A recent study by the Lubin School of Business at Pace University in New York demonstrates the business case for rebranding.

The study found a direct correlation between positive brand perceptions and increased brand equity. This resulted in perceived price above and beyond book value and earnings information.

‘Evidence of this value is supplied by recent examples of the substantive sale price of a brand even after bankruptcy and liquidation of a firm’s remaining assets’, writes Amy Zipkin, a source quoted in the study.

The sale price of a business reflects investor perceptions of the current and future earnings potential of all its assets, both tangible and intangible (Simon and Sullivan, 1993).

Investors view brand equity as ‘the capitalised value of the profits that result from associating that brand with particular products or services.’ Thus, anything that might positively change investor perceptions of brand equity will affect the businesses value due to positive perceptions of impact on future earnings.

Investors recognise the role that brand plays in a company’s ability to attract and retain customers. As investor perceptions of a company’s brand strength increase, the market reacts accordingly, adjusting perceptions of the financial valuation of the business.

As with any business investment, there should be a business case for the amount you spend. Whilst you can’t buy a Rolex for $100, not everyone needs a $20,000 watch either.

We have three approaches that provide a starting point based on the size of the business and the sale price you are looking to achieve, starting from $15,000.

With 28 years of branding businesses large and small, we can advise you on what needs to be done to realise the true value of your business and a successful sale price.

Find out more here

The greatest possible return is the successful sale of your business. You’ve spent years (often decades) building a business with your blood, sweat and tears and it’s finally time to sell and collect the reward for all your hard work, ingenuity and perseverance. But all that effort and sacrifice is for nothing if you can’t find a buyer.

Truly Deeply recently worked with a Health Services business to rebrand them as part of their preparation for sale. The process was a success with the business attracting interest from multiple parties and the sale price exceeding initial expectations. Our client, Damien; the company founder and owner explains the value of rebranding from his perspective below.

You can read a case study of this project here.

With more than 25 years of branding experience, Truly Deeply is one of the most capable and qualified, specialist branding agencies in this part of the world.

Over this time we have branded more than 1,000 different businesses across almost every conceivable category. We bring such a depth of experience that if we haven’t worked in your specific niche, you can bet we’ve worked in an adjacent one that allows us to bring fresh insights.

Most importantly, we see the world and your business through the lens of the most important market; your prospective buyers. We understand what they are looking for and how they see your brand relative to your competitors. It is this insight and experience that arms us to rebrand you to maximise this change in value perception.

You can review many of our recent branding projects here.