Corporate brand rejuvenation
Thesis (MBA)--Stellenbosch University, 2011.
The purpose of this study is to investigate why and when corporate brands in the retail environment rejuvenate, with the aim to determine the key components that plays a role in the corporate brand rejuvenation process. Furthermore, the study aims to investigate the impact that the brand rejuvenation has on the four components of Aaker’s brand equity model (brand loyalty, brand awareness, perceived quality and brand association). The study used Woolworths as a case study and is divided into three sections. The first section aims to study the principles and concepts of corporate brand rejuvenation. Secondly, the study aims to investigate the process of brand rejuvenation in Woolworths. The last section will investigate the impact that brand rejuvenation has on the four components of Aaker’s brand equity model (brand loyalty, brand awareness, perceived quality and brand association). A qualitative research design was selected with a single case study at Woolworths South Africa. The case study examines the thought process of the decision makers during the brand rejuvenation process and the effect that the business model had on the corporate brand rejuvenation. The study also aims to investigate if the life cycle of the brand plays a vital role in the rejuvenation process of the corporate brand. The study will go into more depth on the effect that the world recession had on the corporate brand rejuvenation process and determine whether the corporate brand rejuvenation had a positive effect on the bottom line of the business. The study found that Woolworths mostly went against the principles and theory of corporate brand rejuvenation, yet the organisation still showed good growth after the brand rejuvenation process. Furthermore, even though Woolworths did not use theory as a guideline for brand rejuvenation, the strategic decisions made within the business model had a very positive effect on the bottom line of the business. It is clear from this study that the brand strategy needs to be aligned with the business strategy. The principles of brand rejuvenation will differ from industry to industry and therefore it is recommended that theory needs to be written on corporate brand rejuvenation, specifically for the retail environment. The processes and principles of brand rejuvenation that work for a service brand such as a bank, will not necessarily work for a retail brand. The study suggests that organisations that decide to rejuvenate brands should have a strong and integrated brand strategy that is aligned with the business model of the organisation.