With the ever-changing consumer sentiment, taste, outlook and interest, brands may struggle to compete with new age and competitors that are more dynamic. Brand revamp thus becomes imperative to reposition a brand’s messaging and outreach which aligns with the new consumers and improves perception.

 Brand revamp also allows a brand to showcase itself as a dynamic and relevant company, giving a fresh new visual look, work culture and values to their audience. It can also help a brand to appeal to a new demographic and increase its customer base.

 Understanding Brand Loyalty

To begin with, one must understand what brand loyalty is all about. In essence, customer loyalty denotes the degree of attachment and commitment that consumers display to specific brands. This results from consistent and positive experiences consumers enjoy with brands, leading to repeat purchases.

 Significantly, brand commitment impacts consumer behaviour directly and, ultimately, facilitates the success of a brand. Loyal consumers are always inclined to choose this brand over competitors, even if similar alternatives are available. Besides translating into higher sales and increased revenues, buyer’s loyalty towards a brand builds a strong and sustainable consumer base.

 An excellent example of a brand with loyal customers is Apple. Although several smartphone options exist in the market, customers are extremely loyal to the brand, thanks to its consistently high-quality products, enjoyable user experiences and robust brand personality that resonates globally.   

 To build strong brand loyalty, one must first decode the mind-set behind this and the loyal consumer base. Consumer behaviour that influences their commitment for a brand is primarily driven by cognitive dissonance. As per this theory, people strive to retain internal consistency vis-à-vis their beliefs and outlook. Consequently, given their strong liking for certain brands, consumers will tend to find information that endorses positive perceptions while disregarding negative news. For instance, die-hard Apple users will ignore unflattering comments about the latest iPhone, instead focusing on positive reviews that reinforce their allegiance.

 Elements that Boost Loyalty

Vital elements influencing brand loyalty are trust, social identity, personalisation and habit formation, among others. Building trust is indispensable for fostering loyalty. People are generally inclined to stay loyal to brands they consider reliable and trustworthy. Trust can be built through transparency and consistent communication.

 Coming to social identity concerns the inherent desire of humans to belong or be part of specific groups. Therefore, the brands they favour are those that represent a means of identification and self-expression. Consistent messaging on this front from a legacy brand boosts customer loyalty, trust and quality assurance. Heritage brands that recognise the potential of new audiences and their outlook, as part of their brand revamp, can reposition themselves that aligns with them. Companies in these domains make sure their marketing messages highlight these aspects to reinforce brand affinity.    

 Personalisation is another key aspect of promoting brand loyalty. In the digital era, customers always expect personalised experiences customised according to their needs. Brands that deliver bespoke experiences can cultivate a sense of exclusivity, augmenting commitment. Amazon is adept at leveraging consumer data to offer personalised recommendations that enhance the shopping experiences of customers, boosting customer loyalty.       

 As for habits, these are automatic behaviours that consumers develop over time, which play a major role in influencing their behaviour. The consistent delivery and reinforcement of positive emotions via their association with brands helps companies form habits that convert into long-term customer preference. Starbucks has efficiently cracked this code by providing personalised experiences at their outlets, converting coffee lovers into diehard fans.       

 Rationale and Scenarios for Rebranding

It’s now time to focus on other aspects of rebranding. The moot point: why is a brand revamp necessary? Apart from the reasons mentioned earlier, other triggers may make rebranding the need of the hour.

 One scenario is when a company evolves with an expanded or differentiated portfolio of products or services. As a result, the logo or brand aesthetics may no longer be in tune with its offerings. On the other hand, a company may be keen to enter new markets but the old branding may seem outdated. Moreover, competitors may have copied some aspects of the brand’s features, making it difficult for prospective customers to differentiate it from rivals. Market repositioning as well as mergers and acquisitions can also necessitate rebranding.

 A brand revamp may also be essential if a public relations crisis mars the company’s reputation. A global case in point is Andersen Consulting, which was embroiled in the Enron accounting scandal. Thereafter, the company changed its name to Accenture.  Yet, rebranding does not necessarily mean a full brand overhaul. In most cases, rebranding won’t require a change in the brand name. Instead, a series of meaningful changes will help in establishing the new brand identity.

 Strategic Rebranding to Scale Operations

This brings up the importance of strategic rebranding, a process providing an opportunity to garner benefits for a company’s communication, commercial and corporate objectives. Strategic rebranding offers opportunities to:

 Modernise the brand image: Change is the only constant in the corporate world. Digital disruptions, innovations and breakthroughs are a regular occurrence. Accordingly, firms must keep evolving and repositioning themselves to retain relevance by rejuvenating the brand image and making themselves more contemporary.

 Highlight its purpose: In the climate change era, people seek brands with a purpose. By articulating this vision and realising it via the brand’s portfolio of offerings, companies can connect with customers and other stakeholders. Such a vision or purpose should be part of a common cause that transcends commercial interests.

 Drive portfolio expansion: Through strategic rebranding, companies can create a framework to drive innovation and build new products or services that facilitate a clear, consistent brand experience.

Become future-ready: At crucial junctures, brands may need to revitalise themselves and adapt to the changing markets to become future-ready. For this, companies must anticipate upcoming trends to be at the forefront of industry innovations.

These are just some of the imperatives that define successful strategic rebranding. Companies that connect the dots will be best positioned to remain on the right wavelength with consumers, thereby building long-lasting bonds with their target audience.

Authored by Anirban Banerjee, Senior Vice President & SBU Head (Batteries and Flashlights), Eveready Industries India Ltd.