Change is Good – As Long as Customers Still Know Who You Are
Earlier this week, I heard the YMCA is changing its logo and its “everyday name” to “the Y,” because that’s how most people refer to the youth-focused non-profit. According to Mamie Moore, national spokeswoman for YMCA of the USA, “What we’re doing is calling ourselves ‘the Y’ because that’s what everybody calls us. But YMCA is still our legal name.”
YMCA, of course, is already short for Young M
en’s Christian Association, and some media speculate the organization is trying to remove the “Christian” reference from its acronym. However, the Y contends that it put two years of research into the name change and new logo, and that they are really just trying to connect with a hip young audience that does not understand what the Y’s mission is. (I’m a little confused how shortening the name to ‘the Y’ helps explain that mission any better or differently than ‘YMCA’ did, and even more confused because both the old and new logo emphasized the letter Y and both have a proportionately smaller “YMCA” as part of the mark.)
The Y is not the first well-known entity to shorten its name to shed old perceptions or connect with new customers. In 1991, Kentucky Fried Chicken changed its name and simplified its logo to KFC. At that time, KFC management was trying to make itself a chain of the 1990s, introducing healthier menu items, enforcing stricter operating standards, and ultimately rebranding the company that Colonel Harlan Sanders first franchised in 1952. KFC not only resonated with customers who already referred to it by its initials, but also allowed the company to drop the emphasis on “fried.”
A few years later, Federal Express officially became FedEx, and not just because that’s what most people already called it; FedEx also spent several years researching the name change and creating the new logo. Key issues identified through research showed that Federal Express sounded too similar to a growing field of global competitors. Also, the word “Federal” – originally chosen to convey an official and reliable alternative to the U.S. Postal Service – had become associated with government bureaucracy in the minds of consumers. The new logo, which had to reinforce the company’s goal of being “big and bold but friendly and accessible” had an added bonus: While spelling out ‘Federal Express’ only allowed for 58-inch letters on the side of a delivery truck, the letters spelling FedEx now stand six feet tall on most trucks.
Each of these high-profile name changes were backed by months or years of research, hundreds of thousands of dollars in media and PR, and an overall broad awareness by consumers of what these companies already provided. But also this week, I read about a small local company – currently known as The Cupcakery – that is changing its name to The Cup later this month.
According to the news article, the multi-location cupcake bakery, started in 2007 in St. Louis, is changing its name to avoid confusion with other cupcakeries opening across the nation. (The news release didn’t specify, but I’m guessing they are referring to cupcake franchises such as Cupcake Station and Original Cupcake.) But I can’t help wondering if they are inviting a whole new source of confusion; to me, their new name says nothing of cupcakes and says everything about being a coffeehouse. (It also doesn’t help that The Cupcakery’s Flavor of the Week is Mocha Cappucino.)
The new logo does include a cupcake with some swirly icing, but the new illustration is not nearly as “cupcake-y” as the previous logo with the clearly-fluted brown baking cup below the generous green icing.
Even though I’m in St. Louis, I’m not familiar with The Cupcakery, so I don’t know if they conducted research to show that this name and logo change resonate with their target demographics. (I hope they did.) I also have no idea if they are really changing their name to avoid confusion with other companies, or if perhaps they are being forced to change it because they did not trademark it and someone else did. I hope I’m wrong about this, but from the outside looking in, it seems like a case of making a change that will avoid one problem yet create many others.
Changing a name, logo or packaging is one of the most exciting and stressful things a company can do. When is the right time to change a brand, and how do you know if the change is a good one? Consumer research can point you in the right direction, but you also have to look at what you’re changing and ask yourself: Am I making it better, or am I just making it different?
But at least one emerging St. Louis company is not only making a mark in the Midwest. They are getting national (and international) press for a proprietary technology that even Ozzy Osbourne is interested in.


