Navigating the Perils of Rebranding: A Deep Dive into Brands that Stumbled

Poorly crafted rebrands are an avoidable occurrence. Let’s take a step back and find out what makes a rebrand bad or ineffective.

Introduction

Before we jump into it, I want to say this is the most fun I have had creating a blog post for Squared Away. Bad rebrands are a train wreck, you just can't look away!

Throughout this feature, we will review different components of rebranding that Fortune 500 companies have missed the mark on. These will include Twitter (or X, I'm not really even sure anymore), [HBO] Max, and the very short-lived GAP fiasco.

Let's review three rebrands that sunk and how their stumbles apply to your business.

X: Destroying all the Good of a Brand While Leaving the Bad

We miss this app. (Source: Squarespace)

Twitter is one of the most used social media networks in the world with 556M users worldwide. Tweeting is even defined in the Merriam-Webster dictionary!

When Elon Musk unveiled the X logo, which really belongs as a tech startup brand and not a $44B company, consumers quickly asked, "Why?"

And that is the right question to ask BEFORE you rebrand: "Why?"

Now, I will give points to Elon and his team for one thing; they are changing Twitter a lot, adding new features every day as they build a platform around content creators, and they wanted to show the world that these changes will continue—that Twitter will no longer be the Twitter we were used to.

A rebrand is the best way to signify that a company is changing. However, based on what Musk has done so far and what he continues to do, "X" has removed much if not all of the brand equity Twitter enjoyed before it went private. The rebrand explains nothing of their goals, direction, or anything else save for what their CEO tweeted (posted?) at the time.

More likely than not, X will recapture its brand equity as new features roll out, but the timing and method of the rebrand left much to be desired.

Takeaways from X's Blunder

Before you decide to rebrand ask yourself "Why? Does this new brand better signify our company, mission, future, and direction?" If the answer is no, then it is not the right brand for you. Secondly, if you have a brand that is so deeply ingrained into your community, do not throw it away! We have seen countless rebrands that have changed their logos, websites, fonts, and product design without diminishing their brand reputation. See Google, Sprite, Doritos, and Gatorade for more examples.

Max: Undifferentiating Your Brand and Quality

(Source: Squarespace)

HBO throughout the 2000s, 2010s, and even the 2020s was synonymous with quality and exclusivity in television. Game of Thrones, The Sopranos, Sex and the City, and Euphoria were immediate cult-classic original series whose success has only been met by a few of Netflix's originals like Stranger Things and Orange is the New Black.

Again, let's give credit where it's due. HBO Max was a platform that was more than just HBO original content, there were tens of thousands of hours of content waiting to be consumed! The Max team felt the "HBO" aspect was hindering their ability to penetrate new markets as it put them in a box; "Come here to watch GoT and the new season of Euphoria!".

This case has similarities to Twitter, however, what it doesn't do is completely eliminate the brand. Instead, they filed the intricacies of the brand down to a bland, husk that blends into the oversaturated market. The blue is unimaginative, the font is bland, and the name falls right in line with Netflix, Hulu, Amazon Prime Video, Peacock, Disney+, and so many others. HBO Max once stood out in the crowd with its strong brand that distinguished itself above the rest in quality and in its unique purple color.

Takeaways from Max Dropping More than Just HBO

Don't go too far in your rebrand and don't do it at all if you don't have to! The Max team was on the right track when they felt they were in a box by being an HBO property. However, allocating these rebrand funds to the advertising, PR, and marketing departments could have taken them out of the box too. They just wouldn't have taken so much good from the brand alongside them.

Also, never take away your differentiators and opt for a vanilla approach. You are different than your competitors, show your customers that! They don't want another bland product or service, they want the best one. Show you are the best.

GAP: Not Understanding Your Brand

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(Source: Squarespace)

Once upon a time, GAP decided to launch a new logo in a $100M attempt to make the brand "modern, sexy, and cool". That was October 6th, 2010.

Now, what was good about this rebrand? Two good things really stand out to me. First, GAP was on a decline and wanted to make a change to reignite a spark of interest in their clientele. And second, come October 12th, 2010, GAP admitted this was a huge failure and switched back.

Yes, GAP accepted defeat and took a loss on the estimated $100M they invested in their rebrand. Not every idea is a good one, and we all have the ability to admit that we have a bad idea, the hard part is publicly admitting it when being mocked across social media and by your competitors.

The Branding Journal has a fantastic in-depth breakdown of this colossal failure from GAP, click here to learn all about it.

Takeaways from GAP Widening the Gap Between them and their Competition

First, there's no need to panic if you are in a lull. A slow, thoughtful approach will always work out better than a hasty, frenzied one. Think before you research. Research before you plan. Plan before you act. Unfortunately, GAP skipped steps 1-3 and jumped into action, harming its reputation and customer relationship, and watching $100M sink under it all.

Also, it's never too late to accept you were wrong. There's no amount of money or mockery that puts your poor business decision to a point of no return. You can always take a step backward, admit you were wrong, and lick your wounds. Such is life and business. You win some you lose some. Don't die on that hill.

What have we Learned?

We've covered a lot, so here's a quick breakdown of it all:

1. Ask yourself why you're rebranding and if you're proposed rebrand is right for you.

2. Don't throw away the good aspects of your brand.

3. Don't rebrand for rebranding's sake.

4. Don't get rid of what separates you from your competitors.

5. Think, research, plan, and then act. Don't be hasty.

6. There's no point of no return, you can always admit you were wrong.

Now, take these insights alongside our previous Branding and Rebranding articles into your business' branding/rebranding.

Keep an eye out for a breakdown of some of our favorite Rebrands coming soon!

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