New brand thinking: Why more and more businesses are considering rebranding in 2024

Written by James Golding | Jan 8, 2024 3:15:13 PM

Gone are the days where a businesses brand is set in stone, a ticked-box on the to-do list, a footnote on the ten year plan. In this fast moving world where diverse audiences demand more, versatility is essential, and the ability to react and adapt is no longer a nice to have. Of course this isn’t news. But there is a reason why this is coming more acutely into focus.

Economists predicted a slowdown in 2023, which never quite happened. Post pandemic spending has been plentiful, in spite of rising interest rates and a host of other unwelcome factors. But even as the interest rate roller coaster slows, there are signs that consumer attitudes are taking a conservative shift – the slowdown has caught up.

With the cost-of-living crisis proving to be by far the biggest concern for 84% of businesses¹ this year, alongside tighter lending, rising energy costs and uncertain political and economic factors, the end of 2023 saw a steady decline in consumer confidence and spending in retail. Which means brands are having to work harder for their customers to part with their hard earned cash, especially for premium products and services.

In short, the spending party is over, and it’s more important than ever to have a competitive edge.

When engaging with audiences in these challenging times, many businesses are recognising that they’re not only missing a trick with their brand, but that it’s holding them back.

So why are businesses investing in branding in this challenging climate?

They understand the purpose of their brand
Your brand is not your logo, your visual identify or your product. It’s a person’s gut feeling about your organisation. In other words, it’s not what you tell them it is, it’s what they feel it is. When you are influencing that feeling and engaging with your audience effectively, it’s a powerful ambassador for your business. It’s the first weapon in your arsenal when convincing someone you’re offer is what they need, or that you can solve their problem. In a changing financial climate, it’s more important than ever for customers to feel understanding and confidence in the brands they engage with, that they trust, and that they buy.
They understand the value of their brand
Perception is everything to the consumer. The brands they buy or engage with form part of their identity, say what they represent, amplify their personality and define who they are. There’s a reason Apple put a big upside down logo on the lid of their laptops – when Apple customers open their machines in an airport or a café, it tells everyone around them that they’re no a corporate mainstream tech user. Coca cola’s brand value is huge, because it’s customers aren’t just buying sugar water, they’re buying the brand.

We are tribal beings, and we make decisions that align with the tribe we feel we belong to. So when purse strings get tightened, only the brands that truly represent and fit with their tribe will succeed. If your visual identity doesn’t speak to your customer in a way that inspires them, it’s very hard to convince them of anything.
They recognise that customers are looking for reasons not to spend
Businesses make promises to their customers, through their brands. But as with any promise, if it doesn’t feel like it’s quite right, if something doesn’t quite sit well with them, it’s much harder to believe. Imagine a brilliant car salesman selling a brilliant car at a fair price. He’s told you what you wanted to hear, everything is great. But he’s wearing a garish suit with scruffy hair and crocodile skin shoes. No matter how open minded you consider yourself, it doesn’t take long to question his integrity and walk away. But if you’re right for them and everything’s perfect, they’ll want to believe, and purchase. Getting your brand communications right is a key factor in those moments.
They have identified a behavioural change in their markets
As markets shift and consumer preferences evolve, there is a point when your brand is no longer perceived by your audience in the same way. It loses relevance, it loses impact, and it loses the ability to communicate as effectively. Your brand may be focussing on solving a problem for your audience, that is no longer their biggest problem. It might be that your audience is actually diversifying, or changing in some way. A rebrand can help you connect with a broader or different demographic, ensuring your message is both relatable and appealing to the right people.
They understand the risks of doing nothing
Some businesses have a culture of inaction when it comes to their brand and visual identity. That’s could be down to a fear of change. It could be a bit of analysis paralysis. Or maybe they just don’t see the value in it. But more often is an outdated belief that consistency conquers relevance and effectiveness. Of course an element of consistency is key in branding, after all the origin of the word brand is a device for recognition. But the businesses that will survive the economic slowdown are the ones who aren’t afraid to reinvent themselves. Premium car manufacturers Jaguar Land Rover and Rolls Royce are a great example of brands that have shifted well established historically successful brands to cater for a modern market. A market which now contains footballers, youtubers, rappers and other young successful individuals means their brand cannot rest on it’s laurels.

For other brands the shift is more subtle shift, modernising to relate to aesthetic trends and expectations to avoid appearing dated...

In modern fast-paced markets, staying ahead of the competition is essential. If your competitors have undergone successful rebrands, it might be a sign that your brand needs a rethink or a facelift to remain competitive.

As more brands look to gain a competitive edge in 2024 and beyond, injecting some fresh thinking into the brand is a tool at the disposal of most businesses. A well-executed rebrand that talks to the current audience in a relevant engaging way can breathe new life into your business, fostering positive perceptions among customers, stakeholders, and employees alike. However, it's crucial to approach the process with careful consideration and a clear strategy. By recognising the signs that indicate a need for rebranding, you put your business in a strong position to succeed in these challenging times.

Here at Zap we have the expertise and knowledge to help with every aspect of a re-brand, and can do so efficiently and effectively. Feel free to get in touch and arrange a consultation with one of our experts.

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