Mindtree has announced a change in its brand identity with which it would focus more on expertise than costs.

The new brand identity would help the $400-million company get more larger-size outsourcing deals and help it achieve the billion-dollar target in the next few years.

The Bangalore-based company, which started operations in 1999 and took the help of a differently-abled person to make its logo, has this time opted for Los Angeles-based Siegel + Gale for its re-branding initiative.

Rationale for re-branding

Explaining the rationale for this branding decision, Subroto Bagchi, Chairman, Mindtree, said every 10 years an IT services company should look at re-branding exercise.

“In these challenging times, the message of outsourcing clients gaining more bottomline by adopting innovative solutions compared to cost reduction is the need of the hour,” he added. The company said it has been working on this re-branding from 2010, but did not disclose the amount it spent on this exercise. Indian software service companies have been increasingly looking at ways to re-brand and position themselves as consultancy and solutions providers rather than low-cost players. In the last few quarters, the mid-size company has grown by focussing more on existing clients and increasing revenues by cross-selling new services to them.

This strategy has convinced serial entrepreneurs like Café Coffee Day founder V. G. Siddhartha, who recently raised his stake to 21.63 per cent in the company.

Mindtree’s re-branding strategy has yet to convince analysts.

“Whether this re-branding will help them get a seat along with big guys like IBM or TCS remains to be seen,” said an analyst from a Mumbai-based brokerage house.

>venkatesh.ganesh@thehindu.co.in

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