Looking around the economy and market we can see that there is an increase in the number of startups coming to the market. There are a number of new entrepreneurs coming day by day with innovative business ideas and also creating a difference in the society with their creative difference making abilities. However, with this, we can also see that there are many businesses that are going out of business and are not able to cross the 5-year mark. And it is a point of serious thought to understand why such an issue is arising in the market.
Are they doing something wrong?
If so, how can it be addressed?
One answer for this is connected with the decision-making of the entity and its management on various factors that are coming right from the setting up of the business to the day-to-day operations of the same ranging to the passing of the years in future.
The business starts with the understanding and decision-making of the product or service that the owner would want to serve in the market, along with the major target of consumers he or she is focusing on. To reach these consumers in the market with the solution or the product or service catered to, they need recognition or a brand that can be established only through a name. So, we can say that name is the baseline of recognition as people would identify the brand and even the products or services which are sold by them.
Hence, it should be understood that choosing a name for your business is no simple or a small job, instead it is one of the most important tasks assigned with the other business decisions to be taken by the entrepreneur. It is one major thing to be put before any hiring, pricing, promotion, or other decisions to be taken pertaining to the business.
Importance of Name for the Business
There are certain points which call out the relevance of the name for a business. This would include the following, which are discussed below:
- It is the first and foremost thing which is seen by a consumer and which draws them towards the company and its product. You represent your business through its name as that is the first thing people would learn about your business from you. The headline of the ads placed by you, any online, offline, written or verbal communication made by you everything will depend on this name and the beauty of the same.
- The name would help a consumer some up certain basic information pertaining to your business, and this is important as it would help them decide whether to approach you or buy your products or not.
- It provides the business with a unique identity and position within the market and among the consumers. Name helps entity gain a separate standing in the market compared to its rivals or competitors and this is vital for its existence.
Traits of a Good Business or Brand Name
The good traits or features which should be held by the name assigned by you as the owner of your business or the brand would be the following:
- The name should be meaningful, bringing an essence or meaning to the logo or creating a connection with the consumers.
- It should be unique and can be differentiated from the names of the rivals and competitors.
- It should be accessible and easy to spell and pronounce, making the same a memorable and identifiable name.
- The name should have a future identity that should be able to stay modern with all the times.
- It should also have a visual part assigned in the form of a logo, colours or icons.
5 Steps to Naming Your Business
Following are the steps which can take the business and its owners name their new entity with the most apt one:
Step 1: Understand the Heart of Your Business
This is the first and foremost step. The business owner and the founders, for that matter, should understand what the business is all about. This would basically mean the following:
- Purpose
- Vision
- Mission
- And the Values
These are the basic elements that would regulate and control the journey of a business to the success and future. So, understanding this and the meaning of their very existence would be the first step.
Step 2: Watch the Rivals and the Industry
Try watching and understanding your competitors and their naming strategy, which will give you a baseline for naming your business and launching it in the same market and industry as your competitors. Analysing them would also help you understand what that one point is that would make you different and outstanding from them.
Step 3: Brain Storming
Now, brainstorm the business names with your peers and other people associated with you. This would give you various ideas using which you can either directly choose the names or even use this as a base line to bring in new combination of words which would give unique names.
These can be the names formed using the names of founders, acronyms, metaphors, fabricated ones, and much more. Onym and Panabee are some of the applications which can be adopted by companies to name their entities with a bit more ease. A list should be prepared for filtered names so that they can be taken to the next step.
Step 4: Check the Availability of the Vet
This is where the business owners should search if the names chosen are available as they might be trademarked and already used by other companies. If these names are already taken, you will have to go for new names again and get a name that has not been used already. Once you get a name which is no taken or registered for which domain names are also available then you can move to the next step.
Step 5: Register
Once you have in your hand a name which is not registered or taken, register it in your name without any delay. This would help you ensure that the name is now registered and available on your hand both legally and officially. The names should be available both in domain naming and also under federal trademark records.
