"Rebranding" - Sounds Fancy, But Why Should You Bother?

But at some point, you might start noticing that it’s a bit faded, the logo is cracking, and no matter how much you wash it, there's a certain... smell.

Alright, imagine this. Your brand is like that old favorite t-shirt. You’ve worn it everywhere, washed it a thousand times, and every time you pull it out of the closet, it feels like home.

But at some point, you might start noticing that it’s a bit faded, the logo is cracking, and no matter how much you wash it, there's a certain... smell.

That’s when you know it’s time to get a new one.
Brands are no different.

They too, sometimes, start to feel a bit outdated.

But rebranding isn’t just about slapping on a new logo or choosing a fancier color scheme. It’s a decision that needs a reason and a plan, or you’ll end up confusing customers and driving them away instead of attracting them.

So when should you rebrand, and how can you make sure you don’t mess it up like Audi and Jaguar?

Let’s break it down.

#1 Change in Brand Positioning

If your brand were a person, its "positioning" would be its personality. Are you the edgy rebel, the sophisticated intellectual, or the budget-friendly friend who knows all the best deals?

But as your business grows, your audience and industry shift and your brand personality sometimes needs to shift with them.

Take Audi & Jaguar

In the past couple of years, Audi and Jaguar both tried their hand at rebranding. Audi decided to flatten their iconic logo, making it look like a stripped-down version of their original.

And now, they have completely removed the rings in China.

Similarly, Jaguar opted for an updated, sleeker logo to keep up with the digital era and frankly, just copied nothing.

But both rebrands lacked a real reason behind the "personality update."

Flattening logos and going “minimalist” has been trendy, sure, but does anyone feel differently about Audi or Jaguar because of it?

Yes.

Both the iconic logos had some real vibe and feelings attached to it. Even the fact that I’m referring them to as iconic is a sign that they had a deeper sense of value and a place in my heart.

Neither company changed its actual brand positioning or value propositions. They simply made a superficial tweak, thinking it would speak to the “modern” customer.

And in the end, it feels like a desperate attempt to follow a trend rather than a well-thought-out pivot.

Now, Look at Airbnb

Back in 2014, Airbnb did a rebrand that caught everyone’s attention, mostly because people were scratching their heads and saying, “Uh, does their new logo look like…?”

Well, let’s not get into that.

The point is, Airbnb’s rebrand wasn’t just about looks; it was about positioning. 

They wanted to move from being a simple place to “rent a spare room” to a global platform for “belonging.”

They introduced the “Bélo” logo (a mix of “belonging” and “love”), making their brand more about experiences and community rather than just accommodations.

#2 Declining Sales or Market Share

When sales numbers start to look like a limbo contest (how low can you go?), it’s a good sign that something’s up.

It might be your product, your service, or, you guessed it, your brand.

When your brand identity no longer resonates with your target audience, it’s time to think about a rebrand.

But here’s where brands often mess up: they focus too much on looking good and too little on the “why.”

Jaguar’s Decline

Take Jaguar, for instance. Once a luxury icon, it lost touch with its core audience within a few weeks. While their rebrand tried to make the brand look more sleek and modern, it didn’t address Jaguar’s real problem: they weren’t giving consumers what they wanted from a high-end automobile brand.

Instead of rebranding around new core values or positioning (like focusing on electric vehicles or redefining luxury in a unique way), Jaguar put lipstick on the logo.

Not surprisingly, sales hasn’t picked up, and their market share is now a joke.

Contrast That with Airbnb’s Rebrand Success

When Airbnb rebranded, they saw immediate growth because their new identity, centered on belonging and resonated with people on a deeper level.

Their revenue and brand value shot up, and Airbnb quickly became one of the most recognized brands in travel.

The key? Their rebrand actually spoke to their audience’s desires and lifestyles.

#3 Stretching a Brand (No More Yoga for You)

Imagine you run a restaurant famous for its dosas.

Then you start adding pizzas, pastas, and—wait for it—sushi.

Now, your customers are confused. Are you the dosa guy, or are you trying to be the next fusion joint?

This is what’s known as brand stretching, and when you stretch a brand too far, it loses its unique edge.

Audi’s Identity Stretching

Audi is traditionally known for luxury, performance, and its high-end image.

But in recent years, the brand’s expansion into different types of vehicles, coupled with a rebrand that tries to appeal to everyone, feels like a bit of a stretch.

Are they targeting luxury buyers or everyone who drives?

When a brand tries to be too many things, it starts to feel like an awkward buffet rather than a gourmet meal.

Airbnb Keeps It Tight

Despite Airbnb expanding into new areas, they never veered away from their core positioning of “belonging” and “experience.”

From luxury stays to budget options, everything still falls under the same umbrella, making people feel at home anywhere in the world.

By keeping their identity consistent, Airbnb has managed to expand without stretching themselves too thin.

So, When Should You Rebrand?

  1. When Your Brand Positioning Changes: If your audience or values evolve, your brand should reflect it. A rebrand should reinforce a new direction, not just follow trends.

  2. When Sales Are Dipping and People Aren’t Vibing with You Anymore: If you’re noticing that people aren’t engaging with your brand as they used to, it might be time for a rebrand. But go deep, don’t just slap on a new logo or color. Re-evaluate your brand values and voice to see what’s missing.

  3. When Your Brand is Stretched Like a Rubber Band: When you start adding new products or services, make sure they’re still in sync with your brand’s core identity. If they aren’t, consider creating sub-brands or rethinking your expansion strategy.

The Takeaway: Make Your Rebrand Mean Something

Rebranding is like getting a haircut, it should make you look fresh and make people notice you, but it shouldn’t change who you are.

The problem with brands like Audi and Jaguar isn’t that they’re trying to look trendy; it’s that they’re putting style over substance.

On the other hand, Airbnb proves that rebranding works wonders when it reflects a deeper, strategic shift.

So, the next time you think about a rebrand, remember: you’re not just changing how you look, you’re changing how people feel about you.

And if you do it right, you might just go from that old t-shirt to a new hoodie that makes everyone sit up and take notice. (btw, you can win a stupidpreneur hoodie by referring people to the newsletter)

Until next time, keep it simple, keep it smart, and for heaven’s sake, keep it real.

P.S. The response to the new e-book launch has been fantastic. People love it!

If you haven’t grabbed it already, do it before the launch price expires.

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