Do you have any examples or case studies of brands changing their names and when it has been successful vs not and more importantly, why? We are faced with a situation where we need to change one of our brand’s names and are looking for evidence and guidance of how to retain as much mental availability and distinctive assets as possible.
We would caution against changing brand name unless it is really necessary, e.g. a decision that is enforced legally. Changing brand name would affect habitual consumer purchase, as the change may influence buyers to consider competing options.
If a brand name change is truly necessary, as many distinctive assets should be retained and applied to the new name so consumers would still recognise the elements when they scan through the shelves. The business would also need to invest in widespread communication (perhaps through a combination of traditional media and digital media) to inform consumers of the change so that when potential buyers spot the new brand name, they will not think that it’s a look-alike or an imposter.
There are some recent examples:
- In Australia, “Coon” cheese was renamed “Cheer”, due to the original brand name being linked to a derogatory term — although the brand name has nothing to do with the term. The company behind the brand applied as many assets and look-and-feel into the revised brand (e.g., colour, typeface). The brand rename also was widely covered in the local news and there was a campaign on traditional media to inform the change. “Cheer” suffered a massive drop in revenue, contributing to the decision to close one of the local factories. https://www.news.com.au/lifestyle/food/eat/dairy-behind-cheer-cheese-to-close-factory-and-sack-up-to-75-workers/news-story/da61a3f73076fd02f6a8e4e2c8016be2
- “Uncle Ben’s” was rebranded as “Ben’s Original” in the US in 2021 due to a potential sensitive connotation with the original brand name. Mars retained most of the original pack designs (minus the image that is linked to the brand name). To pre-empt, Mars also put more investment into community programs and built a campaign to build awareness of the new name. There’s no publicly available data of the effect of the brand rename on sales. https://www.ragan.com/how-mars-rebranded-bens-original-with-a-focus-on-purpose-and-activism/ and https://www.usatoday.com/story/money/shopping/2021/05/12/uncle-bens-rice-name-change-bens-original-stereotype-racial-equity/5024129001/
There are other more subtle examples such as “Starbucks Coffee” into “Starbucks” or “Dunkin’ Donuts” into “Dunkin’”. When name changes are more subtle, along with the retention of the distinctive assets, there’s lower risk of effects on sales. However, with drastic re-branding, such as “Weight Watchers” into WW, “Royal Mail” into Consignia, there’s a higher risk of negative reactions from consumers – or – in the event that they are oblivious to the change, a possibility of potential buyers just not recognising the brand and purchasing competitor products instead. If the re-branding is necessary, the investment set for this should almost be considered as a brand re-launch, with the heavier-than-usual media scheduling over the initial period (e.g., six months and beyond).
A.T.
07 December 2022