A lot in a name? Indian business bloc has a brand new game
A few months later, Oravel Stays, the parent company of hospitality startup Oyo, took a similar step and rebranded itself as ‘PRISM’, chosen through a global naming contest involving over 6,000 participants. The new name is intended to bring all businesses and brands under one roof and reflect its broader role as a global travel technology platform, according to the company.
However, the rebranding spree of Indian companies, including Zomato (now Eternal), signals something deeper.
ALSO READ: Zomato to change parent company name to Eternal; Will host Blinkit and others
In a fast-growing market like India, a legacy identity can start to feel like a “constraint” rather than an asset, N Chandramouli, CEO of brand strategy firm TRA Research, told ET Online. Rebranding, then, “becomes a signal of strategic clarity: communicating that the business is evolving, aligned with market dynamism, and proactively shaping relevance.”
Rebrand to stay relevant
Indian tycoons have aimed to breathe new life into their brands through rebranding in recent years. Grofers’ move to Blinkit, HIL Ltd’s move to BirlaNu, UrbanClap’s move to Urban Company and Oyo’s launch of PRISM mark the trend, a list that also includes Zomato’s return to Eternal. One word that dominated the opinions of experts and companies was the “relevance” of brands not only for consumers but also for investors.ALSO READ: Zomato’s parent company Eternal expands Hyperpure to food businesses large and small
Akshat Seth, MD and CEO of BirlaNu, which was rebranded from HIL Limited earlier this year, said investors are watching how brands remain relevant with consumers. Stating that for investors, a strong rebrand demonstrates a clear vision and preparation for the future, potentially increasing sentiment and valuation, he stated that in the long term, the effect is revealed in stronger customer loyalty and competitiveness in the market.
“In short, while sales and share are important, the success of a rebrand is also measured by the trust it creates among consumers, employees and investors.”
Do consumers care?
Rebranding has been a popular corporate strategy for decades. But does it change consumers’ perspectives, or do they view the name change as window dressing?
Divyansh Dawar, 27, a Zomato user since 2018, did not mind the food app’s rebranding.
“For me, Zomato renaming itself Eternal doesn’t really change the way I perceive or use the brand,” he said. A senior Software Engineer working with one of the Big Four in the country said rebranding only matters when it reflects a larger shift in the brand’s purpose, values or goals. “If the core experience and trust remains intact, the name itself is not a deciding factor for consumers.”
However, Nandini Agarwal, 22, analyst in asset management and investor relationsfeels differently about the process. “The brand name is important to me because it already creates a certain impression in my mind. When we talk about a brand, we do not just look at its quality; it is the name that represents the brand itself. So, changing the name will initially affect me, since my subconscious is still looking for the current name.”
But in the long run, he said his choice would ultimately come down to “trust and quality”.
Oyo parent PRISM, which is currently in the advanced stages of IPO filing preparations, told ET about the thought process behind the renaming and said PRISM is now the main corporate entity, while OYO remains the flagship budget consumer brand. Other sectors (technology platforms, partner solutions and enterprise products) fall under the PRISM umbrella. “This structure allows each business to operate independently but benefit from shared capabilities in technology, governance and talent. It brings sharper focus and flexibility as we scale globally,” a spokesperson for the budget hotel chain said.
Who will what?
The next three to five years will witness large-scale rebrandings in India. Seth from BirlaNu pointed out five areas where this will happen. He said that with EV adoption, mobility/automation will improve and engine-focused identities will be replaced by software-first models. “FMCG and retail will rebrand around sustainability, EPR compliance and stronger private labels. As UPI and super apps mature, banking/financial services will be revamped to signal trust, security and digital-first service.”
He added that health and healthcare technologies will be repositioned around access, privacy and digital care under the Ayushman Bharat Digital Mission. “And energy/utilities will shift identities from ‘oil and energy’ to ‘clean energy and services’ in line with ESG norms and investor reviews.”
Does it work?
While there is no direct evidence linking a company’s performance to its rebranding, industry players track their performance over time to assess the impact.
One such player is Shriram Housing Finance, currently known as Truhome Finance, and Amit Bhatia, Chief Marketing Officer, told ET Online how the new identity affects operations at the headquarters.
“The measurable results we are already observing are increased brand recall in customer conversations, greater resonance with our distribution partners, and stronger employer brand appeal.”
Over time, he said, these translate into higher customer acquisition, deeper partner engagement and positive investor sentiment as they see alignment between the brand promise and business performance.
However, Bhatia said, “Rebranding alone does not directly impact valuations.”
Over the years, there have been many unsuccessful rebranding efforts around the world. We will see what the situation will be like for India in the coming years.
