MUMBAI: Bank of Baroda has done it two years back. Canara Bank did it last year. And now Union Bank of India has also gone ahead and effected a brand repositioning.
The bank joins the bandwagon of public sector banks and financial institutions, who are re-branding to “stay ahead of times” and win more customers before more foreign banks come tapping at the doors.
The logo of Union Bank, which till now sported a bright red and white hue, will now comprise two ‘Us’ in red and blue, interspersed.
M V Nair, chairman and managing director of the bank, said blue denotes commitment to service and red reflects the passion that the bank brings to its work. “Both the colours reflect the way we want Union Bank to be perceived by our customers,” he said.
The re-branding was executed by Water, the newly-launched strategic design consultancy of advertising agency Mudra.
Union Bank will spend about Rs 10-12 crore in communicating the re-branding, primarily through out-of-home advertising. Further, it has allocated Rs 75 crore in the current fiscal for advertising in print and electronic media.
One of the triggers for the change in the brand identity was the feedback from a consumer survey conducted by Mudra, wherein it was learnt that Union Bank was relatively lesser known in areas of advancement in its product offerings, pricing and technology. To ensure that the rebranding is not just a cosmetic change, the bank also roped in Boston Consulting Group 18 months ago. It made recommendations for transformation in HR practices, banking processes, diversification and accelerating global presence.
Nair said it was important for the bank to re-brand as perception mattered. “By 2009-12, we want our customers to perceive us as the best bank in the country. We plan to internally measure customer perception and we will hire an external agency to do it,” he said.
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