Company Intervention, Rebuild and Elevate Your Business (Part 8 of 8)

Visualize a better future

When asked, most business owners will admit that their companies have changed, adapted and evolved over time, to better serve their clients’ needs. These natural course corrections will often lead to entirely new products and services, yet the original corporate identity often remains in place. This old, static image can be confusing at best and costly at worst.

• Only a tiny fraction of Radio Shack’s sales comes from radios.

• Southwest Airlines flies all over the U.S.

• Burlington Coat Factory sells more than just coats (and has used a good deal of marketing budget to drive that message home)

One sure sign that you may need to rebrand is if you find yourself continually explaining what your company really does. Minnesota Mining & Manufacturing had to rebrand to 3M to accommodate their growth into other areas. Kentucky Fried Chicken rebadged to KFC, allowing them to expand their menu and avoid the negative connotations of “fried” foods.

Another way to look at the issue is to think in terms of a drag co-efficient. If your company brand is outdated, inaccurate or misleading, estimate how much more advertising it requires explaining and clarifying the message — 20%, 30%, more? And what about lost opportunity costs of potential clients who simply don’t consider your company when it comes to buying your products and services. Would most consumers know that The Company Store sells bedding, bath accessories and sleepwear?

Solution?

Make the shift from a product-identified name to a metaphor type name. For example, Apple chose to officially drop the word “Computers” from their name and expand into music. Amazon used the image of rich diversity and abundance, and their product line expanded to fit the image. Books-A-Million, a product-identified brand name, works hard to let consumers know they also sell kids toys and coffee mugs.

Another alternative when rebranding a company is to go with a key attribute name. These timeless names work well even when your products and services change. They focus on the benefit behind your company and not the goods it currently offers. Examples include Best Buy, as well Tim Hortons, TruValue, Comfort Inn, etc. By aligning with your core benefit, you can continually modify your service offerings without having to change your company name.
Re-branding your business can improve your bottom line by conveying your company’s core value and brand message. It can shift your sales team’s focus from a defensive posture (i.e. explaining common misconceptions about your company) to a more productive discussion of your key benefits and solutions.  If you find yourself limited by a product identified, or geographically-identified company name, rebranding offers the opportunity to clarify your image, while allowing room for future growth.
Where would your business be three years from now if things go really well? What will your office or store or plant look like three years from now? What will you sell? How different is it from what you’re selling today?

Some would call this dreaming. But dreaming ahead, dreaming the future is a vital part of business planning. Dream it, then focus, set the steps to make it happen. Track, follow up, and manage.

Ross Marin

President – Marin Media Group