A (REBRANDED) Star Is Born!(example of Continental Savings Bank changing name to HomeStreet Bank) (Column)

• Author: Leonhardt, Ted

Last year, Continental Savings Bank, Seattle, decided to change its name to HomeStreet Bank as part of a brand enhancement effort.

The move helped boost the bank's competitiveness.

One tool that can help make your bank more successful is brand development. Brand development provides new opportunities for differentiation. And, just like any other business, banks today must differentiate themselves to remain competitive.

Yet, banks are a special breed. Their customers expect the best of both worlds: infallible stability and security, as well as innovation and new services. Understandably, the financial services industry is conservative about making brand changes, which are associated with the instability of mergers and acquisitions.

Any significant change to a brand must be executed skillfully to maintain the trust and loyalty of customers. In fact, when done right, a brand change will actually inspire customer loyalty.

An example is the recent brand change of Continental Savings Bank, founded in Seattle in 1921. The hank, which enjoyed an extremely loyal customer base, took pride in being the largest independently owned bank in the Pacific Northwest. It had stayed close to its roots, opening 30-plus branches over the years in Washington, Oregon and Hawaii.

In the 1990s, Continental found itself under siege. Megamergers and online banking were changing the face of the industry so rapidly that regional banks like Continental were faced with obsolescence. In 1998, Continental's leadership decided to tackle these new competitive challenges head-on. They recognized that to survive, Continental needed to reposition its brand. It needed a stronger brand presence in the industry, as well as stronger brand awareness among customers and employees.

The process began with a comprehensive brand audit. The audit provided the information needed for the implementation phases: brand strategy, positioning, messaging and design. Brand development can also include naming or renaming the company. This was the case with Continental Savings Bank--now HomeStreet Bank, the brand that stands as the personal banking advocate.

Brand audit

The brand audit helped Continental to identify its core values. This exercise forced the organization to evaluate its most fundamental priorities and to re-examine brand attributes it had long taken for granted.

Identifying core values provided important clues to what the Continental brand stands for, what it means to people and what makes it unique. It also provided a point of reference for the entire rebranding process, giving it a clear focus from the start.

Once an organization identifies its core values, it can begin to align itself internally with these values. This is what sustains the brand in the long term. It makes...