by Grant Polachek, Director of Marketing at Inc 500 company Squadhelp.com
When you are trying to come up with the perfect name for your brand, you might find yourself running into people who say not to sweat your business name. Some people believe that there isn’t any financial value to a business name. They would tell you that names are just added frills that aren’t worth investing time and resources into. However, research actually shows that a simple, catchy name will perform 33% better on the stock market than a non-captivating name.
Instead of focusing on the monetary value a unique brand name will bring you, why not consider the opposite? Think about how a poor brand name can damage your brand’s presence in the business world. Let’s reflect on the ways a poor brand name can hurt your business.
A poor name won’t establish a solid brand foundation
In today’s fast-moving market, first impressions are everything for a brand. Often your name is the very first thing a potential customer will learn about your brand. This is why a name is so important because it really sets the tone for your interaction with a potential customer or client.
What is a brand? A brand basically encompasses everything from your name, logo, values and mission statement. A good brand will establish who your business is and who your business wants to be, all in one.
The brand name is fundamentally the identity of your company. If it is too weak then it will not be able to carry your brand forward and will likely stunt your success.
Fail to attract an audience
With so many options, your audience is likely overwhelmed with today’s market. Even though your business is offering unique services or products, without a good name you risk losing customers. If your name does not immediately intrigue your audience, they will likely move on to the next business. As you know, losing potential customers can spell disaster for your new business because that means you’re losing out on potential revenue sources.
A solid name should create a connection between your audience and your business and give your target market something to remember. One of the reasons why Apple is such a successful business is because of its name. After all, nearly all people have experience with apples. Apples are a basic fruit, and a physical, organic object. By naming their tech company after an highly recognizable object, this helped Apple to achieve recognition from their audience.
A forgettable name = a forgettable brand
If your name is bland or too confusing to say and spell, your target audience will probably forget it even if they really want to remember your business. This poor naming means you will lose on out sales and can really damage your business in the long run.
For example, when Jeff Bezos created his online book retailer, he decided to name it Cadabra, Earth’s largest bookstore. The name was supposed to be an abbreviation for the common magic term “abracadabra”. The problem was that the name was not catching on with their target audience. The name was too difficult for potential customers to spell and understand, and many simply did not pick up on the reference to magic.
After brainstorming solutions with his wife, Bezos decided to change the company name to Amazon. After the simple name change the company really took off. Switching up the name to Amazon had plenty of advantages for Bezos. For example, Amazon starts with A, which means it’s typically found at the top of alphabetical lists. In addition, the Amazon rainforest is also the earth’s largest forest, so the name works metaphorically as well.
A memorable name really helps a brand become unforgettable. Ensure that your brand doesn’t fall by the wayside when you’re brainstorming a unique and memorable name.
Finally, a solid name should have the power to captivate and draw in your target audience. A good name will have your audience wanting to know more about your business. And once you have an audience captivated, the referrals will start rolling in. A good name can also drive referrals and make spreading your brand easier.
It’s important that a customer uses your services or buys your products and remembers your name afterwards. If they can’t think of your name or can’t easily pronounce it, they are going to be less likely to share it with friends and family. Ultimately, if you have a poor brand name you could lose out on sales because your name was too weak to carry your brand.
It’s always a smart idea to invest time and resources into your business name. It will all be worth it in the end because a solid name will increase your profits down the line. A great business name directly impacts your success. All aspects of your business adds up in the end, so be sure to pay attention to your name because it can help you get one a few more chains of referrals and could make a huge difference in your success.