Can rebranding save a business?
Recently Bluesky got 1million new members as users fled X after the US election. Not that X was doing brilliantly before then. Ex-Twitter has been seeing a decline the last few years with less active users on the platform. And it seems like a rebrand was not a good call for the business. The sudden shift from an iconic brand with years of equity to a generic “X” alienated and confused loyal users. Rather than signalling growth or innovation, it felt hasty and disconnected from what made Twitter unique. The platform’s community-driven identity was replaced by ambiguity, and the rebrand has struggled to resonate with its audience.
Rebranding is often seen as a magic wand for struggling businesses—but does it really work? The answer is complicated. While some rebrands have breathed new life into floundering companies, others have failed spectacularly, highlighting that rebranding alone is never the sole solution.
👀 When it works
Old Spice is a great example to start with. In the early 2000s, the brand was seen as outdated, catering primarily to older men. But with a bold rebrand—complete with witty advertising and a fresh, youthful image—Old Spice became relevant again, capturing a younger demographic and increasing sales.
Or consider Airbnb, which shifted from a transactional platform to a brand focused on “belonging anywhere.” The rebrand included a new logo, visual identity, and messaging that tapped into the emotional experience of travel, transforming Airbnb into a global phenomenon. It was no longer all about transactions, the brand run with a deeper message that resonated with its audience.
What these examples show is that rebranding works when it’s deeply tied to a company’s mission, values, and the needs of its audience.
🔎 When and why
Rebranding works best in scenarios where a business:
Needs to shed a negative perception: A fresh start can help a company distance itself from past controversies or failures.
Is expanding or shifting focus: A rebrand can signify growth, such as targeting a new market or updating an outdated image.
Wants to stay competitive: Changing consumer expectations or new industry players can make a rebrand essential for staying relevant.
But success requires more than just a new logo or colour palette. It demands a deep understanding of the business’s identity, audience, and purpose.
💣 When it doesn’t work
Rebranding can also fail spectacularly. Take the infamous Tropicana redesign—a new packaging design in 2009 alienated loyal customers and caused a $30 million revenue drop in just weeks. The problem? Tropicana failed to consider the emotional connection customers had with its original packaging.
Or Gap’s logo redesign in 2010, which sparked public outrage and was scrapped within a week. The new logo felt arbitrary, disconnected from the brand’s legacy, and out of touch with customer expectations.
💬 So… can rebranding save a business?
The truth is, rebranding alone can’t save a business. It’s not a Band-Aid for poor products, bad customer service, or flawed business strategies. Rebranding can be a powerful tool, but it’s not a cure-all.
A successful rebrand works when it’s part of a larger plan for transformation, grounded in a clear understanding of what the business stands for and where it’s going. It’s a process that requires intention, strategy, and authenticity.
Done right, it can reinvigorate a business and deepen connections with customers. Done wrong, it can alienate audiences and erode trust. At its core, rebranding is about more than aesthetics, it’s about aligning a brand’s identity with its purpose and the people it serves.
