.’(Duell,M.2011.)

Itishardtobelievethatsomeonewouldbeangrythattheyhadreceivedacarandnotaphone,butitdoesprovethatAppleissuchasoughtafterbrandthatteenagersarepreferringtoreceiveiPhonesinsteadofcars.SometeenagerswereevenangrybecausetheygotaniPhone,justnotintherightcolour,thewhitecolourediPhonewasonlyslightlynewerthantheexistingblackiPhone,butbecauseitwasApple,anditwasthenewerversioneveryonewantedthewhiteone.

8

Reasonwhycompaniesmayneedtorebrandcouldbeamixtureofdifferentreasons.Theymayneedtocreateauniquesellingpointtogainanadvantageonthecompetition.Thecompanymayalsobeoldanddatedandneedtocreateanewlooktocapturetheattentionofayoungeraudience.Somecompaniesneedtorefreshtheirimageafteralargeramountofbadpresstodissociatedthemselvesfromtheirexistingbrandandstartonanewcleanslatewithnewimprovedbrandvaluessothattheyarenotseennegativelyinthemediaandbyconsumersanymore.

‘Inthecommercialworld,consumerproductsaregenerallyrebrandedforoneormoreofthefollowingreasons:

•Theproducthasfailed•Theproducthasgrowntired•Theproduct’sreputationhasbeenseverelydamaged•Theworldhaschangedbuttheproducthasn’t•Consumertasteshavechangeddramatically•Thecompanyhasbeentakenoverbyanother•Thecompanyhaslostitsway•Thereisanewmanagingdirectororchairman.’(Buncle,T.2009)

9

Asshowninthebrandlifecycleabove,onceabrandhashitmaturity,it’ssalewillstarttodecline,awayinwhichtocombatthisdeclineininnovation,thiscanbereleasinganewproducttoupgradethebrandsimage,oritcanbetorebrandsothatthebrandisfresh,newanduptodate.

Somecompanies,revamptheirlogos,whereasotherscompletelyrebrandthecompanychangingthenamelogoandsometimesevenbrandvalues,thishoweverisextremelyrisky,thenewbrandvaluescouldattractahugenewrangeofconsumersbutmayalienatetheexistingloyalcustomersandifthenewvaluesarenotsuccessfulthecompanyhaslostmostofit’snewandexistingmarket.

Changingjustthelookofthebrand,forexamplethelogocanhaveahugeeffectinthewayinwhichthepublicseethebrand‘Thelogoisthepointofentrytothebrand.’(Glazer,M.1995.P21.)

Themaintargetsinmostbusinessistosurviveandtomakeaprofit,wheneitherofthesetwoareinjeopardy,itcanbetimetothinkaboutrebrandingthecompany,torefreshtheimageandattractnewcustomersandprofits.Thenextchapterwilllookathowsuccessfulabrandcanbeifexecutedcorrectly.

10

successes in rebranding

11

Rebranding,ifdonesuccessfully,canbeaninnovativewayinwhichtorevampadatedimageandattractalargerclientele.Thelaunchofarebrandcanthrustthecompanyintothemediaagain;gettingthepublictotalkaboutthebusinesscanincreaseinterest,andthereforeincreasesales,whichisanexcellentresultandisessentiallywhyrebrandisdone.

12

13

InFebruary2007,VirginMobileandNTLTelewestrebrandedfollowinga£962millionmergertocreateVirginMedia(BBCNews.2006.);amultichannelbusinessincludingtelephone,mobile,cabletelevisionandbroadbandInternet.

‘NTLneverreallyhadabrandculture,althoughitdiddosomeadvertising.Sowe’vehadtocreatethiscultureacrossthewholeorganisation.’(Billings,S.2007.)

VirginMedia’smaincompetitorsareSky,BTandTalkTalk,alreadybigestablishedbrandnames,soVirginMediahadtocreateanewinnovativebrandimagetomoveonfromthedatedlookofNTLTelewestandtoattractcustomerswhohadpreviouslyusedtheservicesofitscompetitors.

Virgin,asabrandname,hadalreadygroundeditselfasa‘cool’wellknownbrandwithit’sotherbusinessventuressuchasVirginAtlanticandVirginMegastores,thelatterunfortunatelyclosedstoresintheUK,Ireland,Spain,US,Canada,AustraliaandJapanbutstillhasstoresopeninFrance,Greece,Australiaandthemiddleeastandgulfcountries.(Virgin.nodate.)

However,althoughtheeventualclosureofVirginMegastoresdidmakeadentinthebrandsimage,thebrandVirginstillremaineda‘cool’brand,andpeopleweresadtoseethestoresgo.ThishelpconsiderablywhenrebrandingintoVirginMedia,themainvaluescommunicatedbythebrandingwastosaythatVirginMediaisthenewest,mostmodernandinnovativebroadbandandcableTVprovider,thelogoproducedforthecompanyreallyshowsthemodernityofthecompanyespeciallycomparedtothedatedlooksofBTandTalkTalk.

‘Whenmovingintoareasofbusinesswhereithasnopreviousexperience,VirginisrelyingupontheimageofBransonas‘theconsumer’sfriend’whobringspersonalitytofacelessindustriesandbusinesspractices.ThesuccessoftheVirginbrandisfirmlytiedtothecultofpersonality.WhatBransonoffersisaspecificcharacterofserviceandareputationforchallengingauthorativebrands(forinstance,hispublicbattleswithBritishAirways).Virginmakesironicuseofthe‘rules’ofbrandingaspartofitsbrandimage;whenVirgincolawasfirstlaunched,thecompanyparodiedthemyththatthefamous1930’sCoca-Colabottlewas

basedonthevoluptuouscurvesofMaeWest.Virginproducedasimilarcurvedplasticbottle,colouredred,andchristeneditthe‘Pammy”aftersurgicallyenhancedBaywatchstarPamelaAnderson.’(Pavitt,J.2002.P32)

MyfamilyandIhaverecentlyswitchedfromBTBroadbandtoVirginMedia.OurreasonforchoosingVirginMediaoverTalkTalkorcontinuingwithBTwasbecauseVirginMediaseemedtobemoreinnovativeandmostuptodate,especiallybecausetheyownandoperatetheirownfibreopticnetworkforfasterbroadbandspeeds,andalsobecauseourneighboursrecommendedVirginMediatous,theirloyaltytothebranddefinitelyswayedourdecisiontochooseVirginMedia.

‘VirginTelevisionhascurrentlyaround3.4Msubscribers.VirginBroadbandistheUK’s3rdlargestbroadbandsupplier,behindTalkTalkandBTwith4Msubscribers’(KGBAnswers.2012)

ThisisanincrediblefeetconsideringthebrandVirginMediahasonlybeenaroundfor5yearswhen‘BTwasprivatisedin1984.’(BBCNews.2001.)AlreadyVirginMediahasestablisheditselfwithinthemarket,createdbrandvaluesandgainedagreatamountofcustomerloyalty,whichiskeyforsuccess.

VirginMediahavejuststartedanadvertisingcampaigningboastingthattheywillbedoublingtheircustomer’sbroadbandspeeds,thisenforcestheirbrandvaluesthattheyareconstantlyupdatingandimprovingtheirservicesothattheircustomersmaybenefitcontinuedgreatserviceandthereforewillstayloyaltothebrand.

EspeciallywiththeexperienceIhavehadwithVirginMedia,Ifeelitisahugerebrandingsuccessstory,andshowsthatrebrandingwhendoneinthecorrectwaycanpushanexistingbrandtotriumph.

virgin media

14

15

ThefirstMarks&Spencerstorewasopenedin1893byMichaelMarks,(Marks&Spencer.nodate)sincethenthebrandhasgrownintooneofthelargestbrandintheUK&Irelandwithaprofitof£598.6million(aftertax)inMay2011.(Marks&Spencer.2011.)

Howeveroneofthekeyelementtoitssuccessincurrentthehardeconomicalclimateisit’srebranding.In2006Marks&Spencerproducedastrongadvertisingcampaign,totrytoimproveonit’sslumpedsalesfromtheprevioustwoyears.Thebrandwasseenastooexpensiveandquiteaboringoldfashionedcompany.Theadvertisingcampaignin2006usedTwiggyasthefaceofthewomanswear,‘aperfectmetaphorforastylishnationaltreasuremakingaspectacularcomeback.’(Sweney,M.2006.)

‘Advertisingwasjustoneofthemechanismsthathelpedbrandstosucceedinestablishingtheassociationofphysicalandsocialideaswithparticularbrands.’(Pavitt,J.2002.P30)

Attheheartofthecampaignwastheslogan‘YourM&S’.Thecampaignwasahugesuccessbringinginanadditional1.4millionpeopleintothestores(Sweney,M.2006.),itbroughtMarks&Spencerbackintothelimelight,anditchangeditsimage,madeitmorestylishandmoremodern.ThecampaignwassosuccessfulforMarks&Spencerthat‘YourM&S’becametheprimarybrandforadvertisingandinstoreandonlinemerchandising.

ConsumershavebeencallingMarks&Spencer‘Marks&Sparks’,‘Marks’and‘M&S’foryearsbeforethisrebrand,sothedecisiontochangesomestoresto‘YourM&S’didn’tgetanegativereactionfromthepublic,itmadethestillrecognisablebutalsomadeitmore

accessibletoawiderrangeofcustomersandpulledthebrandimageintothe21stcentury.Thebrandvaluesstillexisted,especiallythatofhighqualityproducts,butthebrandnowlookeduptodate,fashionable,andalsoopeneditselfuptotheyoungergenerationwhopreviouslysawMarks&Spencerasunfashionableandjustforolderwomen.

Thebrandingof‘YourM&S’continuedwhenMarks&Spencerlauncheditsnewcampaign‘Thisisnotjustfood,thisisM&Sfood.’TheseseriesoftelevisionadvertisementsdepictedtheMarks&Spencerreadymealrangeinslowmotion;theimagesweremouthwateringtowatch,somecalledit‘foodporn’becausethevoiceoverdescribingthefoodwasslowandsultryandthewayinwhichthefoodwasportrayedwasalmost‘sexy’.ThiswasariskymoveforMarks&Spencerwhoarenotusuallyassociatedwithbeingsexy,butsexsells,andtheriskreallypaidoff.

‘Thisisnotjustfood,thisisM&Sfood’hasbecomesowellknownthatmanyparodieshavebeenmadeofitincluding‘It’snotjustanadvertisingcampaign,it’sanM&Sadvertisingcampaign...’(CreativematchGraduateRecruitment.2006.)ItsdepictionoftheluxuriousnatureofitsreadymealrangealsohelpedboostprofitsandhashelpedMarks&Spencergetthroughthecreditcrunchandkeepit’splaceamongthehighstreetnames.

AlthoughMarks&SpencerwillnotbeasbigassimilarstoressuchasTescoorSainsbury’s,IbelieveconsumerswillcontinuetoshopatM&S,itsnewbrandvaluesofbeingmorefashionable,luxuriousandmodernandit’sexistingbrandvaluesofloyaltyandqualitywillalwaysbringcustomersthroughtheirdoors.Asitissaid,‘IdomybigshopatTesco,butIgetmybitsinM&S’.

marks & spencer

16

‘Themostimmediatelyvisibleshiftinthenewbrandingisthedepartureoftheblueandyellowcolour’(Billings,S.2006.P8.)

17

InJanuary2006,ITVlaunchedatotalrebrandacrossallitsfourchannelsgivingeachchannelanewidentity.ITVisconstantlybattlingforviewingfigures,asisallotherchannels,butwiththeaccesstocableandfreeviewchannelsmadeeasier,thefightforviewingfiguresbecametougher,andwithITV’sratingslumping,theyneededabrandrefresh,anewimagetoattractmoreviewerstotheirchannel.

‘ThecreativeworkofRedBeeMedia,formerlyBBCBroadcast,willsweepacrossITV’sfourchannels,introducingreworkedidentsandlogosatatimewhenthebroadcasterfacesagrindingerosionofadvertisingrevenuesandaudienceshare.’(Billings,S.2006.P8.)

‘“Wehavetriedtoidentifyafutureproofbrandposition,creatingbrandingforeachchannel,targetingdifferentgroupsandthencrosspromotingintoshowsonotherchannels,”saysSalmon.’(Billings,S.2006.P8.)

TheidentitythatITVlaunchedwasabigstepawayfromtheexistingfeeltothechannel,theoriginalblocksofcolourwereveryrigidandoutdated.Therebrand,incorporatednewcolours,whichgaveeachchanneladifferentfeel,buttheyalsointeractedwellwitheachother,givingITVtheoptiontoadvertisetheirdifferentchannels,forexampletheycouldadvertiseaprogrammeshownonITV2,onITV1.ThisrebrandwasalsohelpbythewayinwhichITVstartedtoreallycompetewithBBCandChannel4byshowingprogrammeslikeX-FactorandI’mACelebrityGetMeOutOfHere,allhavinggreat

viewingfigures,andwouldhavebeenwatchedanywayiftherewasnorebrand,butbecauseviewerssawtherebrandwhilewatchingtheseshows,theybegantoseeITVinanewlight,inamoremodernandexcitingway,communicatingthatITVweregoingtoshowmoremodernandexcitingshowsaswellasexistingfavourites.

TableShowingViewingFiguresofITVChannelsinthelastweekofSeptemberbetween2005and2009. 2005 2006 2007 2008 2009ITV1 19.9 18.9 19.7 17.7 17.9ITV2 2.5 2.2 2.2 2.0 2.3ITV3 1.1 1.5 1.2 1.7 1.6(Broadcasters’AudienceResearchBoard.2009.)

AboveisthepercentageshareofviewingfigurestheITVchannelsreceivedforthelastweekinSeptemberbetween2005and2009,Ichosetolookatthisparticulartimeoftheyearastherearenoschoolholidayswhichwouldalwaysincreaseviewingfiguresduetopeoplebeingathomemore.Althoughtheviewingsharehasnotincreased,ithasdefinitelystayedconstant,whichisasuccessconsideringmoreandmorechannelsareavailableinthepastcoupleofyears,meaningITV’srebrandhelpeditstaystrongduringthesetimes.

i t v

18

failures in rebranding

19

Howeversometimesarebranddoesnotresultinsuchasuccessasthethreecompaniespreviouslymentioned.Arebrandcangohorriblywrongifdoneinthewrongwayandcanevencauseapublicoutcryforthebrandtorevertbacktoitsoriginalways.

20

‘ThebiggestblunderinrecenttimeshastobeConsignia[ashortlivedrebrandoftheRoyalMail]butthepopularoutragewasnotjustaboutthename,butalsoaboutthetreatmentofit.Ifyouworkforanorganizationwith300yearsofheritage,youcantsimplyreplaceitwithagenericswoosh.It’sjustwronganditwon’tstick.ItwillbeinterestingtoseewhathappenstoBritishAirwayswhensomeonedecidestochangethename.HowdoyouretaintheheartandsoulofawellknownbrandlikethisifyouremovethewordBritish?CrossmypalmwithsilverandI’lltellyou.’(Adamson,M.2010.P11.)

21

ThemaninchargeofthenewnameandimagebyDragonBrands,wasKeithWells.Thereasonbehindtheneedofanewnamewas,

‘“PostOffice-thatwastoogeneric.Lotsofothercountrieshadtheirownpostoffices,soitwouldhavebeenadifficultnametoprotectabroad,”MrWellssays.“RoyalMail-thathasproblemswhenoperatingincountrieswhichhavetheirownroyalfamily,orhavechoppedtheheadsofftheirroyals.”Theunifyingbannerwouldhavetobefashionedtoafreshdesign.’(Verdin,M.2002.)

‘ThenameConsigniawasdecidedonbecause“It’sgotconsigninit.It’sgotalinkwithinsignia,sothereisthiskindofroyalty-ishthinginthebackofone’smind.

“Andthere’sthislovelydictionarydefinitionofconsignwhichis‘toentrusttothecareof’.Thatgoesrightbacktosustainingtrust,whichwasvery,veryimportant.”‘(Verdin,M.2002.)

Itmadesensetochangethenametosomethinglessgenericifthecompanywantedtoexpandtheirpresencetooverseastrading.Thereasoningbehindthenameisaniceidea,althoughitisobviouslyamadeupwordthemeaningsbehinditdomakesense,theideaoftrustandroyalty,whichisfittingforRoyalMail.Howeverthemessagewasnotcommunicatedtothepublic,thenewnamesoundedforeignandstrippedthecompanyofitsBritishnessanditsheritage.

Therebrandalsocameatatimewhenthegroupwashaemorrhagingmoneyandcuttingjobs,sowhenthenewnamecame,people,thepublicandthecompaniesemployees,associatedthenewidentitywiththedishonestyanddisloyaltytowardsitsemployeesanditsfailingsasacompanytoproduceprofits.

‘PostOffice/Consigniaoperationsbledthroughanobsceneamountofmoney,£1.5millionadaybysomecountsandforthesixmonthsprecedingNovember2001,£281million(US$2.2M,418M).Theorganization,whichoperateswithannualsalesof£8billion(US$12B)andemploys220,000people,quicklyfounditselfbetweenacash-flowproblemandavocallaborforcewisetolaborcuttingquickfixes.Duringonepointofthreatenedstrikesinthelastyear,Consignia’sownworkers’unionboycottedtheuseof“Consignia,”andcalledforareturnto“PostOffice.”‘(Sauer,A.D.2002.)

AyearaftertherebrandtoConsignia,thechairmanAllanLeightonrevealedthatthenameConsigniawouldbedropped“probablyinlessthantwoyears.”(Sauer,A.D.2002.)Thenamewasditchedon13thJune2002,soonerthanpredictedasthepublic’sviewofthegroupwasfartoodamagedwhentradingunderthenameConsignia.

AtatimewhenThePostOfficeneededtokeepitsbrandvaluesofheritage,trustandhonour,tokeeptheloyaltyofit’scustomerduringahardtimeforthecompany,therebrandwasdoneinthewrongway.Byintroducinganewnamewhichwascreatedtobemoreavailableandmoremoderntotradingoverseas,thebrandneglectedtoseethewayinwhichtheUKwouldreacttothenewbrand,loosingit’simageofheritageandBritishnesswaspossiblyoneofitsworstmistakesthecompanydidduringitsdifficulttime.ThepublicdonotlikeitwhenanestablishedBritishinstitutionischangedtomakeitlessBritish.Insteadofrefreshingthebrandtogiveitabetterimageduringslumpsinprofits,itdamageditscommunicationofitsbrandvalues.Thechangebacktotheoldnamewasthebestthingthatthegroupdid,theproof,isthatThePostOfficeisstillawidelyusedcompany,whichhasgrown,notonlytodelivermail,butnowoffersinsurance,financeandevenphoneandbroadband.

post office

22

23

24

25

pepsi

26

Pepsialwaysseemstobetryingtorefreshtheirimage,perhapsduetobeingconstantlyrunneruptoCocaCola,but11newlogosinitshistory,5ofthembeinginthepast25yearsseemsalittleextremedoesn’tit?

Pepsi’sChiefMarketingOfficersaidthisaboutthe2008rebrand,‘“Wefeltlike,aswemoveoutofthistraditionalmassmarketingandmassdistributioneraintotoday’sculture,there’sanopportunitytobringhumanityback,bothintermsofthedesignbutalsointhewayweengageconsumers,”hesaid.“Bymakingthelogomoredynamicandmorealive…[Itis]absolutelyahugestepintherightdirection.”‘(Zmunda,N.2008.)

Althoughthisrebrandhasn’tcausedahugelynegativereactionfromthepublic,ithasn’treallycausedthatmuchofareactionatall.Somearesurprisedatthecostofthenewlogo,butoverallIthinkbecausePepsihasrebrandedsomuchinthepast,peopledon’treallyseemtocare.

‘Poorrebrandingeffortsarethosethatevokea‘sowhat’or‘whatdoesthatmean?’response,whichsuggeststhelogoanditscommunicationhavefailedtoconnect.Recently,theglobalPepsirebrandevokedalargelynegativeresponse,butitisnowherenearasbadaswhenCocaColalaunchedNewCokein1980sandthenpromptlywithdrewitandinsteadCocaColaClassic.Totamperwithafavouriteindesignandproductformulaisarecipefordisaster.’(Nurko,C.2010.Voxpop.DesignWeek.24(42),p11.)

Thequestionreallyis,wasitworthit?Surethenewrevampandlogoisn’thorrible,itstillhastherecognizablecharacteristicoftheexistingPepsilogo,andthenewlightsansseriftypefacehasamoremodernfeelcomparedtothepreviousboldfont,butconsideringthemoneyspentonthisventure,Idon’tthinkthereactiontotherebrandwaswhatPepsiwashopingfor.

‘Pepsiwouldnotdiscusswhatit’spayingfortherevamp,butexpertsestimatethecostforatopfirmtoworkfivemonthsatnorthof$1million.Butthat’sjustthe

27

beginning.Therealcost,saidanexpert,isinremovingtheoldlogoeverywhereitappearsandputtingnewmaterialup.ForCokeorPepsi,whenyouaddupallthetrucks,vendingmachines,stadiumsignage,pointofsalematerialsandmorearoundtheworld,itcouldeasilytallseveralhundredmilliondollars,theexpertsaid.’(Zmunda,N.2008.)

Iftheexpertaboveiscorrect,severalhundredmilliondollarsseemslikeanextortionateamountofmoneytobespendingonarebrandifitdidnotdrivethesalesofsodaanextremeamount.Itseemslikeawasteoftimeandmoney,foralogothatdidnotactuallychangethatmuchandneverreallycausedeitherapositiveornegativereaction.

‘Pepsihasremainedverytruetoits2008redesignandrepositioning.ThePepsiRefreshProject,whichisbringinghundredsofinnovativeideastolife,iscoretoPepsi’soverallpositioningandiswidelyrecognizedandunderstoodbyitstargetconsumer.Somequestionwhetherthiscampaignactuallydrivessodasales.

However,what’scertainlyclearisthatithasbeeneffectiveinincreasingPepsi’sdigitalpresence,whichhashadapositiveimpactonthebrandoverall.Thisyear,expansionininternationalmarketshasledtosignificantgrowth.However,developedmarketsprovedlesspositiveinthishard-foughtcategory.’(Interbrand.2011.P24.)

Althoughthisrebrandwasn’tacompletefailure,thecompanydidnothavetochangebacktotheirexistinglook,therebrandwasn’tasuccesseither.Asmentionedabove,itisquestionablewhetherornottherebrandactuallydrovesales,the‘sowhat?’reactionthatwasgivenmadePepsiabitofalaughingstock,constantlyrefreshingtheirimagetocompetewithCocaColabutneveractuallycatchupwiththeleadingcolacompany.

28

29

30

31

32

33

GAPusedtobetheiconofhighstreetfashion,offercleanfreshlooksandwearabledesigns,creatingbrandimageofhappiness,hip,andcool,butrecentlyGAPhaslostitsway.GAPhasbecomelessandlessdesirablewithnewclothingstoressuchasHollisterandAbercrombie&Fitchbecomingmoreavailableonthehighstreet.In2010,GAPtriedtocombatprofitfailureswitharebrandtoexpressanewimage.Howeverthenewlogowasnotreceivedwellcausinganoutcryfromthepublic.CustomersandthemediafloodedtotheInternettoexpresstheirdislikeofthenewimageandattacktherebrandonsocialnetworksitessuchasFacebookandotheronlineforums.

gap

34

‘Morethan2,000commentswerepostedonthecompany’sFacebookpageontheissue,withmanydemandingthereturnofthetraditionallogo.InastatementreleasedontheGapwebsite,MarkaHansen,presidentofGapBrandNorthAmerica,saidthecompany’scustomersalwayscamefirst.“We’vebeenlisteningtoandwatchingallofthecommentsthispastweek.Weheardthemsayoverandoveragaintheyarepassionateaboutourblueboxlogo,andtheywantitback.“Sowe’vemadethedecisiontodojustthat-wewillbringitbackacrossallchannels.”Sheaddedthatitwascleartheretailer“didnotgoaboutthisintherightway”and“missedtheopportunitytoengagewiththeonlinecommunity”.“Theremaybeatimetoevolveourlogo,butifandwhenthattimecomes,we’llhandleitinadifferentway,”shesaid.(BBCNews.2010)

35

Thenewlogowasseenasajokeitlookedlazyandboring,infactsolazythatmembersoftheonlinecommunitystartedmakingparodiesofthenewlogo,‘Crap’insteadof‘Gap’,andtherewasalsoandonlinegeneratormadetomakeyourownGAPlogo,justshowinghoweasythelogowastomake.Thenewlogowasditchedjustoneweekafterit’slaunchandGAPrevertedbacktotheirexistinglogo.

36

‘Theconceptofthebrandiscentraltooursociety.Mediainterestinthesubjectsofbranding,marketingandcorporateconcernshasbeensubstantialinrecentyears,andthefortunesofglobalcompaniessuchasMicrosoftmakeforregularnewsfeatures.Thesubjectofbrandsisalsoonethatcrossesoveradiversityofinterests.Recentstudiesinsociology,anthropology,business,marketinganddesignhavechosentofocusontherelationshipbetweenbrandsandconsumerbehaviour.’(Pavitt,J.2000.P16–17)

NeuroFocusisacompanythatusesNeuroSciencetodiscoverhowpeoplereacttoadvertising,branding,productdevelopment,packagingandentertainment.TheyuseEEG(Electroencephalogram,atechniqueforstudyingtheelectricalcurrentwithinthebrain(MedicineNet.2011.))andotherNeuroSciencetoolstodiscoverhowconsumersseeabrand.TheyconductedastudytofindoutwhytheGAP’snewlogocausedsuchnegativereactionsfromthepublic.

‘TheGAP’sexperiencesimplyreinforcesthecriticalimportanceofthetwoquestionsthatbrandmarketersshouldasbeforemovingaheadwithsomethingascentralasalogoredesign.Theyare:doesthenewdesignviolateanyNeurologicalBestPractices?AnddoesthenewdesignbuildupontheexistingbrandattributesthatareidentifiedthroughtheBrandEssenceFramework?Forcompaniesseeingtoavoidcostlyanall-too-publicmistakesthatcanerodeabrandimageandbrandloyaltyandimpactpurchaseInternet,measuringconsumers’responsesatthesubconsciousvelofthebrainIthebestmeanstoensuresuccess.’

NeurologicalBestPracticesareusinginformationfromNeuroSciencetocreatedesignthatwillbebestreadbyourbrainforexample‘PlaceImagesontheleft,textontheright.Thelefthemisphereofthebrainisbetteratprocessingtextandnumbers,andtherighthemisphereisbetteratprocessingimagery.Movingimagestotheleftandtexttotherightwillmakeitmorenaturaloreasierforthebraintoprocessinformation,andwhataconsumerfindseasiertoprocessmaybeviewedasmoreappealing.’(Pohlmann,A.2011.)

BrandEssenceFrameworkis‘ABrandFrameworkisaguidethathelpseveryoneinyourcompanyunderstandtheessenceofwhoyouare,andwhatyoustandfor.’Itexplainsthebrandposition,promise,message,voiceandappearancetoensurethebrandisseeninthecorrectway.’(PointofVision.nodate.)

‘NeuroFocusconductedneurologicaltestingofGapcustomerstofindoutwhycustomersweren’tattractedbythenewlogoandwhysomeevenhadnegativereactionstoit.NeuroFocusanalyzedtheparticipatingconsumersEEG-basedbrainwaves,theireyemovement,andtheirGalvanicSkinResponse(GSR),ameasureoftheiremotions,asparticipantslookedattheoldandthenewGAPlogos.

‘NeuroFocusfoundthatthenewlogofailedtoregisterasNovelwithconsumers.Previousneuroscienceresearchshowsthatthebraincravesandseeksnovelty,sothe

37

factthatthelogodidn’tclickwiththatpartofourbrainexplainswhyitdidn’tattractourattention.’(Psychworld.2011.)

IpersonallydidnotlikethenewGAPlogo,IagreewiththeNeuroFocusstudythatweseeknoveltyandbecauseGAP’soriginallogowassoiconic,thenewlogomadethecompanyunrecognisable.Ialsofeelthatthelogo,inmyopinion,lookedlazy,itlookedasifithadbeendonequicklyonaMicrosoftWordWordArt.ItstillhadtheblueboxthatGAPisknownfor,butbecauseitwasattheendofthename,itlookedasifithadbeenplacedtherelastminute.Ialsofeelthatthetypefaceused,Helvetica,wastoobasicforsuchaniconicbrandimage,andoverallfeltthenewlogomadethewholebrandlookcheaperthanitis.

‘Howmanytimeshaveweheardahighprofilerebrandmetwithapublicoutcry?The‘wispaeffect’hasseenthepublicclaimownershipoftheGAPbrand,raisedawarenessofitslongliveaestheticandencouragescolumniststotickletheirkeyboards.WhatotherPRstuntoradcampaigncouldhavetriggersthesameresponse?Inmyview,Gap’srecentaboutturnshouldn’tbewrittenoffasafailure.Afterall,assalesgoup,theclientsgothappier.’(Azurdia,D.2010.P11.)

Thiscouldshowanothersideoftheargument,thateventhoughtheactualrebrandedGAPlogowasafailure,itbroughtGAPbackintothepubliceye,acompanythat

althoughisnotfailing,isperhapslesspopularthanitwasafewyearsago.ThepublicoutcrytowardsthenewlogomeantGAPwasbackinthemedia,andastheysayallpublicityisgoodpublicity.ItmadeconsumerslookatGAPagain;ahighstreetstorethattheyhadperhapsoverlookedrecentlyandthesalesafterthelogorecallhadrisen.

‘Afteranembarrassinglogomishap,Gapiscomingbackstrong,mainlythroughaggressiveglobalexpansion,averyactivepresenceinsocialmedia,strongerengagementwithconsumers,andcelebrityendorsement.Asof2011,Gapreportsstoresin29countries,includingrecentarrivalsinAsiaandplannedexpansionintoAfrica.GaphasmadeitsfutureplansreadilyavailablethroughGapInc.’sGlobalRunwayreport,projectinginternationalandonlinegrowthinto2014.Evenwithsuchloftygoals,Gaphasbeenconsistentwithitsbrandtouchpoints–adcampaigns,stores,anditswebsiteareallcleanandsimpleasGaphasalwaysbeen.’(Interbrand.2011.P39)

Doesthismeanthatcompaniesthathavereceivedflaggingsalesrecentlyshouldlookintopublicitystuntssuchasthistorevivetheirimage,insteadofspendingmoneyonrebrandingtheycoulduseacontroversialstunttogainmediacoverage,butwouldtheystillbeabletokeeptheirexistingimageandvalues?OrshouldbrandlooktorefreshtheirimagewhenthetimeisrightandwithlotofcustomerresearchtomakesuretheycanavoidfailuressuchasGAP?

38

conclusion

FrommyresearchIhavefoundthatrebrandingcanbeextremelyeffectivewhendoneintherightway.Therearemanydifferentfactors,whichcontributetoeitherthesuccessoffailureofarebrand.

‘Anorganizationcanonly‘walkthetalk’whenitsmanagersdeliberatelyshapeitsinternalrealitytoalignwithitsbrandpromise…(thebrand’s)valuesmustbeinternalizedbytheorganization,shapingitsinstinctiveattitudes,behaviors,priorities,etc’(Mitchell,A.1995.P25–42.)

Whendecidingtorebrandacompanyneedstomakesurethattheyarerebrandingatthecorrecttime.ForexamplethefailedrebrandofThePostOfficegroupwas,inpart,duetothefactthattheyhadexistingissueswithinthecompany,theslumpinprofitsandjoblosses,thatwasdamagingtheirbrandimageandtheyhadnotaddressedtheseissues.Thereforethenewbrandimagewasassociatedwiththefailuresofthemasacompanyandresultedinthelossofrespectfromthepublic.IfThePostOfficegrouphadfirstaddressedtheissueswithinthecompany,therebrandmaynothavebeenasmuchasafailure.Althoughthedeclineofthecompanywasonlyonereasontotherebrandfailure,thenewimagefailedtoconnectwiththepublicandfailedtocommunicatetheexistingbrandvaluesthatalonghistoryofcustomerloyaltyhadenforced.Thenewbranddestroyedthestronglinkthattheyhadwiththeircustomers,theirheritageandtheirimageofagreatBritishinstitution.

“Agreatbrandtapsintoemotions.Emotionsdrivemost,ifnotall,ofourdecisions.Abrandreachesoutwithapowerfulconnectingexperience.It’sanemotionalconnectingpointthattranscendstheproduct.”(Bedbury,S.2006.P139.)

39

forsomemonthsafterthechange,thestrapline‘ThenewnameforMarathon’wasprintedbelowtheSnickerstrademark,andanotherstrapline‘Allthat’schangedisthename’printedonthepackagingalongthesideofthebar.Alsotheoverall‘lookandfeel’ofthebeforeandafterpackagingwasverysimilar.Marsslightlyincreasedit’sadvertisingforthebrandandmadeitapriorityforthesalesforcesellingtoretailers.Theresultwasthat,farfromlosingsales,thebrandactuallyincreaseditsmarketshare.ChangingthebrandnamefromMarathontoSnickershadnosignificanteffectonconsumers’perceptionsofthebrand:intheirmindsitstillexist,underanewname.’(Pavitt,J.2000.P87.)

ThisexampleofMarschangingthenameofMarathontoSnickersenforcesmyopinionthatconsumerscanacceptthenameofthebrandchangingaslongastheexistingbrandvaluesarestillcommunicated.Marswantedtounifytheirproductssothattheywerethesamenameglobally;theymanagedtodothiswithoutalienatingtheirexistingcustomerbaseintheUK.ThepackagingforMarathonandSnickerswereverysimilar,andtheproductwasstillthesamewhichbothhelpedtocreateaneasypassagewhenchangingnames,butitisthestrongbrandvaluesthatexistedwithinthecustomersmindsthatmeantthechangeofnamedidnotaffecttheloveoftheproduct.

AhugepartofthesuccessoftherebrandofthecompaniesIhavelookedatisbecausetheyhaveconstantlykepttheirbrandvaluesthesameandclear.Changingalogodoesnothavetomeanchangingthewholebrandbutcansometimesmeanthepublicseethebrandinadifferentway,thiscanbegoodandthiscanbebad.VirginMedia,ITVandMarks&Spenceralleitherimprovedonexistingvaluesthatdidnotworkaswellorstrivedtomaketheirexistingvaluesmoreknowtothepublic.Thismeantthatwhentherebrandwaslaunchedconsumersdidnotfeelalienatedfromtoomuchchange.Alittlechangecanbegood,butabigchangecanreallydistortthepublicimageofabrand.Ifacompanyhasexistinggreatbrandvaluestheyshouldsticktothemthiswillkeepthepublichappyastheyfeeltheyaredealingwiththesamegreatcompanyitjusthasanewimagelikemarswithsnickersandmarathon.Overallthewayinwhichacompanycommunicatesitsbrandvaluesiskeytothesuccessorfailureoftherebrand.Rebrandingcanreallyworkaslongasthecompanykeepsinmindthewayinwhichthepublicwillseethem,theyneedtonotonlytakeintoaccountrandomcustomerresearchbutseethebrandasawholeasseenbythewholeoftheircustomerbase.Thecompanyneedstounderstandwhatexistingbrandvaluesthathaveworkedwellinthepastandtheneitherpushthesevaluesmoreintothepubliceyeorimproveonexistingvaluesthathavenotworkedaswell.

‘Thestrongerthedialog,thestrongerthebrand;theweakerthedialog,theweakerthebrand.’(Webber,L.2009.P99.)

ThroughthesuccessesofITV,VirginMediaandMarks&Spencer,itshowsthatrebrandingisextremelyeffectiveinrefreshingacompany’simageandattractingmorecustomerstodrivesale.Ifthecompanyhascleareffectivebrandvaluesandcommunicatesthemtotheirtargetmarkettherebrandwillbehighlyeffectiveandsuccessful.

Asstatedearlier‘inmyview,Gap’srecentaboutturnshouldn’tbewrittenoffasafailure.Afterall,assalesgoup,theclientsgothappier.’(Azurdia,D.2010.P11.),allpublicityisgoodpublicitythereisanargumentthatGAP’srebrandwasinfactapublicitystunt.IdofindthishardtobelieveIthinkGAPdidinfactwanttorefreshtheirbrandimagehoweverwentaboutthisthewrongway,iftheyhadinfactspentmoretimeonthelogo,makingsureitstillhadstronglinkswithitsexistingiconiclogo,therebrandmayhavebeenmoresuccess.GAP’sfailedrebrandcreatedalotofpublicityforthemandputthembackintothemedia(evenifitwasfornegativereasons)anddidinfactincreasesalesduetobeinginthepubliceyeagain,whenithadbecomequiteaforgottenandmundanehighstreetstore.GAPfailedrebrandwasnotanissueofintroducingitatthewrongtime,howeverthenewbrandimagejustwasnotgoodenoughinatimewhenpeopleareveryawareofbrandingandalsoveryawareofhowagoodlogoshouldlook.Consumersarenowveryopinionated,especiallyduetotheInternetgivingthemthefreedomtoexpresstheirfeelingsinapublicway.ThewayinwhichGAPlistenedtothepublic’sopinionandrevertedbacktotheexistinglogo,didhelpthemgainrespectfromconsumersagain,becauseitshowedthatGAPisawareoftheircustomers,andiftheircustomersarenothappy,theywillchangetomakethemselvesbetter.

Althoughthereisevidencethatrebrandingcanbeaterribleideaandineffectiveforanumberofreasons,therearealsorebrandsthathaveshonethroughandbeenextremelysuccessful.Thisisduetothebrandskeepingaclearandconstantbrandvalues.Thesuccessisduetothecompanyknowingwhattheywanttocommunicatetotheircustomersandexecutingitbeautifully.VirginmediadidhavehelpfromtheirexistingbrandimagebutchosetousethattotheiradvantagekeepingtheirbrandvaluesofVirginMediathesameastheexistingvaluesofotherVirgincompanies,quality,modernandinnovative.

‘I’veneverbeenparticularlygoodatnumbers,butIthinI’vedoneareasonablejobwithfeelings.AndI’mconvincethatitisfeelings–andfeelingsalone–thataccountforthesuccessoftheVirginBrandinallofitsmyriadforms.’(Branson,R.2011.)

Marks&Spencermadeagreatsuccessstoryofrebrandingduetothefactthattheymanagedtomoderniseandattractayoungeraudiencewhilestillkeepingtheirexistingbrandvalues,sonottoalienatetheirregularloyalcustomers,theykeptqualityandheritageasavaluebutalsomadethemselvesmodernandfashionableagain.CreatinganimprovedpublicimageandmakingmoremediacoverageandpublicawarenessbyusingTwiggyandothermodelsfortheirclothingcampaignsandalsocausingsomecontroversywiththeirM&Sfoodadverts,whichwerequitesexy.Sexyisn’tawordyouwouldhaveusedtodescribeMarks&Spencer,butsexsells,andMarks&Spencermadeitworkforthem.

‘Alessextremeexampleoccurredinthelate1980swhenMarsstartedapolicyofstandardizingonalimitedportfolioofglobalbrandnames.Inspring1990thewellestablishedMarathontrademarkwasdroppedandreplacedbytheglobalSnickerstrademarkintheUK(atthattimealmostunknownthere.Beforethechange,thestrapline‘InternationallyknownasSnickers’wasprintedinsmallertypebelowtheMarathontrademark.Again,

40

byCiaraFarrell