Perspectives · Portrait

The company is growing rapidly: signs the brand is lagging behind

Growth does not automatically pull the brand along. Sometimes it even pulls the brand further away.

Quick summary

When a business grows rapidly, the brand often struggles to keep up. The reason is that the identity system and messaging were built during a smaller phase, serving a smaller customer base. The most noticeable signs are three things: inconsistent identity across channels, vague messaging when approaching new customers, and new team members not knowing how to describe the company in a unified way. This does not fix itself over time. The longer it takes, the more costly it becomes to correct.

There is a common paradox in rapidly growing mid-sized businesses. Revenue is increasing, the team is expanding, and there are more customers. Yet the brand is still running on the identity and messaging created when the company had five or ten people. No one notices because no one has the time to pay attention. By the time they do, the gap has widened.

Falling behind does not mean the brand is bad. It means the brand is serving an outdated version of the company, while the company has moved on to a completely different stage.

Growth creates pullback

When a business is small, the brand operates through the founder. Customers trust because they believe in the leader, because they are introduced directly, and because the small scale helps everything remain consistent naturally. Messaging, tone, and presentation are all filtered through the same person or a small group.

As the company grows, that mechanism breaks down. Marketing is handled by one department. Sales have their own storytelling approach. Products launch new features on their own schedule. Recruitment posts job listings in their own style. No one is intentionally doing it wrong. But without a common system, each person will fill in the gaps in their own way.

Result: the same company looks like many different companies depending on where the customer encounters it.

85% / 30%85% of organizations have brand guidelines, but only about 30% implement them consistently in practice. Source: Marq and Demand Metric, Brand Consistency Report, 2019.
Note: The data comes from self-reported surveys of companies, not from measuring actual behavior. The rate of consistent implementation in practice may be even lower than this 30% figure.

Five specific signs to recognize

What follows is not theory. This is what actually appears when the brand does not keep pace with scale.

  • The new team cannot tell the company story. Employees who join after six months still describe the company in their own way, not according to a common framework. Not because they do not want to, but because there are no clear documents to learn from.
  • Each channel looks like a different brand. The website is serious, LinkedIn has a friendly startup vibe, and sales documents use different fonts and colors. Customers may not realize this is the same company.
  • The message no longer reaches the right new customer segment. The company has moved to a higher segment or expanded into a new industry, but the message is still written for the original customer base. New customers do not see themselves in it.
  • The identity system was created in the early stages and has not been reviewed. The logo, colors, and presentation reflect the company from three years ago, not the current company.
  • The boss has to explain "who we are" in every meeting. If the answer to "what does your company do" requires more than ten seconds of explanation, then the positioning is not doing its job.

A brand is not a logo. A brand is the perception in the hearts of customers about you.

Marty Neumeier, The Brand Gap

Why this phase is particularly dangerous

The danger is not because the brand is weak. The danger is that everything still seems to be running well.

With revenue increasing, no one feels a sense of urgency. The team is busy with products and customers. Branding is something to "do later." But this is precisely the time when all decisions about identity, messaging, and systems are being made, just without anyone doing it intentionally. They are forming by inertia.

Wally Olins, the British brand consultant, once said that a brand is not just communication but a total of four things: product, environment, communication, and behavior. When a company grows rapidly without a common system, all four of these elements start to pull in different directions.

+32 percentage pointsCompanies in the top quartile for design grow revenue 32 percentage points higher than the rest over five years, based on a survey of 300 companies. Source: McKinsey, The Business Value of Design, 2018.

What customers buy no longer matches what the company is telling.

In the early stages, customers buy because of the product and trust in the founder. In the scaling stage, customers buy because the brand represents something in their minds. This transition does not happen automatically.

There are three common scenarios: the company expands its distribution channels, reaches unfamiliar customer segments, or needs to sell at a higher price. In all three cases, the brand must work in place of personal relationships. It must stand on its own without anyone explaining.

According to Kantar BrandZ research, brands perceived by customers as meaningful and distinct can be valued up to 38% higher than competitors in the same industry. Not because the product is 38% better, but because customers are willing to pay more when they see a clear difference.

38%Customers are willing to pay a higher price for brands perceived as meaningful and distinct from competitors in the same industry. Source: Kantar BrandZ, around 2020.

What needs to be done, and in what order

First of all: not every instance of falling behind requires a complete rebrand. Sometimes the issue lies in the operational system, not in the identity.

The first practical step is to check where the gap lies. Ask five people on the team to describe the company in two sentences for a new customer. Compare the results. If you receive five different versions, the next step is to clarify the positioning and core messaging first, without needing to create a new logo.

Once positioning is clear, the new identity system has something to reflect. Doing the opposite, changing the identity before clarifying positioning, often leads to a second rework.

For businesses in the scaling phase, investing in a brand system is an operational cost. It helps the sales team tell a unified story. It prevents marketing from having to start from scratch with each campaign. And it allows the brand to function even when the founder is not present in the room.

References

Marty Neumeier, The Brand Gap (New Riders, 2003). Byron Sharp, How Brands Grow (Oxford University Press, 2010). Wally Olins, On Brand (Thames & Hudson, 2003). McKinsey & Company, The Business Value of Design (2018). Marq / Lucidpress & Demand Metric, Brand Consistency Report (2019). Adobe, State of Creative and Marketing Collaboration (2021).

Frequently asked questions

If revenue growth is good, why worry about the brand?

Good revenue during the growth phase often comes from the old network, familiar relationships, and products that are naturally attracting customers. A vague brand does not immediately hinder that phase. The problem arises when the company starts to reach new customers, open new channels, or needs to sell at a higher price. At that point, a lack of a clear brand means no leverage.

How to know if the brand is misaligned with the company's scale?

A quick test: ask five people on the team to describe the company in two sentences for a new customer they are meeting for the first time. If you receive five different versions, that is a clear sign. A brand operates well when everyone in the organization tells the same story without needing to look at documentation.

When should you address it, and when is it unnecessary?

This should be addressed when the company is preparing to scale into new channels, move upmarket, seek funding, or when new team members cannot convey the brand consistently. It is not necessary to address this if the company has not stabilized its business model or is in a negative cash flow phase. At that time, the priority is on products and customers.

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