A REPORT ON
“AIRTEL RE-BRANDING”
SUBMITTED BY
MONICA PATTELA
ROLL NO: 10337
BATCH XVIII, 2010-12
DATE: 23-03-11
A REPORT ON
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“AIRTEL RE-BRANDING”
SUBMITTED BY
MONICA PATTELA
ROLL NO: 10337
DATE: 23-03-11
BATCH XVIII
Report submitted in partial fulfillment for the award of
Post Graduate Diploma in Management
VIGNANA JYOTHI INSTITUTE OF MANAGEMENT
(APPROVED BY AICTE, MINISTRY OF HRD, GOVT OF INDIA) BACHUPALLY, HYDERABAD
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Contents
ACKNOWLEDGEMENT:................................................................................................................................4
ABSTRACT:...................................................................................................................................................5
INTRODUCTION...........................................................................................................................................6
OBJECTIVE OF STUDY:..................................................................................................................................6
LIMITATIONS:..............................................................................................................................................6
SCOPE OF THE STUDY:.................................................................................................................................6
METHODOLOGY:..........................................................................................................................................6
Rebranding:.............................................................................................................................................6
Objectives of Rebranding:.......................................................................................................................7
Challenges of Rebranding:.......................................................................................................................7
Types of Rebranding:...............................................................................................................................7
Evolutionary rebranding:.....................................................................................................................8
Revolutionary rebranding:...................................................................................................................8
Extent of rebranding:...............................................................................................................................8
PartialRebrand.....................................................................................................................................8
Total Rebrand......................................................................................................................................8
Process of rebranding:.............................................................................................................................9
Rebranding Strategies:..........................................................................................................................10
Reasons for Rebranding:........................................................................................................................10
The ways of rebranding.........................................................................................................................11
DO’s and DON’T’s of rebranding............................................................................................................11
Communicating the change:..................................................................................................................12
TELECOMMUNICATION INDUSTRY:...........................................................................................................13
AIRTEL REBRANDING:................................................................................................................................13
Reason:..................................................................................................................................................16
REVIEW OF LITERATURE:...........................................................................................................................17
CONCLUSION AND SUGGESTIONS:............................................................................................................18
REFERENCES:.............................................................................................................................................19
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ACKNOWLEDGEMENT:
I hereby convey my deep acknowledgement to all those who made this course of independent
study possible for me, by extending their support and continuous co-operation.
I would like to acknowledge the consistent encouragement extended by Dr. Kamal Ghosh Ray,
Director and Dr. [Link] Prasad, Dean –Academic planning of Vignana Jyothi Institute of
Management.
I would like thank Mr. Arvind Gandhi sir for lending his support for the CIS.
I would like to thank my friend Vardhan Raju who has extended his support and helped me in
completing my project successfully.
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ABSTRACT:
This report is on the Re-branding of the Airtel company. This includes the understanding of the
concept of Re-branding, its significance, the objectives, challenges and the method. It also
consists of the types of re-branding. The strategies and reasons of re-branding are also discussed.
This report also includes the study of Re-branding of Airtel. This also throws light on the
strategy followed by it during Re-branding, the motive behind changing its logo and jingle and
also the relativity of its logo to their purpose of re-branding.
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INTRODUCTION :
This is a report which is done on the rebranding of AIRTEL company. The study includes the
new logo, the reason for rebranding, etc.
OBJECTIVE OF STUDY:
The main objectives are:
To understand the concept of re-branding.
To understand the rebranding of Airtel.
LIMITATIONS:
The source of the data is secondary.
SCOPE OF THE STUDY:
The scope of the report is limited only to the secondary data.
METHODOLOGY:
The study is carried out after understanding the concept of re-branding. It looked into the reasons
for Airtel to go for re-branding and re-positioning. The concept of re-branding is studied clearly
and then the re-branding of Airtel is considered.
Rebranding:
Rebranding can be defined as “the creation of new name, term, symbol, design or combination of
them intended to develop a new differentiated position in the mind of the customer.”
Rebranding is the process by which a service or product that was developed in one brand, or
company is marketed in a different brand name or identity. This involves essential changes in the
brands name, logo, image, advertising, and marketing strategies. It is one of the most common
ways of delaying the ageing process, which sometimes leads to overhauling the entire brand
philosophy.
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Objectives of Rebranding:
A company can rebrand for different reasons such as
To create a sound strategy supported by facts related to sales and profit.
To increase consumer loyalty
To refresh consumers
To enter new market trend and new product direction
To increase share holder value
To refresh design elements or slight naming alteration
To attain competitive differentiations
To re energize a company
Challenges of Rebranding:
“To successfully build a brand...is to communicate your key value proposition to the key
customer segment in an integrated and consistent way."
The three most common catalysts for misguided Rebranding are:
new executives trying to make their mark,
the need for instant gratification Trumping long term commitment, or
Organizational malaise/boredom.
Types of Rebranding:
Rebranding can be divided into two types:
Evolutionary
Revolutionary
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Evolutionary rebranding:
Evolutionary rebranding is where the changes are minimal and less
visible to the outside observer .In the evolutionary process, rebranding takes place in a gradual
manner such as change in the color or design of the logo, a change in the slogan or some such
minor variation
Revolutionary rebranding:
Unlike evolutionary rebranding, revolutionary rebranding is highly
visible and often results in a new brand name. In revolutionary rebranding, a total revamping of
the brand takes place which is a very costly and risky proposition. So, corporations resort to a
total rebranding only in rare cases (in case of mergers and acquisitions, almost all visible features
of the brand have to be changed to herald a new combined image and hence a revolutionary type
of rebranding results). Of course, the image value and brand equity of the individual brands,
before the mergers and acquisition, are lost in such cases. This type of brand change is not a
simple action. It has far reaching implications since it can make or mar the brand’s image and put
the company in jeopardy unless exercised with utmost care.
Extent of rebranding:
PartialRebrand
In situations when a brand has been firmly established yet is simply outdated or needs to be
refreshed due to the addition of new products or services, tweaking is required, rather than a full-
blown rebrand.
Total Rebrand
Corporate mergers will often result in complete rebrands. When organizations have failed to
establish a brand, or have been through any kind of scandal, total rebranding may also be in
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order. In these cases, the intent is to erase any previous brand identity and replace it with
completely new imagery and messaging.
Process of rebranding:
It is a complex process involving a number of steps. Neglecting some of these important
activities may result in a failure, costing a company a lot of money. Generally, the following
activities are necessary for a successful implementation of rebranding.
1. Plan Meticulously
2. Conduct a market survey and research
3. Decide whether the process is addressing the internal(employees) or external
customers of the company
4. Take the employees into confidence so that they will be committed to the success of the
process
5. Train the employees updating their information on the products/services of the company
6. Put in place a contingency plan to take care of any eventualities
7. A comprehensive communication program may be established to percolate the
information flow from the chairman to the doorman
8. Establish a monitoring system to evaluate the progress stage – by – stage .
Since the process of rebranding is not a frequent activity, external expertise may be required. If
the decision at the top brings about a new identity for the company, product/service, then a
detailed research has to be conducted to finalize the aspects of identity and design of brand. The
behavior pattern of the customer should be thoroughly studied as there can be established
perceptions of the existing brand in the market. A new visual identity has to be selected after
meticulous deliberations among all the stakeholders of the company that include the
management, the financiers, the employees, the external customers, the media and
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communication agencies and the shareholders of the company. A very transparent
communications program should be initiated throughout the organization. The internal
stakeholders, especially employees of the firm from the top to the bottom, should be taken into
confidence as they are the torchbearers of the rebranding exercise. The employees are the
mouthpiece of the organization and they act as the brand ambassadors to the external world. So,
it is vital that the employees have understood the necessity of rebranding and can deliver the new
brand to the customers. This is all the more very essential in the case of rebranding initiated by a
service provider, as almost all the employees deal with customers on a one-to-one basis. Hence,
it is of paramount importance to educate the employees well before the launch through various
training programs. During the changeover, in the transition period, proper monitoring and market
research should be initiated to study consumer behaviour/reaction. For this, the existing
distribution channels can be used along with extensive public relations, advertising and
promotion. Planning the timing of the transition/launch is as important as the execution of the
activities in the process.
The success or failure of rebranding depends on all of the above factors.
Rebranding Strategies:
Phase in / Phase out: Phase in / Phase out is where the brand is tied with a new brand in
some way for an introductory period. After the transition period, the old brand is dropped.
Combined rebranding via umbrella brand: Here, two brands are combined to form a new
brand. For example, SONY ERICSSON is the combination of two brands – SONY and
ERICSSON.
Sudden eradication strategy: In this strategy, the existing brand is changed overnight
replacing it with a new name.
Brand Migration: At times, marketers attempt to migrate existing customer from one brand to
another. This is often done in a planned manner. When HINDUSTAN LEVER (now
HINDUSTAN UNILEVER) adopted the power brand strategy.
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Reasons for Rebranding:
when they launch new businesses that are significantly different from the traditional one.
when there has been a merger/acquisition
when there has been a de-merger/spin-off
to achieve international harmonization of the brand
to rationalize the brand portfolio and concentrate the brand investment in few, bigger
names
to update the brand image. This typically entails a change to the brand identity policy
rather than a total re-branding, but this can happen too
To shed the negative image
Call Branding
The ways of rebranding
(i) The brand name
(ii) The logo, trademark, graphics, slogans or imagery
(iii) Company livery, packaging or uniforms
(iv) Advertising
DO’s and DON’T’s of rebranding
DO’S
A successful rebranding process must take care of the following:
Intensive Strategy: The Company must be ready to
spend a significant amount of money in advertising,
communications, and promotion. This will enable the
brand to get re-staged.
Gradual Restage: This can be done with a limited
overall marketing investment. This requires a low budget,
but a considerable amount of time, and should be done on a continuous basis.
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DON’TS
Non-looking through the customer's perspective: The needs and mindset of
the consumers should be properly evaluated before any changes are implemented.
Rebranding strategy of the company should be understood and accepted by the
consumers.
Lack of credibility and facelift: The reason for rebranding should be believable
and acceptable by the consumers. It must have a credibility; internally. If the employees
of the company do not believe, the ultimate consumers would not have faith in the
product either.
Inadequate branding process: A brand only becomes successful when supported
with adequate branding. To streamline business operations, and expand demographic
focuses, branding is necessary.
Intimidated by consultants: Notwithstanding consultants being hired for
rebranding, it is the owner who knows more about the brand than anyone else. The
internal point person should be checked for his skills, time and resources.
Rebranding without research: Every brand needs refreshing to stay alive in the
market. They need to be positioned and enhanced. But adopting a change without doing
proper research may prove to be disastrous.
Communicating the change:
"Rebranding is not just about putting up banners and hoardings to communicate a new brand
name. “The brand needs to deliver its new identity at every touch point." That means
employees have to ensure the brand is living up to the new promises it is making.
Don't confuse rebranding – which is a comprehensive, frequently expensive change of
strategic direction for a company - with the simple need to update your look. A simple
refresh of design elements or slight naming alteration, which may be all that is required, is
not the definition of rebranding.
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Rebranding should only be undertaken based on a proven need to alter course (e.g. new
market, new trend, new product direction). Given changing market conditions, it may even
be crucial. Rebranding should be based on sound strategy supported by facts related to sales
and profits, not driven by organizational fatigue. Ideally, everything should be changed at
once. For B2B companies, this starts with all sales tools and the website.
TELECOMMUNICATION INDUSTRY:
The telecommunications industry is responsible for radio, television, voice communications, and
broadband services. The growth and innovation of the telecom industry has enabled people to
communicate across the globe and access endless amounts of information over the internet.
World’s telecom industry is an uprising industry, proceeding towards a goal of achieving two
third of the world's telecom connections. The telecommunications industry was comprised of a
club of big national and regional operators. Over the past decade, the industry has been swept up
in rapid deregulation and innovation. In many countries around the world,
government monopolies are now privatized and they face a threat from new competitors.
INDIAN TELECOM INDUSTRY:
The India telecom market ranks among the fastest growing industries in the country.
AIRTEL REBRANDING:
About the company:
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Bharti Airtel Limited
Type : Public(BSE:532454,NSE:BHARTIARTL)
Industry: Telecommunications
Founded: 7 July 1995
Founder(s): Sunil Bharti Mittal
Headquarters: New Delhi, India
Area served: South Asian & African countries and theChannel Islands
Key people: Sunil Mittal (Chairman) and (MD)
Sanjay Kapoor (CEO)
Products: WirelessTelephoneInternetSatellite television
Revenue : 35,699.27 crore (US$8.1 billion) (2009)
Operating income: 14,589.33 crore (US$3.31 billion) (2009)
Net income: 9,426.16 crore (US$2.14 billion) (2009)
Total assets:US$ 11.853 billion (2009)
Employees: 25,543 (2009)
Parent: Bharti Enterprises(63.56%)
Website: [Link]
“Airtel", is an Indian telecommunications company that operates in 19 countries across South
Asia, Africa and the Channel Islands. It is no.1 in India and 5 th worldwide. It operates a GSM
network in all countries, providing 2G or 3G services depending upon the country of operation.
Airtel is the third largest telecom operator in the world with over 207.8 million subscribers
across 19 countries at the end of 2010. It is the largest cellular service provider in India, with
over 152.5 million subscribers at the end of 2010.
Rebranding:
Airtel New Logo
On 18 November 2010, Airtel rebranded itself. The company unveiled a new logo as it has
crossed the significant milestone of 2000 crore customers, which strengthen its global presence and
leadership.
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The new Airtel logo was designed by London-based brand agency, Brand Union. J Walter
Thompson (JWT) agency conceptualizes mega makeover campaign.
The new Logo features more curves and lighting effects compared to the old sharp-edge Airtel
logo. The new logo is suppose to give the company identity a new youthful and dynamic look,
signifying the company’s innovative advancement in the telecom industry, not only in India, but
across the Globe. The logo type is modern, vibrant and friendly and signals the resolution to be
accessible to the customers and stakeholders. And the lowercase is the recognition for humility.
The red colour, which is an integral part of the brand, continues to represent heritage, energy and
passion. The new curved and the gentle highlight almost gives the impression of a living object;
at the same time, it represents a dynamic force of unparalleled energy, brings it closer to
consumers and is a symbol which will help ensure instant recognition across diverse
international markets.
It has a new positioning statement -- Dil jo chahe pass laye and it even has a new jingle which
is made by tweaking the old one and making it more techno. Airtel the company is trying to gain
an international image -- a “new, modern, more friendly and accessible” image in the minds of
all the users in various countries.
Living Object
J Walter Thompson is the man behind this re-branding work. This new look has been particularly
designed for operations within the country and also overseas for the perfect synergy of
operations for various business ventures.
There has also been the criticism that the new logo is a combination of Videocon and Vodafone
logos. The logo will still have the red color which has been dominant.
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During the beginning of the year 2010, the communication company had acquired Zain Group of
Kuwait’s operation centers of Africa across 15 nations with a high priced cost of $10.7 billion
for the enterprise.
The declaration of launch was already made by Bharti Airtel saying that the launch will take
place in the month of October or November, 2010.
The base of Airtel already spreads across some 130 million but it only grew with the acquisition
to include Africa in the consumer ship further adding 40 million people to its network who are
active phone users.
The wireless network of Airtel spreads across nations like India, Sri Lanka, Bangladesh, Africa
and many others too which sum up to 19 in total. The logo will have swoosh and the name
Airtel.
Reason:
This is mainly because of its business expansion strategy. The company went Global and it has
acquired different telecom services across the globe like Zain telecom of Africa and Warid
telecom of Bangladesh. It is an overnight execution so this falls under sudden eradication
strategy.
CONCLUSION AND SUGGESTIONS:
The company has gone for re-branding with the intention to become global since it has
acquired different telecom services of mainly Africa. In the above process it has gone for a
change in its logo, jingle, etc. which was done overnight. The ads also depict the international
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models now which otherwise were much connected to the Indians initially. There is also
criticism and difference of opinions raised among the Indians about the change of logo which
finds similarity with other existing service providers The company should have done much done
much survey regarding the change of logo et al. It should have informed the public regarding this
re-branding a little earlier than doing it overnight.
REFERENCES:
Marketing Management by Philip Kotler, A south Asian perspective, 13th edition
A research paper by Mr. Vikas Surani
A report on Airtel by Mr. Aravind Shankar
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Re-branding by Revamping logo design by Lonard Math
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