Rebranding your business can have huge implications for the business as a whole–and it’s not something to undertake lightly. A new approach to branding your business offers you the opportunity to refine your positioning so that you can better attract and engage with your ideal and most profitable prospects. But on the other hand, in doing so, you might signal a set of promises that aren’t perceived as favorably by your existing customer base. When that happens, you open the door for competition. Before deciding it’s time to move forward with a rebrand, make sure you ask yourself these important questions.
Ready to rebrand? First, consider what your customers value and the gap between their expectations and their perceptions.
Before you embark on a rebranding strategy, try to understand how your existing, as well as your prospective customers, perceive your business. How closely does your offering match up to what they value, and how relevant are your solutions to their needs? The gaps between their expectations about your category and the beliefs about your brand will help you consider the extent to which, you really need to refine your positioning. The gaps help you consider how beneficial it might be to update your messaging where your brand and content intersects with your prospective customers. The bigger the gap, the greater the need for a more definitive approach.
How much change has your category experienced?
There are some industries that have evolved somewhat unscathed by the destructive forces of technological innovation over the last couple of decades, but there aren’t many of them. The competitors that you have today, may not have existed just a few years ago. If the barriers to entry are low, it might be easy for new ones to compete for the same customers that you’re trying to win, and keep.
Consider, whether or not, your brand’s promise is as timeless as your solutions. You don’t need to rebrand because of the disruptive forces of technology. Change is a constant and your business will change as much as your customers’. Your promise, though, is quite different. If you’ve developed a robust value-proposition, then you know what the underlying reasons are for your existence. You know what problems you solve, for whom, and why you do it.
If the amount of change demands that you need to update your promise to solve the problems of an evolving marketplace, a rebrand might help you stay relevant to your customers.
How satisfied are you with your customer lifetime value?
There’s a direct link between the effectiveness of your brand and your profitability. Stronger brands are more effective at acquiring and keeping customers and you can measure that benefit, right on your bottom-line. A forward-looking metric that helps put this in perspective is customer lifetime value (CLV). There are three considerations with respect to CLV that are relevant to your positioning. 1) Are you targeting customers who are both profitable and will prefer your brand compared to others in your category? 2) Will the sum of your brand (content, messaging and visual assets) be effective at attracting and engaging the right prospects? 3) Will the promise of your brand, both resonate and delight your existing customers, such that they are less inclined to consider a competitor?
As your business struggles to achieve a satisfactory CLV, you might consider how better positioning and improving the promise of your brand experience through every touchpoint can help you protect your market against competitive forces and help you keep what you’ve fought so hard to earn.
How effective will a rebranding strategy be at attracting the talent you need to thrive?
Sometimes the measure of a company with a competitive advantage is the one that attracts the best talent. Employees, just like your customers, want to be associated with success. They want the best solutions that money can buy, or from a prospective employee’s perspective, the best value for their talent. Is your business struggling to connect with prospective employees?
Your brand should also resonate with your existing employees so that they are partners and advocates in your success. Does your brand showcase key aspects of your business culture and values to attract talent that shares the same passion and purpose as those embedded in your organization?
A refinement of your brand experience can differentiate your business from others which you competing with for the right talent to propel your business forward.
Is your business adaptive to change?
Rebranding is more than a set of corporate identity standards. A rebrand is a foundational realignment of your core values. It means keeping some aspects of your culture, aspiring to hone certain skills and values, and then letting go of others. Change requires leadership and agents within your organization who can help facilitate change. Your business can’t afford internal pushback. It’s important to ask yourself if your business can withstand the internal and external forces that will challenge the changes that a successful rebranding needs to overcome.
Rebranding has tactical requirements such as naming conventions, compliance, and it relies on consistency and disciplined execution so that it is introduced internally and externally in a way that both excited and energizes interest in your brand but doesn’t leave anyone behind that you can’t afford to leave behind.
You might have to part ways with customers or team members who can’t get on the bus.