Following its holding company’s rebranding strategy, the CTBC name will be changed to Algar Telecom in the near future. It will be a very delicate move, and the most challenging thing the company has done in recent years. “We know we cannot make this change overnight. We did some research, and the CTBC brand has very good recall and a very positive reputation,” said Divino Sebastião de Souza, executive director of Algar Telecom.
The company has invested in several initiatives to expand its portfolio and win new customers. In a recent visit to the company’s headquarter in Minas Gerais, RCR Wireless News talked with C-level executives about the carrier’s strategies and future plans.
Cristiana Heluy de Castro is responsible for communication and branding. She needs to ensure the CTBC transition to Algar Telecom occurs without serious problems. “The Algar Group is large and very diversified in its business. We have always grown keeping our core competencies as a reference, which is the way we work,” she said.
The idea to change the CTBC name was first discussed about four years ago, when the group started to rethink its brands and to unify them into one single brand “Algar.” However, CTBC is the oldest name and the most difficult to change. “We have a very strong presence in the 87 counties where we operate, and the brand has very positive coverage,” de Castro said.
The goal is to have all telecom products rebranded into Algar Telecom, but there is no specific date set for this to happen. It will depend on the public’s understanding and acceptance. Currently, only the corporate unit carries the Algar name, as well as other business units in which the holding group has a presence, such as agribusiness.
“The first phase was concluded in 2010, when we assumed CTBC as an Algar Telecom business; and we communicated that to the market,” explained de Castro. She also added that the most challenging part is not to let public think CTBC was acquired or that it is changing.
Rebranding is common for telecom operators. Recently, Telefónica Brazil rebranded all its products under the Vivo name, the carrier that was acquired by the big Spanish group. The rebranding follows a global strategy of using Telefónica as an institutional brand, while using Vivo in Brazil, O2 in most of Europe and Movistar in other Latin America countries and Spain as commercial brands. Other Latin American operators have passed through a similar process recently, such as in Colombia.