Everyone knows that bringing your business ideas to life can be really challenging for entrepreneurs. And one necessary skill that gets overlooked a lot–but not without reason–is choosing a great name that fits your business ideas.
When it comes to picking a business name for an existing company or a start-up, except you’ve got an expert to help along, choosing the right business name is a skill that isn’t just subtle but can prove elusive, even for the most creative entrepreneurs.
One of the worst mistakes you could make while choosing a name is doing it alone. We’ve seen cases where business owners ignored powerful names that were literally screaming in their faces only to choose weaker ones.
Without professional guidance, the possibilities of every idea could overwhelm you or you could simply get carried away by all the choices you need to make, and the dozen friends you’d invited for that name-generating-sleepover would only end up adding to your confusion.
But not to worry, here are some professional tips that would make choosing a splendid business name a lot less difficult.
How to Use the C.A.R.E. System While Choosing your Business Name
If you have little experience choosing a business name, then the C.A.R.E. system is a superb place to start when going over potential names for your company.
The C.A.R.E system can be quickly broken down to mean; Context, Appeal, Remarkable, Evocative.
Why Your Brand Name Needs One
The context of your brand is an expectation or promise your brand intends to fulfill for your customers. It’s the basic foundation on which you should build your business idea. You can see an excellent example with Nike changing her name from Blue Ribbon Sports to Nike. Nike, the Grecian goddess of victory, fits the company’s sports brand context.
Wearing a Nike shoe automatically makes you feel like a goddess/god; powerful, trendy, and capable of doing anything.
Your business name is the first thing your customer will learn about your business, so a great business name must set up customer expectations by establishing a worthy context.
Does It Catch Your Customer’s Interest?
According to Forbes, businesses with an appealing name outperform those without one by 33% on the stock market. Customers consider the looks, feel, and sound of your business name before moving forward with their investments.
And although unique and edgy names are trendy, make sure yours isn’t difficult to pronounce, otherwise, your consumers will easily forget them. Also ensure that it isn’t offensive, awkward to spell, pronounce, or search online because customers would want nothing with an unappealing business name.
Can Customers Talk about it?
Friends always talk about or refer to remarkable businesses and products. Referral leads are the best gifts you could ever get from your customers, and marketing experts believe that referral customers are the best leads any business can ever get.
Your role in this is to ensure that your name is yours. Customers can recall and share brilliant names better, and also, since they’ve already had a good first impression of your business, and a better idea of your services, they wouldn’t hesitate to refer other potential customers your way.
What Emotion Does it Trigger?
You’ll know you’ve made a great pick on a business name when it triggers an emotional response from your customers, and if your brand name doesn’t have an emotional impact on your customers, you risk becoming just another brand or just another tech start-up.
Feelings like luxury, happiness, fearlessness, victory, and others, are rare feelings that, when associated with your brand, have the potential of creating intriguing visual and emotional connotations that’ll always keep your customers hooked to your brand.
The Crowded Bar Theory
When next you’re at a bar with your friends, try telling your friends about the company’s new name you’ve come up with. Their reaction will give you all the answers you need about your idea. The theory is a simple test to determine if your friends understand your name with minimal efforts.
If customers can easily communicate your choice of a business name between themselves, then you’re up to an impressive start. But usually, the business names that make this count are easy to spell, pronounce, and are memorable.
According to Russel Jame and T. Clifton Green, “Companies with easy to pronounce names have a higher breadth of ownership, greater share turnover, and lower transaction price impacts”.