Every company should be evaluating new mergers and acquisitions for new growth and routes to market.  We have encountered our clients having multiple products to grow faster – but Marketing is left holding the branding bag and systems bag when this occurs.  This leads to this week’s question:

 

What key factors and decision-making frameworks should a B2B SaaS company consider when evaluating the consolidation of multiple acquired global brands onto a single platform, particularly when weighing options between full brand unification versus a dual-brand strategy (enterprise/self-serve)? Please provide specific examples of successful consolidation approaches and potential pitfalls to avoid.

 

Here is a 7 step framework for this situation:

 

1. Conduct a brand equity assessment:

 

Even without existing data, you can quickly gather insights on brand strength and perception. 

 

Consider:

– Surveying customers and prospects across regions

– Analyzing website traffic, search volume, and social media engagement for each brand

– Reviewing sales win rates and deal sizes associated with different brands

– Interviewing sales teams about brand perception in their markets

 

2. Evaluate technical considerations:

– Assess the effort required to migrate customers to a single platform

– Consider any regulatory or compliance issues with consolidation

– Review contracts to understand any limitations on rebranding

 

3. Analyze market positioning:

– Map out how each brand is positioned in its market

– Identify any unique strengths or target segments for individual brands

– Consider if a single global brand can effectively serve all markets or if a two-brand strategy (enterprise/self-serve) makes more sense

 

4. Financial impact assessment:

– Project costs of rebranding and replatforming

– Estimate potential revenue impact (positive or negative) of consolidation

– Consider efficiency gains from unified marketing and sales efforts

 

5. Stakeholder input:

– Gather feedback from leadership across regions and divisions

– Consult with sales teams on potential customer reaction

– Consider employee sentiment, especially for acquired companies

 

6. Develop scenarios:

 

Create 2-3 options (e.g., single global brand, two-brand strategy, maintain status quo) and evaluate pros/cons of each.

 

7. Phased approach:

 

Consider a gradual transition, perhaps starting with back-end consolidation while maintaining separate brands initially. This allows for testing and adjustment.

Remember, the decision isn’t just about efficiency – it’s about maximizing long-term value and growth potential. A single global brand can offer simplicity and unified messaging, but may sacrifice nuanced positioning in specific markets. A two-brand strategy could allow for targeted messaging but requires more resources to maintain.

 

What other steps have you found helpful when going through an industry consolidation?