A rebrand can have a major impact on the organisation and its business results. This is why rebranding is first and foremost a strategic decision, not a creative choice based only on creative sentiment. A business case helps you to make the right decisions for the right reasons and is an excellent tool to pitch your plans to your most important stakeholders: the Board or management of your organisation.
What is my brand worth?
One of the first questions that arises when creating a business case for a rebrand is, ‘What is my brand worth?’. This is often difficult to determine as it doesn’t only mean financial value, but also commercial value. The relevance of brand (an intangible business asset) is often underestimated, but research shows that a brand accounts for, on average, 19% of the market value of an organisation (Brand Finance, 2017). It is crucial to have a good view on how your brand value has built up over the years, especially when you are considering a rebrand exercise.
Strong brand awareness and an emotional brand preference can have a large, positive impact on business results and on internal brand value. Some employees may work for many years in your business and yet identify with a former brand. Estimate the positive impact a rebrand can have on business results. It could be an improved reputation, a more appealing digital appearance, or an elevated position when compared to your competition.
Prevent the project from running out of time or over budget
An important part of your business case is the operational impact and associated costs of a possible brand change. Both will depend on the project scope, degree of change, certain legal factors and the required speed of implementation. Unfortunately, many companies consider the possible implications too far down the line in the rebrand process. Because of this, many rebrand programmes often slip in terms of budget and planning. The costs for strategy and design are considered, but the costs for the implementation are underestimated.