Short answer

When considering a brand's future, a strategic rebranding initiative can be a powerful lever for enhancing its market value and overall success.

Field
Innovation & Markets
Source
Journal of Business & Retail Management Research (2019)
Method
Quantitative research using survey data.
Sample
372 participants
Evidence
Strong effect

Implementing a well-executed corporate rebranding strategy can significantly enhance a company's brand equity and ultimately improve its financial performance. This innovation & markets research insight is drawn from a 2019 study published in Journal of Business & Retail Management Research. Using Quantitative research using survey data. with 372 participants, researchers explored how this design variable affects real-world outcomes. The key design takeaway: When considering a brand's future, a strategic rebranding initiative can be a powerful lever for enhancing its market value and overall success.

Study
Innovation & MarketsHigh ImpactStrong effect

Strategic Rebranding Elevates Brand Equity and Firm Performance

Implementing a well-executed corporate rebranding strategy can significantly enhance a company's brand equity and ultimately improve its financial performance.

Journal of Business & Retail Management Research · 2019

01

Key Findings

  • 01Rebranding has a positive impact on brand equity.
  • 02Brand equity positively influences firm performance.
  • 03Rebranding is a strategic tool for companies to succeed in competitive markets.
02

Application

Design takeaway

When considering a brand's future, a strategic rebranding initiative can be a powerful lever for enhancing its market value and overall success.

How to apply

Before launching a new product or entering a new market, evaluate if a rebranding strategy could better align the brand with target audience expectations and competitive pressures.

Project actions

  • 01When researching rebranding, consider both the visual and strategic aspects.
  • 02Think about how to measure 'brand equity' and 'firm performance' in your own design project.
03

Method & Evidence

AimTo investigate the influence of rebranding on brand equity and firm performance.
MethodQuantitative research using survey data.
ProcedureData was collected from 372 respondents via anonymously completed questionnaires. Measurement scales for rebranding, store layout, franchising, brand equity, perceived quality, brand associations and attributes, customer experience, and firm performance were operationalized based on previous research and adapted to the study's context. Responses were recorded on a five-point Likert scale.
Sample372 participants
ContextCorporate strategy and market positioning

Variables

IVRebranding
DVBrand equity, Firm performance
CVStore layout, Franchising, Customer experience
04

Strengths & Limitations

Strengths

  • +Empirical testing of hypotheses.
  • +Use of established measurement scales.

Limitations

The effectiveness of rebranding can vary greatly depending on the execution and the specific market conditions.

Reliability & validity

The study's reliability is supported by the use of established scales. Validity is addressed through the adaptation of scales to the research context and the empirical testing of hypotheses.

Think critically

To what extent does the success of a rebranding effort depend on the initial brand's equity, and are there diminishing returns to rebranding?

05

Design Principles

"Adaptability and strategic repositioning are crucial for sustained market relevance and performance."

In today's dynamic marketplace, brands must adapt to evolving consumer preferences and competitive landscapes. Rebranding offers a powerful mechanism to refresh a brand's image, strengthen its market position, and drive business success.

06

What This Means for Your Design

Changing a brand's look and feel (rebranding) can make people like it more (brand equity) and help the company make more money (firm performance).

How to use in your project

  • 1.Reference this study when discussing the strategic importance of brand identity and its link to business objectives in your design project.
07

Add to My Project

08

Quick Cite

Paragraph starter

Research indicates that strategic corporate rebranding can significantly enhance brand equity and, consequently, firm performance, suggesting that design interventions aimed at repositioning a brand are critical for market success in competitive environments.

09

Source

Journal of Business & Retail Management Research

The impact of corporate rebranding on brand equity and firm performance

journal · 2019

View source

Questions About This Research

What does the research say about strategic rebranding elevates brand equity and firm performance?
When considering a brand's future, a strategic rebranding initiative can be a powerful lever for enhancing its market value and overall success. Evidence: Journal of Business & Retail Management Research (2019).
Why does "Strategic Rebranding Elevates Brand Equity and Firm Performance" matter for design?
In today's dynamic marketplace, brands must adapt to evolving consumer preferences and competitive landscapes. Rebranding offers a powerful mechanism to refresh a brand's image, strengthen its market position, and drive business success.
How can designers apply this research?
When considering a brand's future, a strategic rebranding initiative can be a powerful lever for enhancing its market value and overall success.
What were the main findings?
Rebranding has a positive impact on brand equity.. Brand equity positively influences firm performance.. Rebranding is a strategic tool for companies to succeed in competitive markets.
What research method was used?
Quantitative research using survey data. with 372 participants.
How strong is the evidence?
Evidence strength is rated Strong effect, based on a 2019 journal from Journal of Business & Retail Management Research.
What should I do differently in my next project?
Before launching a new product or entering a new market, evaluate if a rebranding strategy could better align the brand with target audience expectations and competitive pressures.
What are the limitations?
The study's findings may be specific to the context and industry from which the data was collected. The reliance on self-reported data through Likert scales can introduce potential biases.