Warren Buffett once said “it takes twenty years to build a brand and five minutes to ruin it,” and he couldn’t be more right. Everything may be running smoothly at the moment, but every business suffers from a hiccup. Some are small and easy enough to bounce back from, whereas others are huge and can destroy a company. If you’re suffering from the latter, it’s essential to rebuild to gain back trust. However, it’s not as easy as putting the pieces back together again as the starting point isn’t obvious.
To help, below are four things you can do to fix the brand in the short and long-term.
Debts are spiraling out of control and there is only one option left. Not only does your accountant agree, but so do the experts from Ronal D. Weiss, P.C. Sadly, it’s time to file for bankruptcy and wipe the slate clean. Consumers are like elephants – they have long memories. So, trading under the same name is going to take a long time to regain their trust and their custom. In this case, it may be better to rebrand by coming up with a new title and logo. As there is zero negative PR, it won’t struggle to attract customers.
There is nothing worse than a corporate shell doing sneaky things and not accepting blame. Think of the impact public opinion has had on Uber in London. The company failed to disclose a huge data breach and lost their license as a result. VW was also hit hard by the emissions scandal. Where they went wrong was trying to keep it quiet. Facebook, on the other hand, has openly apologized in its new TV advert. It claims to want to be better by changing its approach to data. Whether people buy it or not, it’s easier to forgive a brand when it does the right thing.
And not in a let’s-come-up-with-a-new-marketing-plan sort of way. This is about understanding the current direction is a dead end and finding a new avenue. Have you heard of Lucozade? It’s an energy drink which is a multibillion-dollar enterprise with a market share in sports around the world. But, it didn’t use to be this way at first because it was a health drink; people drank it when they were sick. After a while, they realized this wasn’t going to work and changed the formula to suit their new niche. They rebranded and reaped the rewards.
The extent of the negativity surrounding the brand may not be apparent. There is only one way to find out how people perceive you, and that’s to ask them outright. In real life, this tactic doesn’t work because no one wants to badmouth someone else to their face. In business, you can conduct a focus group where you don’t have to be in the room. Therefore, these groups tend to get consumers to speak the truth, info you can use to bounce back.
What do you do when something’s broken? You fix it and come back stronger.