Rebranding has risks, but also opportunities
There are brand names that have become the epitome of an entire product category. On the German market, for example, paper handkerchiefs are called Tempo and adhesive tapes are simply called Tesa after the famous Hamburg brand. The brand name plays an important role in purchasing decisions, because ultimately it should indicate trust and credibility. Developing a good brand name is therefore enormously important. And sometimes it even changes.
A famous example is Amazon. At the beginning of the company in 1995, the name Cadabra was planned, derived from the magic formula Abracadabra. But the word part Cadabra sounded too much like Cadaver to Jeff Bezos. Therefore, the name was abandoned. The result of the naming process is well known. In the end, the new company was named after the largest river in the world: Amazon – from today’s perspective, a fitting association for the world’s largest online marketplace.
Why is the brand name so significant?
In the modern jungle of products and services, it is difficult for consumers to find their way around. Thereby a brand promise that is kept can establish trust with the buyer and bind him to the brand. A brand can also have an identity-forming effect if buyers can project the attributes onto themselves. Or it may be seen as a prestige object with which the owner can adorn himself. If the brand name does not work, in the worst case it can result in brand death. Therefore, it is important that the name stands out from the crowd. A bold manoeuvre is to change a brand name. But sometimes this step must be taken.
Here are some examples:
Dänisches Bettenlager becomes Jysk
The furnishing group from Denmark has been known in Germany as “Dänisches Bettenlager” for over 37 years. But what began as a bedding store has continued to evolve into a furniture and home furnishing store. The brand name is limiting in this case and the original Scandinavian name Jysk is now used in all countries.
Kleiderkreisel and Mamikreisel become Vinted
When two brands become one, it usually brings some changes for customers. But the name merger of the two platforms Kleiderkreisel and Mamikreisel to Vinted was successfully implemented and for the customers themselves hardly anything has changed – except the name.
Kinderhilfswerk Dritte Welt becomes Kinderhilfswerk Eine Welt
In 1975, the year the German NGO Kinderhilfswerk Dritte Welt (Children Charity Organization Third World) was founded, the term Third World was common and did not have negative connotations. Today, on the other hand, the One World aspect is emphasized more strongly. And development aid has now become development cooperation. In such a case, the NGO benefits from the name change to Kinderhilfswerk Eine Welt (Children Charity Organization One World), which was carried out in 2021, as it underlines the modern understanding of a non-divisible one world, which is to be preserved and on which fair conditions for all people should prevail.
Raider becomes Twix
Aus Raider wird Twix – sonst ändert sich nix (Raider becomes Twix – nothing else changes) is a successful example of how the name change of a famous chocolate bar can be brought to consumers. Since the bar was only known as Raider in the European region, the name Twix was introduced in all countries for global standardization.
Premiere becomes Sky
A name change can also be accompanied by a complete rebranding. The pay TV channel Premiere is an example of this. With the renaming to Sky, new program packages and price models were created and the marketing of the channel was modernized.
The launch of a new brand name needs good timing and a convincing naming and communication strategy. Inform your employees and business partners early and regularly. The best way to reach customers is with transparent press work and by posting proper content to social media channels.