Four years ago, we conducted a marketing assessment for a B2B SaaS company. As always, we started with a competitive analysis. The results were predictable—big brands were dominating the market. But one smaller brand that was a competitor to our client stood out. Founded by industry veterans, they had built a brand and product that resonated deeply with their niche audience. They used their expertise to solve real problems, and it worked. They were growing and taking on industry leaders.Fast forward to today. We were brought back for another assessment. Once again, the big brands were growing. But that smaller brand that had been growing? They were now in decline.What changed?Since our last assessment, they had received private equity funding and they likely felt pressure to grow. Reading their press releases and looking at their marketing it is apparent they chose to dramatically expand the audience they were selling to and rebranded to appeal to that wider audience. In the process, they lost the things that made them differentiated and distinct.The results? Since their pivot and brand update, their share of search has fallen by 47% and they had to lay off almost 20% of their employees. The key takeaways?1. Brand “refreshes” can go terribly wrong - It is always tempting to pull the rebrand lever to drive growth, but is it really necessary?  Building a distinctive brand takes years and you can wipe out your investment in an instant by rebranding. 2. As a B2B challenger brand, it is better to be loved by a smaller audience than just liked by many - When you are a big brand, you can offer an OK product and still grow. But as a smaller brand, you need to realize that buyers are risk averse and won't choose you unless they have a very compelling reason.  Trying to appeal to many can cause a company to lose the aspects of their brand and product that provided that compelling reason to switch.3. Don’t change who you are to open new markets - Opening new markets can drive growth, but not at the expense of your identity. Growth strategies should build on your brand's strengths, not dilute them.