With time comes advancement. The abacus becomes the calculator. The stone becomes the wheel, becomes the wagon, becomes the car. When it comes to your business, it is especially important to remain aware of the changing practices that can benefit your company the most.
Business Naming and Globalization: A Brief Overview
There was a time when many of the most successful businesses chose to use names that directly relayed specific services, locations, or even founders.
Examples: General Electric, Standard Oil of Ohio, The Eastman Company
Over the years, as these businesses developed and embraced the global marketplace, this style of naming lost some of its initial appeal. To promote growth, many of these older names were replaced by shorter, more expressive, brand names.
Examples: National Biscuit Company transforms into Nabisco, American Telephone & Telegraph becomes AT&T
In more recent years, the advent of the internet has enabled even small businesses to function on a global scale. This change has altered the business landscape entirely and pushed the new style of naming to a heightened level. The result: the increasing popularity of the coined business name.
What is a Coined Name?
Coined names are created to convey a specific feeling or association rather than a direct, literal meaning. This type of name can be created by combining words, parts of words, or foreign expressions, or by altering spelling, matching syllable sounds, or inventing a new word entirely.
Examples: Facebook, Acuvue, Hulu,Tumblr, GrubHub, Dasani
How Can a Coined Name Benefit your Business?
1. Growth Promotion
As opposed to the older, more literal naming style, coined naming can help promote business development beyond initial expectation. For example, Blake chooses to open a tire company called Automazing. This name establishes his connection to automotive services while conveying the company’s amazing quality of service. Rather than selecting a more literal name, such as Blake’s Memphis Tires, his coined name will allow his business to expand into other products, services, and geographical locations without issue. This can be especially useful for startup businesses where growth and development can be quick and unpredictable.
2. Definition and Mood Control
Unlike generic names, coined names allow customers to approach your business without preconceived notions about your service or style. Since these names are invented, you have the power to define your brand and present it in a particular light. This technique can enable customers to build a stronger emotional connection with your company.
3. Conflict Prevention
Many businesses that use outdated naming conventions rely exclusively on specific industry terms to attract customers. Often times these common terms are in use by a variety of competitors, which can cause confusion between differing businesses. Using coined names can help prevent such issues, since the use of a similar name is much less likely. This advantage can also help with trademark filing and domain name acquisition.
With new businesses forming every day, it is crucial for business owners to take advantage of strategies that promote development while creating memorable brands. Using this new and innovative style of naming can help any business start off on the right foot.