BAHEEHR NVERSTES

INSTITUTE OF SOCIAL SCIENCES

Marketing Management

Case: Accenture
Rebranding a
Global Brand
Etem KAVAK
December 2012

HISTORY

In 1942
Arthur Andersen
& Co. created an
early version of
the consulting
unit when it
formed the
Administrative
Accounting
Ingroup
1913
Age of 28.
Northwestern
University
economics
professor Arthur
Andersen
founded the
accounting firm
Arthur Andersen
& Co.

In 1954
Worlds first
business
computer for
General Electric
installed,
To automate
payroll
In
the
1950s
processing
and
Arthur
Andersen
manufacturing
began
at offering
GE
consulting
services to
companies
wishing to
implement
information
systems, and
renamed the unit
the
Administrative
Services
Division

In 1977
The
Administrative
Services Division
became the
MICD
In 1970s
The
Administrative
Services Division
broadened the
scope of its
business beyond
the design and
implementation
of systems to
include the
conduct of
studies to
produce the
information
needed by
management to
direct the
activities of its
organization.

Company History

2-Arthur Young &

Company
3-Coopers &
Lybrand
4-Ernst & Whinney
(formerly Ernst &
Ernst)
5-Haskins & Sells
(merged with
European firm to
become Deloitte,
Haskins and Sells)
6-KPMG (formed by
merger of Peat
Marwick
International and
KMG Group)
In 1980
7-Price
Waterhouse
The consulting
8-Touche
Ross

business
boomed.
Research
concluded
MICDs image
among nonclients
undifferentiated
from remaind
big 8

ROADMAP

Accenture Milestones

01. January. 2001

1989
Indepe
ndentB
U form
Arthur
Anders
on

Spending $7 billion
In 2000
Andersen
Consulting License to expire
was granted Dec 31, 2000
its
independenc
e

Image Initiative
Respond to image crisis, MICD decided to
embark on an image initiative in 1987
Generate awareness
To differentiate itself in the IT services
To distance itself from its accountancy
heritage image
Selection of a new name for MICD

Providing separation from Arthur

Andersen
Benefiting from its brand equity
Clear positioning in the market space
with the consulting

Marketing in Consulting
Set a new standard for marketing a
professional services company
Marketing in a strategic sense and had the
courage to create the brand and invest in it.
Breakthrough

TV ads - New Years campaign stressed Andersen Consultings

technology expertise.

Spent approximately $5 million in

advertising during its first year.

Team of media specialists within

Andersen Consulting partnered with
Burson-Marsteller, a leading public
relations firm to influence industry
analysts.

Marketing in Consulting
Known as System Integration Consultancy,
based on research made in 1988 (5 years).

Since partners demanding proof that the

results of the advertising warranted the
expenditures.

Andersen Consulting conducted extensive

market research, focusing ;37%
1-)
2-)
3-)
4-)
5-)

Marketplace awareness
Client Satisfaction
Buyers values
6%
Advertising copy testing
Media1 monitoring

Metric Driven Performance

Annual tracking studies and regular
measures of the senior executive target
audiences perceptions of the brand.
Advertising investment was drawn directly

Developing Global Advertising

Reasoning : Between 1980s 1990s the
consulting business growth from $3 billion
to $30 billion

199
4

Globally integrated advertising program

initiated

Awards: Wall Street Journal for Top scoring

Advertising,
Business Week Award for
Excellence in Corporate Advertising
First company that used airport billboard
ads- 30 Airports worldwide

1990Results
Awaren
1993
ess
in
Total
Awaren Europe
Global
ess in
75
Awarenes USA
percent
s
From 6 increas
from 32
to 50
ed
in
3
to 79
percent
years
By
1998
market
Brand
Attributes
percent leader
-Creative and
-Managemet
and
innovative
in
technology consulting
developing
-Operational strategy
applications
consulting
-System integration
-Visionary

Arthur Andersen Conflict period

Exploring Marketplace Confusion
Arthur Andersen marketing
initiatives
Brand Confusion
Arthur Andersen Business Consulting
Two firms becoming competitors
Arthur Andersen benefitting from
brand image
Loss of brand equity
Increasing success of Andersen
Consulting
$11 billion by 2001 financial
success
Personality of the ads still relied on a
clever tone and manner
A to C rebranding
Final Split
Mid-December 1997, Andersen

Andersen Consulting versus Arthur Andersen

1994 Unaided
Awereness
Business
Strategy
Reengineering

Consulting

System
Integratio
n

Andersen
Consulting

%24

%18

%19

%10

Arthur Andersen

%27

%17

%18

%12

Organizatio
nal Change

1995 Unaided
Awareness
Business
Strategy

Organizatio
nal Change

Reengineering

Consulting

System
Integratio
n

Andersen
Consulting

%35

%32

%29

%23

Arthur Andersen

%31

%22

%25

%18

Repositioning ANDERSEN CONSULTING

Brand Equity Measurement Initiative, Andersen Consulting
November, 1999
Image

Awarenes Considerat Preferenc

s
ion
e

Average

Andersen
Consulting

6.5

10

9.1

5.8

7.9

McKinsey

7.2

8.4

9.2

6.4

7.8

IBM

5.3

4.9

3.6

1.2

3.8

Earnst&
Young

3.8

3.2

5.3

1.9

3.6

EDS

1.9

1.6

0.7

VisionInsight
Statement
and Vision
Technology
capabilities
To help our clients create
their future

Points of
Points
Differen
of Parity
ce

Rebranding and Repositioning process

August 7, 2000, the arbitration ruling -released
Andersen Consulting from any further obligation
to Arthur Andersen or Andersen Worldwide -financial, professional
The license to use the Andersen Consulting name
was to expire Dec 31,2000
Never in history had such a large scale
rebranding occurred in such a short period.
Within 147 days, the company had to unveil a
Rebranding Launch Timeline
name that was trademark in 47 countries, over
August 7Aug 11Sept Oct
Nov- Dec
Jan 1 2001
200
languages.
11
Oct
PLANNING

BRAND
DEVLOPMENT

Arbitration Name Devp.

Decision
Visual
Identity
Strategy
Devp.
Brand Line
&
Creative
Description

RESEARCH

Market Testing

EXECUTE
NAME
CHANGE

Logo

Native Speaker Dialogue

Review
Mag.
Linguistic
Analysis

Prelude
Ads

BRAND
LAUNCH

Advertising
DirectMktg.
Accenture.c
om
Media /
Analyst
Relations

Renamed. Redefined. Reborn. 01.01.01

$75 million marketing & comm budget and
additional $100 million
Brandstorming: thousands of name candidates
were generated
Native Speaker review & linguistic: 47 countries
and against 200 languages
URLs :51 names found to be available globally

Kim Petersen submission selected: Accenture, it

rhymes with adventure and an accent on
-the
Logo
written in lower case
future
-

With greater-than (>) symbol which means

pointing forward to the future
T serving to accent the world
Lower case
a to demonstrate that Accenture

Launch Efforts
INTERNAL LAUNCH
New brand and New positioning conveyed to employees :
178 offices, 47 countries, 70.000 employees, 7 million
business card.
EXTERNAL LAUNCH
Television spots , New Years Eve celebration, Accenture
branded airship, sponsorships of other major global
sporting events
High profile advertising program, over 43,000 clients
received a launch mailing which included creative
packaging to announce the new name and positioning.
External Launch Efforts: Phase Two
Advertisements were innovative and striking
Super Bowl Ad
Golf tournaments sponsorship
RESULTS AND RESEARCH
Accenture IPO and Financial Results - Accenture stock
was up almost 80 percent

Ad campaign changes and the way forward

Bringing Innovation Delivered to Life -> I am

your Idea
Global Growth
110 offices in 48 countries
$13.6 billion in 2004
Top clients
Growing market $160 billion in 2008
Competition Intensifies
IBM acquires PWC
HP IT consulting
Bearing Point and Deloitte Indian
companies TCS , WIPRO ,INFOSYS
Govt Contracts
US govt contracts awarded
Ad campaign changes again to High
Performance. Delivered

Questions

Q1. How would you

characterize Andersen
Consultings brand equity in
the late-1990s? What factors
and decisions contributed to
the building of this equity?

PRODUCT
Management Consulting Services
Points of Difference
1. Unique position compared to competitors in that the
company offered valued strategic business services and
well regarded IT solutions
2. Because clients viewed IBM as a technology
consultant and not a business strategist, Andersen
Consultings reputation for insight and vision constituted
a point of difference
3. Not afraid to advertise to promote its name, image,
and position
Most professional services chose not to advertise,
feeling it was inappropriate or unprofessional
First to advertise in airports
4. Personified as creative, driven, far-sighted and
innovative
PRICE
Points of
Parity was the market leader in four major
By 1998, Andersen
Consulting
1. Offshoot
of an accounting
unit
categories in consumer
rankings
of consulting
firms (management and
2. Proficient
in information
technology,
technology, operational
strategy,
systems systems/
integration,
business
reengineering) established points of parity with technology and strategy
firmsbillings increased by 20% annually
From 1993 to 1998,

PLACE
Advertising in print, television and airports

PROMOTION
Awareness
o Between 1990 and 1993, total global awareness was
79%
o Advertising: in 1998 had print and airport poster
advertising in 30 countries
o Hired PR firm to influence industry analysts,
publications and press
Interest
Desire
o Public Relations : Corporate sponsorships such as
o One of theWilliams
first firms
to come
toracing
the consumers
mindtitle
when
thinking
Formula
One
team sponsor,
sponsor
of
of business management
consulting World
firms Championship of Golf and
Andersen Consulting
o High share
of mind
score,
a measure
of brandDC
recognition
1998
Van Gogh
exhibit
in Washington
-Study by Harris Research: Andersen Consulting ranked first in the
following categories: share of
mind, value for money, uniqueness,
and momentum
-Industry analyst IDC found in 1997 that IBM and Andersen
Consulting had the greatest familiarity
among technology buyers
Action
o 1990s were successful, 68% of consumers considered Andersen
Consulting as a leader : Billings reached $8.2 billion in 1998

DISTRIBUTION
Offices/Locations: United States, headquartered in Chicago

Questions

Q2. Compare the

characteristics of Accentures
brand equity to those of
Andersen Consulting. Do you
think the rebranding and
repositioning of the company
successfully transferred the
equity from the old name to
the new one?

Andersen Consulting Brand

Elements

Accenture Brand Elements

Logo:
Slogan: greater
than
High
Nam Perform symbol
e
ance
of the t
Delivere of
d.
Accentu
re

Slogan:
Bridging
Lo
Na
Boundaries go:
me
to Create
Ac
the Future

Memorab
le

Meaningf
ul

Likeable

Transfera
ble

Adaptabl
e

Protecta

Memorable

Meaningful

Likeable

Transferabl
e

Adaptable

Protectable

Effectiveness:
1. The first rebranding of Andersen Consulting in 1999
prepared the company for the move to Accenture.
Accenture was able to build off of Andersen
Consultings brand image and associations and
ultimately came out the better for it: Ac rebranding
was a rehearsal of a global brand change
2. Accenture provided continuity from the name of
Andersen Consulting
o
AC, first two letters of Accenture
o
connoted accent on the future , similar to
previous create the future mission of
Andersen Consulting
o
Consultant created name, helped to reach
employee acceptance
3. Accenture also provided an understandable image of

a. Accenture came out of the rebranding process at a greater

awareness than it was as Andersen
Consulting, mostly in part to
two-phase marketing strategy a. Used creative advertising,
promotion and public relations to create brand recognition, brand
association and brand recall
-In 2001, awareness for Accenture was above or at previous
levels for Andersen
Consulting in most countries
b. Independence from Arthur Andersen finally removes any
confusion between the two entities Perfect
timing, due to EnronArthur Andersen scandal
c. Accenture positioned itself carefully among the target market
and considered global changes in the marketplace
- Accenture took advantage of these changes and offered to
assist clients to do the
same and turn them into opportunities
with Now it gets interesting advertising
campaign
5. Accenture did maintain equity globally and therefore the
rebranding was worth its $175 million price tag
a.Accenture has maintained its position in the consideration set
and actually increased equity

Questions

Q3. How much of a competitive

threat is IBM ? How should
Accenture best compete with
them.

Competing with IBM

Accenture is a management and technology consulting firm
Consulting, technology, outsourcing and alliances are its
core business
Accenture is ahead of IBM in strategic management
consulting but it lacks the technical expertise of IBM
Accenture should look to improve its technical expertise and
move ahead in managing innovation, providing clients with
creative solutions/implementing clients ideas
It should also continue partnering with its client by providing
not only consultancy but delivery and implementation
Setting incentives that realized only if specific business
targets were met should be expanded to all contracts to
provide credibility to the companys positioning of High
Performance. Delivered

Marketing Strategy
First in the industry
Building image and equity through creative advertising and
personifying the organization
Print advertisements to complement the broadcast
commercials, later presence on internet also
Flighted media schedules to create the illusion of more
ambitious advertising program
Public relations activity, influencing industry analysts,
leading industry publications and the tier one business press
Metrics to gauge the effectiveness of marketing
Target key prospects and clients where they lived & worked
Rigorous focus groups testing and customer insights
Sponsoring high performance sport events like F1 racing,
Golf etc..

Brand Personality Dimension

Tiger Woods
Brand Personality
Dimensions

Sincerity
down-toearth honest
wholesome
cheerful

Excitement
daring
spirited
imaginative
up-to-date

Competence
reliable
intelligent
successful
leader

Sophisticati
on upper
class
charming
good looking

 Tiger Woods and Accenture

Brands take personality of the celebrities who endorse them
Tiger Woods was golfs leading money winner in 2003
The campaign used the personality dimension of competence
and the related facets to assign the human characteristics of
Tiger Woods to the Accenture Brand
The world's ultimate symbol of high performance, he serves
as a metaphor for commitment to helping companies become
high-performance businesses
Tiger Woods is an effective spokesman for Accenture
1. Accentures objective of hiring Tiger as a spokesperson is to
humanly represent their High Performance Business Strategy
sectors strengths with a person with those same strengths
2. Advertisements showed Tiger in an intense competitive
situation and winning due to his high performance and
aptitude which then explained how Accenture too delivers
high performance even in the most competitive situations and
possesses capabilities, expertise and technology to aid clients
receive superior results