Three brands become one: How Abbey managed communication and integration
Last week, Santander, the Spanish banking group announced that three UK high street banks, including previously acquired Abbey, would be renamed Santander by the end of 2010. In the last year, the world’s third largest international bank by profit acquired Alliance & Leicester and Bradford & Bingley (B&B) savings in a very short space of time, in B&B's case – over one weekend. Here's how Abbey's communication team ensured employees were kept informed and engaged throughout the changes.
by Ryan Funnell, communications manager, Abbey
Our key priority at the point of the acquisitions was to quickly reassure staff in all three businesses of Santander’s strength and security. The uncertainty caused by the credit crunch meant people were already nervous about the future. It was important to restore their confidence as soon as possible.
The acquisition of Alliance & Leicester (A&L) was announced in July 2008 and was completed in October, allowing time to prepare the initial messages and materials for staff. This also gave staff time to prepare for a change.
The acquisition of Bradford & Bingley savings happened over a weekend at the end of September. Staff left work on the Friday with no idea of what was to happen over the following two days. The Government nationalized the bank and sold the savings and deposits arm to Santander. The deal was announced at 7am on the Monday morning.
Upon completion of both transactions, a series of communications were released, designed to inform staff at A&L and B&B about details of the acquisitions and provide information about Santander Group.
This was achieved through a variety of channels:
- A letter from Abbey’s chief executive was sent to all B&B savings staff on the day the acquisition was announced.
- A welcome pack was desk-dropped to all staff across A&L and B&B following the completion of the A&L acquisition. This contained:
- A welcome letter from the group chairman.
- A welcome booklet with messages from Abbey and Alliance & Leicester’s CEOs and details about the Santander Group.
- A Santander Lewis Hamilton notebook and keyring.
- A group of executives visited head office sites and branches to meet with senior managers and staff.
- A groupwide intranet article providing more detailed information about the group and a detailed integration timeline.
- A "Welcome to Santander" video was published on the intranet with information about the group and interviews with both Abbey’s and A&L’s CEOs.
Addressing Abbey employees' concerns
Abbey staff were also concerned, so it was important to keep them informed. A microsite was launched detailing the histories of both A&L and B&B. The site also featured an introduction from the CEO, a high-level timeline of the integration process, a tailored version of the "Welcome to Santander" video and an overview of the media coverage generated from the transactions.
Among other things, our people told us these communications made them feel relief in a time of uncertainty; more positive about the future; and excited at being part of a large group.
Increasing brand awareness
During the following months, a gradual internal and external campaign entitled "We are Santander" was employed to increase awareness and understand the benefits of belonging to a strong global group.
Awareness of the Santander brand in the UK has increased dramatically since the acquisition of Abbey in 2004. More recently, its sponsorship of the F1 Santander British Grand Prix and the Vodafone McLaren Mercedes team has seen a sharp rise in brand awareness. Staff were kept up-to-date and informed over the first few months through regular intranet updates and the introduction of the Santander group homepage to both A&L and B&B.
Our people told us the communication made them feel relief in a time of uncertainty and more positive about the future.
Engaging managers across the company
In February, all senior and customer-facing team managers across the three businesses attended the 2009 convention. The event provided an opportunity for people to hear first-hand messages from the CEO and other senior executives including the group CEO, Alfredo Sáenz. F1-themed activities and a market stall area for group businesses in the foyer helped encourage a feeling of belonging to a large global business.
Feedback from the day suggested many staff from the three businesses left feeling inspired and motivated. Managers were asked to hold face-to-face briefings with their teams and were provided with a comprehensive briefing pack to assist in conveying the messages from the day.
Aligning internal and external messages about the rebrand
With regular activity of this nature, staff across the three banks already had a growing sense of belonging to the Santander Group. So it was perhaps not particularly surprising for them to hear news of the intention to rebrand.
However, we needed to make sure staff were informed in advance of the announcement and knew how it would affect them and their customers so they were prepared for any queries.
With regular activity of this nature, staff across the three banks already had a growing sense of belonging to the Santander Group.
A huge amount of work was undertaken to make sure internal and external messages were consistent. It was important that staff relayed to customers:
- The advantage of increasing the size of the branch network so customers can use in any of the 1,300 branches.
- The strength of the Santander name, particularly during the credit crisis.
- The financial security of being part of a large global bank.
Methods used by the communications team included:
- A senior manager live telephone briefing given by CEO, Antonio Horta-Osório, the night prior to the rebrand, with supporting printed materials sent via email and instructions to brief direct reports/teams first thing the next day (i.e. by 8am).
- A text message to managers at 7am the following morning alerting them of the impending announcement.
- A live telephone briefing for all regional managers given by retail director Alison Brittain at 7.45am on the morning of the announcement.
- A special retail radio program recorded by Alison Brittain in which all branch managers and their teams were directed to from 8am.
Companywide team briefings from 8am. - An intranet announcement by the CEO published at 8:30am including a substantial Q&A document for staff, a video message from the CEO and director of retail, as well as contact details to submit questions and comments.
- Several "tickertape" messages to retail staff over the critical first few hours of the announcement signposting staff to listen to the special radio program and read all the information on the intranet in advance of the branch opening for customers.
- A companywide email at 8:45am directing staff to the intranet information and a new external website, www.santander.co.uk, which contained further information for customers.
Following a press release at 9:30am, senior directors were available for interviews with the media. In the following days, follow-up stories were published on intranet homepages that included:
- A video showing highlights of the history of the three brands and an overview of Santander.
- A brand presentation highlighting awareness of the Santander brand in the UK and worldwide.
- A summary of media and customer reactions.
Articles were also published on the Group intranet homepage, available to Santander staff worldwide, covering an overview of the rebrand announcement, an interview with the CEO and another with the marketing director.
Guiding principles
Throughout this campaign, communications have been based on three key principles:
- Making sure every single person across the three companies would hear the announcement before it was released to the media by communicating through a broad mix of channels – face-to-face, phone, print, video, online and mobile.
- Making sure internal and external messages were consistent.
- Encouraging, and listening to, feedback from our people.
General feedback from staff and the media has so far been well balanced, between lamenting the loss of the three brands on the high street while acknowledging that the change to Santander makes commercial sense.
A targeted communications survey to 4,000 staff and the companywide employee opinion survey next month will allow us an opportunity to properly gauge the mood of our people and drive further activity.
Have your say
Was there anything that Abbey's communication team missed out? Do you have any questions or comments around this case study? Have you had to overcome a similar challenge? Leave your comments below.
Other recommendations:
TOP TIPS: Six ways to communicate effectively during a merger
The six phases of major change
Sharing processes during a takeover