PRINZ Awards Case Studies ‘best of’ 2015 CORPORATE PUBLIC RELATIONS What’s in a name? – From Telecom to Spark, rebranding one of New Zealand’s best known businesses Richard Llewellyn, Andrew Pirie, Lucy Fullarton, Conor Roberts, Vicky Gray, Sam Durbin, Todd Parker, Courtney Bennett: Spark New Zealand On 21 February 2014, Telecom announced it planned to change its name to Spark New Zealand. On 8 August 2014, the change was made. One of the biggest rebrands in New Zealand’s history, it marked the culmination of a massive integrated public relations and marketing communications programme involving thousands of people and dozens of interconnected activities and initiatives. It provided a solid foundation for the new Spark New Zealand to pursue its ambition to become a winning business, inspired by customers to unleash the potential in all New Zealanders. Background Preliminary research Telecom was associated with home phones, Spot the Significant qualitative and quantitative research, including dog, and the early development of internet and mobile targeted focus groups, highlighted legacy perceptions services. Since Telecom became our name in 1987, the of the Telecom brand and reinforced the need for change. likes of fibre, video calling, smartphones, internet TV, We looked at the characteristics of successful Cloud, big data, mobility, social media and the ubiquity rebrands elsewhere. In particular, we focused on of the internet have transformed our lives. We needed telecommunications rebrands such as Orange, Sprint, to change to be more relevant to customers. O2, and BT. Closer to home, we learnt from the In late 2013, we started planning to move beyond legacy experiences of Shell rebranding to Z Energy and the brand perceptions. A new name, Spark New Zealand, ANZ merger with the National Bank. We conducted was approved in principle by the Board of Directors, desktop analysis, as well as spoke with peers. Our with a decision to unveil it at the company’s half year research identified the following seven factors as key financial results announcement on 21 February 2014. determinants of a successful rebrand: The corporate relations team conceptualised, 1. Customers determine your success orchestrated and executed a comprehensive, integrated 2. Big change occurs on multiple levels and multifaceted public relations rebrand campaign to engage with the hearts and minds of New Zealanders. 3. Staff need to feel, and be, part of the change 2 CORPORATE PUBLIC RELATIONS 4. Giving people plenty of notice about big Messages Implementation/tactics change helps draw negativity out The core key messages consistent across the The total cost of the entire rebrand was 5. Must back it up with real substance programme were: approximately $20 million. 6. Show early indicators of success » In the last 27 years our business has The best way to describe the programme is 7. Capitalise on the energy created changed dramatically to outline the key initiatives in chronological » We’re now into a whole raft of new order: Objectives technologies…cloud, data centres, 21 February 2014 – Announced our intention The business goal was to accelerate the internet TV, etc. to change name. It generated massive transformation of the company, outline » We’ve innovated with public WiFi zones, reaction, managed by stakeholder relations the enormous change that had occurred Spotify, Ultra Fibre and more. and a social media war-room. and symbolise our intent to be the leading » We’ve already changed enormously over 21 February 2014 – Announced an intention provider of digital services in New Zealand. the last 18 months. to launch a new internet TV business, Our measurable communications objectives providing an immediate proof point of our » We’ve listened to our customers, intention to move into new types of services for the period between February and August improved services and lowered our 2014 were to: prices dramatically. 21 February 2014 – Launched a multi-faceted programme called Spark Should, enabling 1. Create more than 3 new channels to » We are committed to listening and make it easier for New Zealanders to two-way conversations with customers on improving in the areas that matter what Spark ‘should start’ or ‘should stop’. engage with us, and grow the number of to customers. New Zealanders willing to do so. 28 February 2014 – Partnered with music » ‘Telecom’ is a word most New Zealanders 2. Drive significant and measurable streaming service Spotify, with a supporting associate with ‘old world’ telco PR campaign featuring NZ singers performing improvement in positive public sentiment and landlines. between the first announcement and the in Auckland centres. » ‘Spark’ is a word with life and energy that change of name. February – June 2014 – an internal links to the creativity of New Zealanders. 3. Inform at least 40 potential media communications programme including » The reality is many New Zealanders think influencers ahead of Spark Day in order customer-inspired workshops, email and Telecom is not relevant. Spark is a new start. to positively influence the tone of their intranet feedback channels, videos, and commentary. » We’re determined to deliver for our e-learning. customers and for the future of 4. Inspire positive engagement for our Mid-June 2014 – Launched www. New Zealand thousands of staff through a series of sparkiscoming.co.nz website to explain activities with a target of more than 80% » For investors: the rebrand is an important publicly what Spark New Zealand will be attendance and positive engagement. investment in our future all about. 5. Generate positive conversation about 1 July 2014 – Spark ‘launch day’ announced Spark in social channels around launch Strategy as 8 August 2014 – until then, we had only indicated the launch would be sometime in day achieving at least 100,000 views, We had a clear change game-plan: the middle of the year. likes, comments and shares. » Announce the new name in advance and 1 July 2014 – A special 27 day countdown of 6. Influence positive coverage on the start laying groundwork for change (and video interviews with employees who began transformation story achieving at least 10 also reduce the risk of a leak). positive print, radio and TV news stories at at the company in each of the 27 years » Allow customers to share their views/ Telecom was in existence. launch and in the days following. vent – given the nature of the old Telecom July 2014 – A ‘Spark Time Capsule’ featuring brand we expected a strong reaction, so the likes of Rod Drury and Sir Ray Avery and Audiences we needed to be ‘upfront and front up’ others talking about technology. There were a number of key target from day one. Mid-July 2014 – Launched new social media audiences: » Give it time to soak in – and make a real pages under the pending Spark brands to effort to listen and respond appropriately. 1. Staff – it was critical our people became begin building our new audiences and a new advocates of the change. » Acknowledge our heritage. social brand. 2. Customers – customers needed to support » Start with an internal focus, then broaden July 2014 – Staff brand immersion sessions and respond positively. externally to build awareness and support, held across NZ to deliver the key messages, 3. Influencers – influencers needed to be being conscious it’s not what we say it’s with very high engagement and message well-informed on the change. what they hear that matters. retention. 4. New Zealand public – we wanted » Underpin the change with real substance Early August 2014 – created PR stories on potential customers to consider us, to show how we are changing (rather the logistical side of the changeover, so these particularly where Telecom had been than telling how we are changing). stories (for example signage changes) didn’t weakest (under 35’s, Auckland region, » Build up anticipation for Spark Day (8 impact on Spark Day small business). August). 4 and 7 August – two key stakeholder 5. New Zealand media – both traditional » Be prepared for the worst – plan cocktail events held with briefing material and non-traditional media needed to be extensively for crisis scenarios and the provided to all attendees, supported by a well informed. inevitable logistical challenges a change targeted outreach to other potential media 6. Financial analysts – analysts needed to on this scale produces. commentators understand the investment rationale. » Pay particular emphasis on the tone 7 August – completed crisis communications of communications – to show Spark planning in the event of any technical glitches New Zealand would be a very different in the thousands of systems needing a organisation to the old Telecom. name change. » Execute relentlessly. 3 CORPORATE PUBLIC RELATIONS 8 August – a 7am rallying call to our » Spark is Coming – new external website Objective 4 people from Simon Moutter with a video developed with relevant video and written » Strong engagement in brand immersion delivered via smartphone to all our people content. The website launched in May sessions with 79% attendance and a 92% in New Zealand, Australia and the Philippines and steadily increased in visibility, peaking positive reaction. 8 August – a strong paid media push – with at 470,000 page views during Spark launch week. » Significant improvement in Organisational commercials airing on TV One, TV3 and TV2, Health Index for 2014 compared to 2013, and full-page print media ads in national » New Spark social media handles created moving from the bottom 13% of 1,300 newspapers NZ Herald, Dominion Post, the for Twitter, Facebook, Instagram, companies worldwide, to just above 50%. Press, Otago Daily Times, Waikato Times Snapchat, with strong growth in users and National Business Review. across all (further details later in this » Spark Day One digital message and video was watched by 75% of all staff. 8 August – more than 1,300 Spark award entry). The Spark is Coming intranet site Celebration Boxes delivered to staff in » New Spark.co.nz consumer website » 100 locations across New Zealand and is now the number one industry was visited 7,208 times in the weeks the Philippines, to inspire our people on website with more than 620k monthly leading up.