Dividends and Daimler AG set to rebrand as Mercedes-benz

Branding exercises are some of the most aspects to any company, for all companies the owners look at what the brand means to them and hopefully the rest of the world. Branding can be the greatest element of a company or it can not seem to work or need a reboot. If you are a NFL football fan, the Washington Football Team changed their nickname from Redskins to Commanders. Perhaps it will work during the season.

In an article from Reuters, Daimler AG is changing their name to Mercedes Benz Group AG to unlock shareholder value. The car maker was originally called Daimler Benz, changed its name to Mercedes and then changed to Daimler now back to Mercedes Benz.

CEO Ola Kaellenius said they have reach chance to raise the multiple.

Linking to dividend paying stocks, branding is a very important exercise and over the years everyone has seen it work and not work, even with the best paid consultants. Most people including me have worked for companies who rebranded and then went back to the old brand. It is an art, not a science, however when it works it works very well. Hopefully the companies you invest in have great brands and are not changing them anytime soon.

There are more questions than answers, till the next time – to raising questions.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s