M&As and Corporate Visual Identity: An Exploratory Study

Abstract

The ‘identity’ of a company, including ‘visual’ elements, is one of its most valuable assets and thus should be carefully managed. One of the most testing times for a visual identity system is when a merger or acquisition occurs. An important question that arises is what corporate visual identity (CVI) should the post-merger entity adopt? Should one of the company CVIs continue and, if so, should it be that of the acquirer or target? Or should a hybrid or completely new CVI be developed for the new entity? Company CVI practice is examined in an exploratory study of 90 mergers and acquisitions that took place over a six-year period. In 80 per cent of the cases, the CVI of the acquiring company was employed post-merger. When the target's CVI was retained this was usually for a subsidiary or major brand of the new entity. Few instances of hybrid or new CVIs were found. Case examples are provided, the findings discussed and directions for future research provided.