It’s important to be brave in the face of change,
because, without it, all businesses will eventually fail. Change is an important part of life that takes place all the time, so too you shouldn’t be scared to change your business name if it is not working for you.
Changing a business name is an expensive and troublesome process, especially for established businesses. However, if done correctly, you can reap enormous benefits. Nonetheless, from print and online marketing materials to bank accounts, websites, registered domain names, updated email addresses, and more, it takes a lot to change the name.
Think of it this way: when you initiated your business and began constructing your brand, you had no idea how things would turn out. Your business isn’t the same entity today as it was back then. Your customers are not who you thought they would be. You are constantly getting new insights and knowledge that you didn’t have initially.
Since change is healthy for businesses, here are some signs that will assure you that your company name should be changed for all the right reasons:
You Have a Company Name That Is Misleading
Among all the reasons to change your company name, this is the most pressing. What could be worse than having a name that misleads customers about your business and service offering? The most obvious example is a name that has nothing to do with your offering, such as Charlies Insurance Brokers for a laundry business. Most businesses commit the mistake of starting off with a name that’s too specific, thereby limiting their potential product range. The opposite error is a name that is too broad, encompassing products and services that you do not,or cannot,offer. The ideal situation is to have a name that fits with a realistic long-term vision for the company, or a neutral coined name that serves as a brand, which can then be imbued with its own meaning. This will make sure customers are geared towards your offering from the onset. Having to correct false perceptions immediately puts you on the back foot, since it takes time (which costs money) and reduces the trust a customer has for your brand. If this is the case with your company, it’s a sign to get the name changed immediately.
Your Company Name Is Too Specific
A company that is recognized for its core products now wants to expand to offer new products.This is a tight spot to be in if your company name is unswerving attached to your main products.In order to expand its product offering, the company will have to spend a fortune to change existing customer perceptions and inform them that they have additional products. A classic example of this scenario is when Burlington Coat Factory had advertisements that used to say “We’re more than just coats.” The problem with this statement is that it tells people nothing about what the “more” is, and appears to express regret for their primary revenue stream. If your company’s name is limiting your vision, get a new one right away!
A lot of new business owners accept that the most valuable way to market their business is to create the name which is more like a literal description of your product of service offering, such as “Men’s Brown Boots”. Initially,this would seem to make sense.However, it backfires for the very reason that should have made it successful.
Such names, or literal descriptions, are so straightforward and basic that countless other business owners have also thought of it, meaning that there is a lot more competition for that name space, making it difficult for you to get noticed or rank in search engines.
Making matters worse, such names simply describe what you do, not how you do it. If your company name sounds more like a yellow page heading, then its best to resort to a new, more memorable name which is relevant to your company.