HAL acquired Redstar Optical from Yiming Group as a strategic entry into the Chinese market in 2006. However, soon after the deal, HAL discovered the challenge of trademarking and protecting the Redstar brand. In addition to creating a market strategy to introduce the new brand to China, it realized it needed to make the case for significantly discounting the acquisition value of the brand.
Our work included an unbiased calculation of the Redstar brand value to support HAL’s further negotiation with Yiming Group in 2008. We valued the existing brand and uncovered the cost of rebranding to something easier to trademark. This helped HAL figure out the most cost-effective approach for the next phase of business expansion.
After the negotiation was settled, we refined HAL’s entry strategy for 2009. We used an analytics approach to segment its market and localize the Chinese positioning of the new brand – Grand Optical. A tagline, “Just Right for You,” was developed along with a visual identity, including a logo, POSM, and collateral materials.
Grand Optical debuted in Shanghai on Chinese National Day, 2009. The rebranded and revamped store has doubled its sales per customer and attracted a more upscale audienc