AT&T To Sunset 'Time Warner' Brand, Bests It In Consumer Credibility
AT&T, gearing up to take charge of Time Warner, reportedly plans to dump the media company’s corporate name. It’s not the first time a major brand has gone away as the result of a merger. Amoco disappeared when BP acquired the company, as did US Airways when the company merged with American Airlines. MCI took a hike when the telecommunication company was purchased by Verizon.
While the Time Warner brand likely has a stronger positioning in the entertainment and branded-content space than the AT&T brand, which is still seen as a communications brand, consolidating under a single brand makes some sense, says Ted Marzilli, CEO of YouGov’s BrandIndex. “It is more clear to consumers (and less confusing) that the range of services now provided is coming from a single company,” Marzilli says. “From a business perspective, it is less expensive to maintain a single brand. And it also a signal to all employees that AT&T is now running the show.”
AT&T To Sunset 'Time Warner' Brand, Bests It In Consumer Credibility