21 Mar 2014

Telecom branding strategy hits snag

6:01 am on 21 March 2014

Part of Telecom's branding strategy unveiled just last month has hit a major snag.

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As well as ditching one of the country's best known brands for the new name, Spark, Telecom was going to call its new internet-based television service ShowmeTV.

Two companies with similar names, Show Television Limited and Show Me Limited, have protested publicly.

Telecom issued a statement on Wednesday saying it would come up with another yet-to-be decided name.

The company, which said it had been aware of the other two companies all along, describes the decision as pragmatic and designed to avoid a prolonged dispute.

Senior vice president broadband and digital media Simon Hoegsbro says it will be the quality of Telecom's internet TV offering, not the brand name, which will be pivotal to its success.

Telecom's statement did not say how much it spent on developing the Showme TV brand name.

It will spend $20 million in the six months ending June on establishing the Spark brand, in addition to the $5 million it spent in its December half-year on refreshing its existing brand.