Cost of Rebranding a Business | What is changed during rebranding?
Complete rebranding is a difficult decision for an established company. However, to preserve unique identity, to draw some marketing benefits, and for the goal of expansion, sometimes it becomes imperative for a company to rebrand. Some companies completely revamp whereas some businesses partially rebrand some elements such as logo, name, colors, website.
Cost of Rebranding a Business
Rebranding of business, especially a corporate brand is not cheap – rebranding can be very expensive. → Watch Video Tutorial below.
Weight Watchers changed its business name to WW (ww.com) in September 2018. Within three months, its market share dropped around 30% and WW also lost 300,000 of its subscribers. [RD]
The rebranding cost Heritage Malta in 2022 was over €120,000. [RD]
The cost of rebranding for the Telecom NZ to Spark was $20 million in 2014. [RD]
Soon after rebranding of Facebook to Meta, the shares of the company plunged to around 45% in February 2022 compared to those in September 2021. [RD]
The famous financial company TransferWise renamed itself to Wise in 2021. It also launched the new website domain. It purchased the domain – wise.com – in USD $2 million. This can reflect how costly can be the rebranding.
What is changed during rebranding?
It varies from brand to brand but generally following elements can increase the cost of rebranding.
Purchase of new website domain.
Designing of new company logo.
Registration cost of new trademark for changed business name.
Cost of building new website and shifting content from old website to the new one. Old website pages may require 301 redirects, for example Happify Health has implemented 301 redirects to its new Twill website.
Signage can incur a big cost.
Cost of new uniforms for staff, stationery (including the wastage of old), marketing material.
Sometimes various legal issues especially with contracting parties may arise which can add up cost.
More Resources
Check following helpful resources.
Why Companies Rebrand? Reasons behind Rebranding.
Tips for rebranding and renaming a company name.
Avoid Repeating the Mistake while Renaming a Brand | Companies that did this Mistake.
18 Inspirational Examples of Companies that Successfully Rebranded.
Reason to Choose Non-Restrictive Business Name for Rebranding.
Explore Branding ideas and tips.
