This post first appeared on Smart Insights on Nov. 20, 2018.
If you don’t believe that having a good name will impact your business, maybe you should; catchy names outperform long and complicated names on the stock market by 33%. Sometimes, being bold when naming a business pays off. These can be the names that stick in people’s heads and set up your business for success.
A name is an outgrowth of a business plan. The right name will support the growth of your business and set you up for success.
Even some of the biggest successful brands we know benefited from names that supported their growth. Let’s take a look at the trademarks of four successful brands for takeaways about how to choose the best — available– name for your company:
PayPal, the global leader in digital payments, does exactly what it says on the tin. The P2P payments company allows everyday people to make payments, without having to lean on more expensive, traditional transfer methods like Western Union or traditional banks.
While a number of similar P2P offerings have emerged in recent years, when the company was created back in 1999, it had a very strong unique selling position (USP). Generally, in the current crowded trademarking landscape, attempting to register successful brand names which have descriptive elements is only recommendable for companies who have a very strong USP. This is because it is harder to trademark single English words — because they have all been snapped up — and also because it is important to choose a brand name which can stand the tests of time, and a company and their offerings scale.
PayPal is such a perfect fit because it was the first user-focused, rather than business-focused payment solution, and this image of ‘sending money to a friend’ comes through clearly in the name. The beauty of the trademark lies in its simplicity. It is descriptive, but not over the top, and by keeping the length of the name to two syllables and using alliteration, it is snappy and memorable.
We always recommend the following to clients who want to include a descriptive element in their brand name:
- Try out different name types like compounds (SnapChat, SplitWave) phrases (StumbleUpon, Ready to Rise) or poetic phrases (Dunkin Donuts, Lula Learn)
- Think ahead, will your product/service have the same offerings in 5 years? Will the descriptive element still be appropriate?
- Do you have a strong USP, or do hundreds of other companies describe their business in a similar way to yours?
Sticking with the theme of descriptive elements, Apple is a fantastic example of a successful brand which chose a single English word, for the right reasons.
In the late 1970s, Apple was a technology brand, aiming to disrupt a market filled with corporate sounding names like IBM, HP and Microsoft. Instead of choosing a name which described their product, they instead went down the route of choosing a word which expressed their companies mission and values.
As a company, Apple has always focused on offering an amazing UX and customer experience, as such they chose the image of an apple, an organic fruit which is a stable part of most people’s lives. From gifting an apple to your favorite teacher, to apple pie, to an apple a day keeps the doctor away, the image of an apple is linked to the day to day routines of everyday people. It is simple, memorable and accessible.
We always recommend the following to clients who want to try and use a single English word in their name:
- Instead of trying to choose a word or two words which sum up your entire brand, product, and values, why not focus on capturing one single essential element? Such as your business model, or your brand attributes, values and customer experience.
- Start with an idea, or an image which sums up your chosen element, and then try to create different versions of this idea or image, using various different brand name types.
- Bring your team together to brainstorm different phrases, styles, and types, and encourage people to be as wacky as possible. Often the worst ideas will inspire the best.
Squatty Potty, America’s number one toilet stool, is the perfect example of a company which took a risk in choosing a fun, lighthearted name and ended up resonating perfectly with their target audience: millennials.
When choosing a name, one of the first elements which a successful brand should have clear in their heads, is the style they want to use. The style of your name — elegant, professional, classic, fun, pragmatic, powerful, modern — needs to resonate with your target audience. For example, if you are an investment fund, aiming at Baby Boomers, you will want to use a professional and classic style, rather than modern and fun.
Squatty Potty knew that they were targeting millennial users, who are keen on healthy living trends. As such, they chose a name which is light-hearted and has used the same style for their tongue-in-cheek advertising campaigns which deal with a serious medical issue –colon health — in a friendly, funny manner.
If Squatty Potty had decided from the outset they were targeting large medical retailers, or older consumers, they would probably have had to choose a more professional, clinical-sounding name. However, in doing so, the brand would have lost a large part of its appeal and would have had to have taken a very different approach to its marketing campaigns.
Knowing the essence of the brand that you’re building before starting the naming process will allow you to explore unique, trademarkable naming angles while keeping yourself within clear boundaries.
Whenever we advise clients about choosing the right style for their brand name, we always recommend the following:
- Choose a style which appeals to your target audience or audiences.
- Create a one- or two-sentence project statement to keep your naming efforts laser focused, for example, we need an elegant name that immediately sounds like a high-end women’s fashion brand.
- Decide whether you want the name to describe your product primarily, or another key element such as your values or mission.
Another company which took a big risk in their name, and have been rewarded for their creativity, is the cosmetics brand Urban Decay.
Like with Squatty Potty, taking this risk required Urban Decay to have an in-depth understanding of exactly who their target consumer was. As they were targeting Millennials — who want a break from the norm and tend to choose brands which match their personal styles and beliefs — the brand chose to break away from the stagnant world of Haute Couture, French sounding cosmetics brands, and try something totally new.
According to market research, millennials are less attached to mainstream brands, like Tommy Hilfiger or GAP, and more enthusiastic about creating their own style with lesser known, up and coming brands. With the slogan of “feminine, a little dangerous and a lot of fun”, the company has branded itself as risque and appealing to women with individual styles.
If a company is working in a crowded market — has a weak USP — then they really need to start thinking outside the box, about names which: a) are not descriptive b) differentiate you from your competition 3) are eye-grabbing and memorable. With their name Urban Decay, the brand has created an intriguing name which is likely to make people click on their adverts and search for their successful brand, just to find out exactly what they sell, and what their founding story is.
For clients working in crowded marketing with weak USP, we generally recommend the following:
- Avoid descriptive elements.
- Know exactly who you are targeting, and then choose a style and name type which is different from the competition, but will resonate with your target audience.
- Get crazy with it ! To differentiate from the competition you need to put your creativity on warp speed. Bring your teams together, grab some beers and pizza and get brainstorming!
- Make it intriguing! Names like Urban Decay, Uber, or Virgin inspire people to click on sites just to find out what they are, and what they sell.
There is no silver-bullet solution to choosing the perfect name for your brand. The process will take time, effort and creativity from your team. But in experimenting with different styles, and name types your team may make some interesting discoveries about your company image, values, and mission.
But if there is one lesson to be learned from the successful brand naming examples above it is that in the current crowded trademark landscape, fortune favors the brave. So get prepared to think out of the box, and consider moving out of your comfort zone.