What’s in a name?
A brand’s name communicates to your target market what your benefit is, and it can help you stand out from competitors in a crowded marketplace.
So, a good name is crucial, but how does this name directly translate into revenue?
A brand’s name adds value to a product or service. Strong brands are able to command price premiums over basic commodity products that have weak undeveloped brands. A brand holds a promise, this is why people are willing to pay a premium for Evian water than drinking free tap water.
A name should be easy to remember, easy to pronounce, and easy to search online. Many brands try to pick a name that has a meaning or communicates a product or message, but this isn’t necessary. Names with no intrinsic meaning are given meaning through their brand strategy and we are then familiarised and attracted to them.
72% of the best brand names are made up words or acronyms. (SmallBizGenius)
A brand name on its own won’t lead to an established status, it needs to be heavily supported by brand strategy and marketing.
Words are a powerful tool; certain words are deemed to hold more ‘value’ in the eyes of the consumer and some are even willing to pay more for products or services because of certain associations with words.
In an internal study, we surveyed 800 people and provided them with 4 different names for a new place development in Dublin city. The participants were asked to rate how much they would pay to live in each of the places just based on the names provided. The study showed that a significant amount of the participants were willing to pay 20%+ for one name versus another.
So, a brand name carries more weight and financial value than you might think – and can mark the difference between a brand that gains traction and one that falls flat.