Repositioning has gained a lot of popularity in business nowadays. Following large companies that have invested their financial resources in rebranding, medium and small firms are seriously talking about it. Today, many entrepreneurs are trying to "reposition" their products.
Rebranding is carried out from the packaging of the manufactured product to the company logo. Currently, such popular brands as "Coca Cola", "Pepsi Cola", "Ebay", "Apple", etc. practice this procedure. Other companies also conduct similar programs.
Inversion branded as constancy
Repositioning is a set of measures to change or update the brand. This may also apply to its components. For example, a logo and name, visual design and a holistic brand philosophy. Repositioning or rebranding (rebrending) is a term of foreign (English) origin.
This process clearly demonstrates that the company has undergone significant changes. However, the brand itselfdoes not change radically. The main trends and motives are preserved. Successful repositioning allows the company to reach a higher level of development, retain old and attract new customers.
In other words, repositioning is the process of changing the brand's status relative to the products of other companies that are competitors. Trademark rebranding is a kind of response to the inversion taking place in the market of goods and services. The process is also launched as a result of the fact that the marketing goals planned by the advertising company are not achieved. It often involves changing all the constituent parts of marketing.
Grounds for occurrence
Brand repositioning is an important and serious process that often negates all investments made earlier in the promotion of goods and services, and can lead not only to an unplanned decrease in any sales, but also harm the company's rating. Therefore, the main thing in an advertising company and marketing is to double-check the need for rebranding. In world practice, there are several reasons for repositioning a product:
- bad and unclear image;
- emergence of new perspectives;
- updating the company's program and strategy;
- image not in line with modern trends;
- expansion of the target audience;
- emergence of new competitors;
- any other unexpected circumstance.
Characteristics
Repositioning is an indispensable partbrand development, which should fit into the development of the strategy of any brand. This is a long process that completely changes the individuality of the structure. It occurs until the marketing network updates the changed product, until the new product associations of the buyers turn into sustainable trends.
The main goal of rebranding is either to re-evaluate the target audience, or to change the company's products. That's what repositioning is. The objectives of this procedure depend primarily on the purpose of the process. These include the following:
- increase brand uniqueness;
- improving customer loy alty;
- changing the target audience.
Destination
Rebranding is a multi-valued process. Even the most subtle details that affect the perception of brand buyers can have serious value. All these nuances are taken into account by manufacturing companies that are interested in promoting their goods and services. Why is repositioning necessary? This process, according to many marketers, allows in practice:
- will increase the uniqueness of the logo;
- increase the number of sales;
- ensure the expansion of the company's products to the international level;
- increase production scale;
- expand the scope of the company;
- ensure successful mergers and demergers.
Creation steps
Repositioning isupdating not only the components of the trademark, but also the brand itself. These attributes include several components: numbers, colors, words, names, slogans, sounds, abbreviations, symbols. Rebranding is carried out gradually in several stages:
- Marketing audit. The process allows you to assess the awareness of buyers about the company's products; understand the popularity of the brand; increase the loy alty of customers, select the target audience, analyze the obstacles that prevent the sale of products on the market for goods and services.
- Brand repositioning. The process of changing the main characteristics of the product and fixing them in the minds of the target audience.
- Restyling of brand attributes. The process of directly changing the logo, slogan and other brand components that characterize the company and give an idea of the new product.
- Internal and external communication. At this stage, the company presents the new product to the target audience (consumers, competitors, etc.) and communicates its main characteristics.
Main Strategies
The main objective of the repositioning program is to change the existing product concept. In this case, the established mutual understanding between the buyer and the manufacturer plays an important role, which can help to achieve high results in a short time.
There are several methods of product repositioning, which are used depending on the current situation in the market of goods and services. They show highefficiency due to professional manipulation of consumer perception and the use of modern market trends. These include the following strategies:
- product repositioning;
- image repositioning;
- hidden repositioning;
- explicit repositioning.
Benefit or harm
Specialists advise modern companies to deliberately and reasonably reposition. An analysis of recent marketing research has shown that in the absence of an important reason, intervention in an advertising campaign is more likely to harm than to benefit. Many companies change depending on the needs of the target audience and new trends.
However, this strategy does not always give positive results. Sometimes consumers perceive attempts to follow common trends as a loss of brand uniqueness and consumer convenience. However, times are changing. Technological progress does not stand still. Today, various novelties on the goods market or innovations have become relevant.
A few practical tips
Currently, many buyers perceive the repositioning of goods and services as a negative trend. The negative attitude towards rebranding arose as a result of the ignorance of the population. This process is an adaptation to changing conditions in the market for goods and services. Changes can be the smallest, but the end result is not always positive. Experts advise thisprocedure to apply in cases where the company's position has been greatly shaken and nothing else remains.
Before rebranding, it is necessary to seriously study and analyze the current situation. It is important to understand that the final results do not appear immediately, but after a certain period of time. Experts advise to preliminarily estimate the costs, as well as how much time it will take for a similar procedure for competitors or companies with similar activities. This will help to avoid panic if the results do not meet the prevailing expectations and make a reliable forecast of the future situation.
Life examples
Repositioning is about more than updating a slogan or logo. It is the search for a new offer or its improvement, which directs the target audience, reminds them of the advantages of the company and the uniqueness of the brand. Rebranding (repositioning) involves, first of all, the conformity of brand products to the requirements of modern consumers.
Today, such popular companies as "Pepsi Cola", "Johnson &Johnson", "P&G" often practice repositioning. An example of rebranding is the change in the slogan of Siberia Airlines, as well as the "new image" of Russian Railways. In the Russian advertising structure, the breakthrough of the year can be called the repositioning of the Beeline trademark in 2005.
The most radical result is the rebranding of MTS OJSC and other companies that are part ofinto the Sistema Telecom holding. The most successful event of the new century is considered to be the repositioning of the Schlitz light German beer brand. The change in the car rental company "Avis" is considered the most profitable in relation to competitors.
Product repositioning is an interconnected complex marketing tool, with the help of which a change in the consumer's emotional associations with respect to certain products is achieved. This approach affects all aspects of the advertising program, which, under favorable conditions, can greatly change the composition of the market for goods and services.
With the help of repositioning, you can not only modernize your business, but also maintain the existing one, as well as attract a new target audience. Thus, it is not only a restructuring of old images and trends, but also a new life.
