Featured in Crain’s by Laura Sheridan: Developing a brand-new brand may not be necessary

As featured in the September 12, 2011 issue of Crain’s Cleveland Business

Developing a brand-new brand may not be necessary

Companies are innovating more than ever. However, introducing a new product doesn’t necessarily mean you need to create a new name, new logo, new web site, and new brochures. In many instances, it’s better for the company and its customers if an existing product name is used versus generating an entirely new one. In some circumstances, a new name does make sense, and following a structured process will surprisingly be faster and result in a better name. Here’s an approach to help you navigate through this issue.

Is your innovation a new product or is it a new brand?

Is it added functionality, an enhanced version of an existing product, or an entirely different offering? Are the customers new and different? If the product and target market are at all similar to your current set, then you likely can avoid developing a new brand name.

A new brand is expensive

Sure, it’s exciting to develop a new brand. But that excitement is dwarfed by the cost and complexity associated with creating one. A specialized ad agency should be retained to help with a logo, look, and style (called ‘brand identity’). Then, the brand identity needs to be applied to business cards, email templates, web site, print ads, and whatever else is part of the brand launch and ongoing marketing program. However, the most significant costs are those associated with building awareness of the new brand. How are people going to learn about it? Online ads? TV? Radio? Newspaper or magazine?

A structured process trumps brainstorming

OK, so your new product is really different and is for a different audience. And, you have the budget to support creating and promoting the new brand. Avoid the temptation to have your staff brainstorm around the conference room table. Instead, agree on criteria that create boundaries and limits, such as easy to say, not sounding like a competitor, and being original. Then, list the emotional and rational benefits and their synonyms. Playing with combinations of those words, words in other languages, and invented words that convey those benefits will help you create a list of names. As you winnow the list, refer to the benefits and criteria to stay focused on your original guidelines.

Test your finalists

Put your short list through a filter. What do you want customers to think of when they hear the name? How does the name relate to your company’s other products? Is it memorable? When you search the name online, are other companies using ones that are similar? Is it easy to say, read, and spell? Is it fresh and original? Does it evoke the emotions that you want customers to connect to your brand?

A new brand needs a domain name and trademark

Easy to obtain ten years ago, today it’s challenging to select a name with an available domain name. Unfortunately, it’s an important part of the brand creation process. Check GoDaddy.com or Register.com to see if the domain name is available.

In addition to the domain name, the brand needs to be trademarked. It’s key to protecting the goodwill and value of your brand. You can conduct a free, cursory check on www.trademarkia.com or the government’s site: www.uspot.gov/trademarks/index.usp to determine if the trademark is available. This basic research does not replace the need to have your attorney complete a thorough investigation of the trademark.

Just say ‘no’, if you can

For those innovations that complement your existing product line, save money and time by developing a product name only. Consider how the names of the current products relate to one another, and generate another one in the same “family”. There’s no need to develop a new logo, brand identity system, or web site. Leverage what your customers know and love about your existing products to announce your newest offering.

If the answer is a new brand, follow the structured process outlined above. Resist the temptation to short cut the effort by using a random name without a solid foundation.