Apple and Meta Platforms are both famous big-tech companies that have undergone rebranding to adapt to changes and become more relevant to customers. Recently, the South Korean mobile financial service platform Toss jumped on the bandwagon of rebranding, unveiling its new three-dimensional (3D) logo on September 5. Toss also revealed short films and infographics of its rebranding story, reflecting on its past performance and setting goals for its future production. The new 3D logo carries the meaning of “New Dimension,” which symbolizes its willingness to break the stereotype of having two-dimensional (2D) logos and continues to introduce new levels of service to users.

In the world of fast-changing trends, rebranding is no longer viewed as optional. Even already successful companies voluntarily decide to rebrand; they aim to redevelop their brand image and tactics to gain sustainability. As the word suggests, to rebrand means to change the corporate image and values of a company. In terms of business marketing, rebranding is a strategy of giving a new name, symbol, or change in design to an already-established brand. Companies also reorganize to adapt to environmental changes and society’s new demands. For example, the impact of the coronavirus disease (COVID-19) has encouraged companies to change their overall management system and marketing strategies to overcome current difficulties and adopt a new outlook on their future production.

Why Rebrand?

In this fast-paced society, companies are often faced with dilemmas about whether to rebrand and when to do so. As mentioned in an article by Forbes, a good time to rebrand is when a company hopes to break into new markets, regain uniqueness, and remain competitive in the market. Dunkin’, a prime example of a business that rebranded itself to become more relevant to consumers, illustrates the different aspects of what influences a brand to undergo rebranding. As a well-known donut franchise, they rolled out a change in the brand name from “Dunkin’ Donuts” to just “Dunkin’” in 2019 to expand their field of business. As competition within the food industry increased, Dunkin’ aimed to increase speed and convenience to modernize customers’ experience by shifting their focus from food to beverages.

These tendencies of rebranding are not only observed overseas, but are also present in South Korea. According to The Korea Economic Daily, Korean oil refineries are gradually renaming their brands by removing words such as oil and chemical from their names to support carbon neutrality, and it was announced last year that two of the four major Korean oil refineries, Hyundai Oilbank and S-Oil Corporation, are following suit.

Furthermore, companies are also renaming themselves to reach a wider pool of international customers. This can be seen from how Kia Motors removed jadongcha from its name, which corresponds to Motors in English, according to Korea JoongAng Daily. Two chemical giants in Korea were also reported to have renamed themselves in September, both removing jonghap hwahak, meaning synthetic chemistry, from their names. Formerly known as SK Global Chemical and Hanhwa General Chemical, they had been renamed as SK Geo Centric and Hanhwa Impact respectively. In hopes of going global, many companies are undergoing expensive and meticulous procedures of changing their names to being English-based and dropping the use of Hangeul.

The capital of South Korea is also no exception to the trend of rebranding, as the Seoul Metropolitan Government plans to change up the city’s slogan by 2023. The current message, “I Seoul U,” was put in place in 2015 when it won more than half the votes in a public naming contest, successfully replacing “Hi Seoul” and its corresponding sub-slogan “Soul of Asia.” As the main purpose of having a city tagline is to boost tourism and foreign investment, the government plans to provide a more original and authentic expression of Seoul that truly epitomizes the soul of the city.

The Key to Success

Rebranding is one of the most important and time-consuming decisions a company can make, as it requires huge investments for substantiating the grounds for the decision. As mentioned in Entrepreneur, an entrepreneurship and business management magazine, one critical step for a successful rebranding is training employees to see the relevance of rebranding tactics the company is adopting. Businesses should first decide on the training required for each department to prepare employees for the responsibilities and future requirements of the position and schedule it according to the timing of rebranding.

Launching internally, which means engaging employees effectively and involving them in the early stages of rebranding, is also important to provide enough time for employees to adjust to changes and provide feedback. Companies should ensure that their consumers are not confused by or even led to misinterpret new practices gained through rebranding. Therefore, it is crucial to clearly communicate the reason for rebranding to loyal customers. According to Forbes, employee support for the company’s new brand image can lead to a smoother transition. As employees naturally become brand ambassadors, customers will support the company’s efforts with good reasoning provided.

Another article in Forbes mentioned how planning and executing an effective strategy can help to reduce risks that may come along with rebranding. Businesses may encounter unforeseen circumstances, which can be most likely resolved with proper risk management. Plans should include identifying the risks associated with rebranding, practicing, and delivering the news to customers and stakeholders, as well as preparing answers on how to face criticism and negative feedback from customers with appropriate language to convince them to change their minds.

Rebranding is a massive investment for any company to undertake. It may be a daunting and costly process, but it can also efficiently give businesses new life. A successful rebranding depends on various factors, and it requires the company to weigh out the pros and cons and make decisions that will benefit them in the long run. In this rapidly changing society, companies cannot afford to stagnate. Hence, they can step closer to having a larger pool of customers by rebranding, as it can simultaneously attract new customers and strengthen existing relationships, effectively acting as a cherry on top for many aspiring businesses.