What's in a Name?

Quite possibly a great deal. Branding and, in particular, re-branding has become an increasingly important corporate focus as of late. It is estimated that there were over 1,000 corporate name changes in the U.S. last year - as many as 75 of which were initiated by Chicago area companies. Conversion of the well-known Marshall Field's brand into Macy's and Bank One' absorption by Chase are two notable Chicago examples.

Numerous factors are considered when making these decisions, which often include extensive market research and vast corporate resources. Ultimately, a brand name may be maintained by its new owner (as in the survival by Chicago's Dominick's grocery store chain of its 1998 acquisition by Safeway Inc. and Philip Morris' 1988 acquisition of Northfield food giant Kraft) or may be phased out in order to achieve a single, nationally-recognized brand name (as in Chase or Macy's).

With Kraft and Dominick's, the goodwill associated with the brand name was valuable enough to warrant keeping it around or might possibly have been the reason for the acquisition in the first place. However, in the Marshall Field's and Bank One examples the acquired marks are phased out entirely, thereby reducing the number of competitors as well as the costs associated with maintaining two names. Bank One is already gone while Marshall Field's is still in the process and scheduled completely disappear by September of this year.

Were these choices the right ones - and for whom? Even in hindsight, it is often difficult to assess the success of such corporate maneuvering. Would (or did) the change to Macy's, Chase, Safeway or Philip Morris (now Altria Group) affect your decision to patronize these businesses? Is your answer to one different than the others? Does where you live make a difference? Please post your comments as to what influences your decisions.