UBS Won't Revive PaineWebber Brand

Now that Robert McCann is officially free from his contract with Merrill Lynch, UBS has announced his formal placement as head of UBS’ wealth management in the America’s. His first order of business was shooting down rumors that he intended to rebrand the fraught financial giant as PaineWebber.

McCann acknowledged that reviving the PaineWebber brand would prove too costly; his faith remains in the value and benefit of UBS’s global brand.  "I never discussed the PaineWebber brand as part of any negotiations… I think the UBS brand is much richer and broader." How ever did that pesky rumor circulate?

Still UBS’ brand remains tarnished. Interbrand’s 2009 Best Global Brands report saw UBS’ Brand Value slide 50%, taking into consideration brand revenue, brand earnings, and a measure of brand strength. Clients have fled from the companies’ wealth management unit following a tax evasion inquiry from the US federal government.

Instead of a costly rebrand, it appears that UBS hopes McCann’s own reputation will renew the bank and attract new business. UBS expects McCann to not only “apply his long and deep client relationship and business experience to gain market share, increase profitability and grow our Wealth Management Americas business,” according to UBS CEO Oswald Gruebel, but also poach top talent from Merrill Lynch and other competitors.

If what ails UBS’s brand value is poor leadership and personality, the brand may rebound as long as McCann is successful in drawing new customers through personal relationships. McCann may offer customers what UBS slogan promises, a conversation between "You and Us."