{"id":17310,"date":"2025-02-24T11:43:58","date_gmt":"2025-02-24T10:43:58","guid":{"rendered":"https:\/\/www.sortlist.com\/blog\/?p=17310"},"modified":"2025-02-26T18:52:17","modified_gmt":"2025-02-26T17:52:17","slug":"rebranding-guide-resistance","status":"publish","type":"post","link":"https:\/\/www.sortlist.com\/blog\/rebranding-guide-resistance\/","title":{"rendered":"The Rebranding Guide: Why is there resistance from companies?"},"content":{"rendered":"\n

In our first issue of the Rebranding Guide<\/a>, we looked at the signs that show your company may need a rebrand.<\/p>\n\n\n\n

But even when confronted with those signs\u2026 why do so many companies resist change?<\/p>\n\n\n\n

In this second part of our Rebranding Guide, we dive into the barriers that hold companies back from a rebranding and what a rebranding, in practice, looks like. All backed by data from Sortlist and interviews from branding agencies Rload Studio<\/a>, CRU Brand Consultancy<\/a>, and Designlaboratory<\/a>.<\/p>\n\n\n\n

These agencies have worked on 500 branding projects since 2020, accumulating more than 20 marketing and design awards along the way.<\/p>\n\n\n\n

Our data shows that 60% of businesses requesting rebranding projects specifically look for visual updates <\/strong>to their company, 20% specifically look for positioning<\/strong>, and the other 20% look for localization <\/strong>or updates after a merger<\/strong>.<\/p>\n\n\n\n

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As we\u2019ve mentioned before, this means that a rebrand is a strategic decision, and the risks can feel overwhelming. But Rome was not built in a day, and the payoff of a successful rebrand far outweighs the risks.<\/p>\n\n\n\n

Let’s explore why some companies avoid it and how others execute it successfully.<\/p>\n\n\n\n

4 roadblocks keeping companies from rebranding<\/strong><\/h2>\n\n\n\n

Attached to the past<\/h3>\n\n\n\n

Your brand is like your baby. It\u2019s normal to be protective of it.<\/p>\n\n\n\n

Emotional attachment extends to both customers and employees: it accounts for about 43%<\/a> of business value, surpassing the value derived from promoting product features, which stands at 20%.<\/p>\n\n\n\n

And internally<\/a>, an employee\u2019s engagement to the brand could affect the outcome of a rebrand.<\/p>\n\n\n\n

The idea of altering or abandoning a familiar logo, name, or overall brand image can feel like erasing a part of the company’s legacy.<\/p>\n\n\n\n

However, overcoming the emotional attachment to your preexisting brand can pay off handsomely when done at the right moment<\/strong>. In fact, rebranding is part of keeping your customers aware of your brand, and it can\u2019t happen if you\u2019re stuck with the image that you know no longer works.<\/p>\n\n\n\n

Fear of losing loyal customers<\/h3>\n\n\n\n

An important concern always raised when discussing rebranding is that it might confuse or alienate existing customers.<\/p>\n\n\n\n

There\u2019s a case study that supports this: Aunt Jemima’s rebranding to Pearl Milling Company. Simply changing the brand name resulted in less purchases<\/a>, less brand affinity, and less brand trust overall.<\/p>\n\n\n\n

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This is why in any rebranding process, the first steps are the most significant. Brand strategy, deep audience research and comprehensive company positioning – done by professionals, reduces the risk. So finding the right rebranding partner<\/a> is essential – it\u2019s a high stakes game – but with a big payoff.<\/p>\n\n\n\n

And the same can be said for the rollout of the rebrand. By engaging customers throughout the whole process and clearly communicating the reasons for change can help maintain loyalty, and even strengthen their relationship with the brand.<\/p>\n\n\n\n

Just look at what the Co-operative Group did after partnering with London-based agency Robot Food: their rebranding strategy began with simply addressing the way people referred naturally to the Co-op Group in the UK (just \u201cCo-op\u201d).<\/p>\n\n\n\n

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That simple insight helped inform the rest of the rebranding strategy, from tone of voice, to psychology of color, to packaging.<\/p>\n\n\n\n

The result? A 15% increase in active membership and 21% increase in sales.<\/p>\n\n\n\n

\u201cWe can\u2019t afford it\u201d<\/h3>\n\n\n\n

The costs associated with rebranding are tricky to pinpoint, since they entail different parts of a brand such as market research, design, campaigns, and digital assets. Without proper guidance, it can be costly.<\/p>\n\n\n\n

On Sortlist, companies allocate an average amount of \u20ac15,000 for rebranding projects.<\/p>\n\n\n\n

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However, Boris Thuery from Designlaboratory<\/a>, a UK-based creative and narrative-driven agency, argues that clients should understand what happens when budget is prioritized.<\/p>\n\n\n\n

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\u201cIt\u2019s the same as facing the Venn diagram that puts together costs, quality, and time. You have to pick two. At designlaboratory, we make sure we never compromise on quality, so what are you left with?<\/strong><\/em>“<\/p>\n\n\n\n

–Boris Thuery<\/a>, cofounder and CEO of Designlaboratory<\/p>\n<\/blockquote>\n<\/div>\n<\/div>\n\n\n\n

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The main reason for such a tremendous gap in company budgets and actual agency prices lies in the misunderstanding<\/strong> of what a rebrand entails.<\/p>\n\n\n\n

A branding or rebranding package, including a basic website, typically needs two to three months of work, since it is not merely about the visuals.<\/p>\n\n\n\n

There is research work at an initial stage with founders and CEOs to get to know exactly who is the ideal customer for a brand and what is its personality. The results of that research inform the rest of the positioning in the market and the brand\u2019s visuals.<\/p>\n\n\n\n

Because of that, a rebrand project could range anywhere between \u20ac25,000 and \u20ac40,000<\/strong>.<\/p>\n\n\n\n

And for a startup seeking a brand and web presence to kickstart their business, the budget should be around \u20ac30,000 to \u20ac40,000, with a timeline of two to three months. This includes full brand guidelines, beyond the logo, fonts, and color palettes.<\/p>\n\n\n\n

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\u201cSome clients don’t know what a brand is; they normally think it’s only a trend or a pretty logo. Because of that, they want something quick and fast<\/strong>. So you need to make them understand why it costs that much, which is also why we are very transparent with the scope of work that explains all the steps.<\/em>“<\/p>\n\n\n\n

–Boris Thuery<\/a>, cofounder and CEO of Designlaboratory<\/p>\n<\/blockquote>\n<\/div>\n<\/div>\n\n\n\n

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The only correct way to see a rebrand is as an investment<\/strong>, since it strengthens your market position, improves your customer\u2019s perception, and done well, even increases conversion rates across all channels.<\/p>\n\n\n\n

Rebranding also aligns your messaging<\/strong> with the right audience, making marketing campaigns more effective and reducing wasted ad spend.<\/p>\n\n\n\n

When brands fail to invest properly, they often face higher long-term costs: inefficient marketing, missed opportunities, and lower customer retention.<\/p>\n\n\n\n

No time, no team<\/h3>\n\n\n\n

Many companies lack the internal resources or expertise to manage a rebranding initiative effectively.<\/p>\n\n\n\n

The process requires a complete multidisciplinary approach – that involves market analysis, creative design, strategy, and project management. Without dedicated teams or experience in these areas, the task will easily overwhelm any company.<\/p>\n\n\n\n

Bea Carballo, co-founder of Spanish creative agency Rload Studio<\/a>, summarizes the skillset in the following way:<\/p>\n\n\n\n

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\u201cSkills that are needed: knowing how to listen and how to be sensitive to the client; staying up to date with trends and having aesthetic and business culture references; remaining observant<\/strong>, analytical, and creative in equal parts.<\/em><\/em>“<\/p>\n\n\n\n

–Bea Carballo<\/a>, cofounder of Rload Studio<\/p>\n<\/blockquote>\n<\/div>\n<\/div>\n\n\n\n

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You might even need to consider testing your new messaging and design; it\u2019s crucial to ensure they resonate with the target market. This can involve focus groups, surveys, and other research methods, which require additional resources and expertise.<\/p>\n\n\n\n

The reality is that having the in-house skill sets a rebrand requires makes little sense. Even the biggest companies turn to professional branding agencies<\/a> to get their rebrand done. PayPal worked with Pentagram and Dunkin\u2019 Donuts worked with JKR to do theirs.<\/p>\n\n\n

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But branding comes in all shapes and sizes, and for a smaller company with fewer creative structures in place, working with a skilled agency can be even more beneficial.<\/p>\n\n\n\n

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Anatomy of a successful rebrand<\/strong><\/h2>\n\n\n\n

By now you\u2019ve seen that rebranding isn\u2019t just about slapping on a new logo. It’s a strategic process that involves several key stages. This is how the pros get a complete rebranding done:<\/p>\n\n\n\n

Know where you stand: discovery and audit<\/h3>\n\n\n\n

This is about assessing your current brand health, gathering customer insights, and identifying gaps.<\/p>\n\n\n\n

Expert agencies like CRU Brand Consultancy<\/a> and Rload start by conducting interviews and workshops with company leaders and founders. In the case of Designlaboratory, the results of that initial audit becomes the brief for the rebrand project.<\/p>\n\n\n\n

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\u201cWhen you have a story to translate your theoretical strategy into, then it changes so much in the company already. Even though we still need to design everything and get a visual perspective and develop all the assets, you feel like you behave differently.<\/strong><\/em><\/em>“<\/p>\n\n\n\n

–Lasse Giese<\/a>, cofounder of CRU Brand Consultancy<\/p>\n<\/blockquote>\n<\/div>\n<\/div>\n\n\n\n

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Skills needed:<\/em><\/p>\n\n\n\n