AT&T Leaves No Cingular Unturned As iPhone Launch Approaches

Over the weekend, AT&T kicked off a new accelerated phase of branding by replacing the Cingular brand with AT&T on all in-store signage, store kiosks, and point-of-sale materials in approximately 1,800 company-owned wireless retail stores. In addition, key stores in major markets also unveiled new exterior signage displaying the new brand.

The store makeovers are critical to prepare for the late-June launch of the Apple iPhone, for which AT&T will be the exclusive wireless provider in the USA.

Over the past several months, the new AT&T brand campaign has had a notable marketplace impact. Consumers and businesses worldwide consider AT&T as a leading communications brand and recognize it for meaningful innovation, a commitment to customer service, high quality and exceptional reliability. Today, as a result of the branding campaign, awareness of AT&T as a wireless provider has increased more than 80 percent.

"Consolidating BellSouth and Cingular under the AT&T brand was based on extensive market research and is proving to be the right decision," said Randall Stephenson, AT&T's chief operating officer. "Our branding campaign is performing at and above projected levels and customer response has been very positive. We are excited to move into the next phase of transforming AT&T into the only communications provider our customers will ever want."

As part of its branding initiative, AT&T is also now beginning to replace Cingular with the AT&T brand in voice greetings, on new customer handsets and handset screen displays and on envelopes and statements. In addition, exteriors of most company-owned retail locations are expected to be branded as AT&T by September, with branding of agent-owned retail stores expected to be completed by January 2008. Many of the company's high-profile sponsorships such as "American Idol" and NASCAR will be transitioned soon as well.

In terms of advertising, TV, radio and outdoor ads now incorporate transitional elements related to the AT&T and the Cingular brands, but AT&T is featured much more prominently. The transitional phrase, "Wireless from AT&T, formerly Cingular," has begun replacing the phrase, "Cingular is now the new AT&T," but the color orange will continue to be associated with wireless services from AT&T. The "Jack" mark will be used in a less prominent way in advertising and customer collateral.

As all operations are moved under a single brand, AT&T expects to realize related synergies with an estimated net present value of approximately $2.8 billion. "

Posted to the site on 21st May 2007