When, in 2021, Plentywaka announced its sudden rebranding to Treepz, it raised eyebrows across the African startup ecosystem. The company, which had made significant strides in the mobility space, had built a solid brand around its original name, becoming a recognizable fixture in the minds of users and industry watchers alike. The rebranding reflected a recurring challenge for African startups. CEO Onyeka Akumah attributed the name change to stakeholder discussions and concerns about the cultural interpretations of the term “WAKA” in various African regions. According to Akumah, “WAKA” had different meanings across the continent, many unrelated to transportation or travel, which was Plentywaka’s core business.
While this might have seemed like a practical decision, observers couldn’t help but wonder if this was an avoidable mistake — a misstep borne out of shortsightedness or perhaps poor intellectual property (IP) legal advisory at the company’s inception. But Treepz is far from an isolated case.
In fact, the trend of African startups rebranding due to conflicts over names has become alarmingly common. Zambia’s PremierCredit recently rebranded to eShandi after five years of operations. South Africa’s Ukheshe became EFT Corporation, and Kenya’s TopUp Mama evolved into Caantin. Similarly, Nigeria’s Gricd is now known as Figorr, while Kudi and Salescabal, both Nigerian startups, changed their names to Nomba and Bumpa, respectively.
These frequent rebranding campaigns are costly and often disruptive. But why do so many African startups, many of which are leading innovators in their fields, find themselves in this precarious situation? The answer lies in a mix of inadequate early-stage planning, expanding geographical boundaries, and a lack of foresight when it comes to intellectual property management.
Conflicts in Name Selection
At the heart of many of these rebranding decisions is the issue of name conflicts. Startups may begin with a catchy name that resonates well in their local market, only to discover that the same name is already in use, trademarked, or has undesirable connotations in other regions as they scale across borders. For instance, Plentywaka discovered that the term “WAKA” could mean different things in various African languages, potentially confusing or alienating users in regions outside of Nigeria. As these startups expand into new markets, they often face legal challenges or brand recognition issues, forcing them to undergo costly rebranding processes.
Zambia’s PremierCredit, now eShandi, similarly found itself at a crossroads as it sought to expand across Southern Africa. What had worked well in Zambia was fraught with trademark complications and potential misinterpretations in other countries. The rebranding to eShandi was not only a legal necessity but also an attempt to appeal to a broader audience, positioning the company for future growth. Yet, such changes do not come cheap and often lead to setbacks in terms of brand equity and customer trust.
The Importance of Intellectual Property (IP) Strategy
Startups in Africa, particularly those with regional or global ambitions, must understand that their name is more than just an identifier — it’s an asset. Intellectual property in the form of brand names, trademarks, and patents can be one of a company’s most valuable resources, setting the foundation for long-term growth. When not managed properly, these assets can also become liabilities, leading to legal disputes, forced rebranding, and significant financial losses.
For many startups, the temptation to focus on product development or market entry while overlooking IP protection is strong, particularly in fast-growing industries like fintech, e-commerce, and logistics. However, failing to take proactive steps in securing a brand name — one that can scale across different geographies — can lead to complications later on. Companies often realize too late that their chosen name is either too generic, already in use, or holds unintended cultural connotations that could alienate potential users.
This is why the role of seasoned professionals in intellectual property, branding, and legal advisory cannot be overstated. A skilled advisor will not only conduct a thorough trademark search but will also consider the long-term implications of a name across various jurisdictions. The legal frameworks surrounding IP can vary significantly from one country to another, and what works in Nigeria may not fly in South Africa, Kenya, or the United States. Failing to account for these nuances often forces companies into a corner, with rebranding becoming the only viable option.
The High Costs of Rebranding
Rebranding, especially after a company has already established itself, is no small feat. The costs go far beyond simply changing logos and business cards. There is the challenge of communicating the new name to users, suppliers, and partners while ensuring that the transition does not erode customer trust. Companies may also face additional marketing expenses to reestablish brand recognition, alongside legal fees and lost revenue during the transition.
For African startups, which often operate on limited budgets and face tough competition, the financial and reputational risks of a poorly executed rebrand can be crippling. For instance, when BitPesa rebranded to AZA Group, it wasn’t just a matter of changing the company’s website. The fintech firm had to overhaul its communications strategy, rebuild trust with customers, and reposition itself in a crowded market — all of which took time and resources.
Lessons for the Future
The rising trend of name changes across African startups offers valuable lessons for entrepreneurs and investors alike. Startups must prioritize intellectual property considerations from day one, ensuring that their brand names are not only available but scalable across regions. This means engaging professionals who have the expertise to conduct thorough trademark searches, consider cultural nuances, and anticipate the future expansion of the business.
Moreover, the role of intellectual property as a key asset class should not be underestimated. In the same way that startups protect their innovations through patents, they must also safeguard their brands by registering trademarks early and in multiple jurisdictions. Doing so not only protects the company from legal challenges but also provides a competitive edge as the business grows.
As African startups continue to expand their footprint, the importance of name selection will only become more pronounced. In a globalized world, where companies can reach new markets with the click of a button, the potential for name conflicts is higher than ever. By taking a long-term, strategic approach to branding, African startups can avoid the costly pitfalls of rebranding and instead focus on what truly matters: building great products and services that change lives across the continent.
In the case of Plentywaka and other African startups, the rebranding efforts may have been necessary steps in their growth journey, but with proper foresight and IP management, they could have avoided this expensive detour altogether.
