In a serious announcement on September 7, telecom agency Vodafone Concept rebranded itself as Vi.
From a brand new title to a brand new brand, Vodafone Concept is off to a contemporary begin with a brand new model identification.
However all it will come at a value. Specialists say that rebranding is an costly affair.
When Snapdeal in 2016 had revealed its new model identification, the corporate had spent Rs 200 crore for rebranding.
Airtel in 2010 had spent round Rs 340 crore for a brand new company identification – a brand new brand.
When Hero parted methods with Honda, it spent round Rs 175 crore in Could 2011 for a brand new model identification – Hero MotoCorp.
“New manufacturers are costly to launch. Vi shouldn’t be completely new however even changing the previous – signages, seller boards, graphics shall be a pricey affair. Plus, constructing consciousness for the brand new model in client minds shouldn’t be simple,” Sandeep Goyal, chief mentor, Indian Institute of Human Manufacturers, informed Moneycontrol.
Vodafone Concept introduced that from September 7 onwards, Vi advertisements shall be on TV and digital platforms, adopted by a excessive decibel intensive multi-media marketing campaign.
In 2000, when BP, an oil and gasoline firm, modified its brand to Helios flower, it value the corporate $211 million.
Specialists say the fee is excessive for rebranding as a result of firms need to pay for all the things. This contains value of consultants and market researchers, who check whether or not the rebranding transfer is a good suggestion. Then comes the precise implementation, which incorporates signage on buildings, change of firm letterheads, web sites and title tags.
Together with the excessive value which drains many of the advertising price range, rebranding may result in dropping present prospects as a brand new model identification could possibly be complicated.
For instance, Kencell, a telecom firm, was rebranded to Celtel in 2004 after which to Zain in 2008. Zain was acquired by Bharti Airtel and was rebranded to Airtel Kenya in 2010. Specialists say that too many modifications within the model confused customers.
One other rebranding effort that was unsuccessful was when the French telecom purchased Telkom Kenya and rebranded to Orange. This led to an enormous inhabitants in Kenya staying away from Telkom’s new model title as they confused it with a political get together. And in the end Orange Kenya was rebranded to Telkom Kenya.
Even Vodafone has seen many title modifications from Max Contact, Orange, BPL, Hutchison Essar to Vodafone.
However Goyal factors out that in case of Vodafone Concept, a brand new model title ought to have come after the 2 firms merged at a company degree.
“Vodafone was an urbane, subtle world model. Concept was extra about rustic intelligence and native humour. When these two numerous entities got here collectively, a unified new persona was a problem. That problem remained sort of unresolved for 2-Three years. Now the brand new model is a chance to create a typical new identification, but additionally outline the persona of this new avatar,” added Goyal.
First Printed on Sep 8, 2020 10:47 pm