When Should You Rename a Business?
“When is it time to rename a business?” is an excellent question. This needs to be considered with caution because, depending on the brand equity, this could become complicated and may not need to be done.
Do not do this on a whim. Yet there are times when renaming your business will serve your brand by increasing awareness, clarity, and distinctiveness.
Here’s a quick example of when renaming a business accomplished all three goals:
When business financial and tax planning advisors were moving into a joint venture, the first impulse was to take the first letter of each partner’s last name.
Why was this business name not a good idea?
First, this name already existed as a company in the same industry. Yes, a company with the name, BHZ Capital, is located in California. And, you guessed it, the initial of each of the founders’ last names.
Second, acronyms are usually not a good choice for a business name. Usually, they are tough to remember. Certainly, we all know of national brands that are successful as acronyms, but they also have large budgets to spend on marketing to work their names into our memories.
Third, the business name did not carry a meaning that had depth. With this new business, they were creating something unique and wanted to communicate that in their brand identity.
The partners had created a unique three-phase system to provide businesses with comprehensive financial management. By exploring name options, we landed on a name that carried multiple layers of meaning relevant to their work. The symbol represents both the first letters of the company name and the custom process they consistently provide to their clients.
Five top reasons for changing your business name:
1. Rename your business when your company is confused with competitors.
Business Renaming for a Yellow Pages-Era Company
When we started working with PackSpec, their name was Packaging Specialties. There were six other companies within a 100-mile radius with the same name! Hard to believe? It was started when the only marketing a company needed was a ¼ page ad in the Yellow Pages. We renamed the business by merging the two words to create one distinctive, memorable name.
The new logo helped PackSpec ring in their 50th anniversary with a new name, marketing message, and unique, distinctive, and dynamic new trademark. The rebranding was the start and growth took off. After moving to a larger location (5 times the size), they were a desirable company and were purchased several years later with an impressive valuation.
2. A name-change is valid when your brand is badly bruised.
The marketing automation software giant, Infusionsoft, because well known as “ConfusionSoft.” It was renamed to KEAP.
3. When your business name is difficult to remember, say, or spell, a new name can remedy people’s problem of not finding you when they’re ready to buy.
KD3 Worx, as a company name, did not help people understand what they do, it actually distracted from the impactful and positive change that WaitWell facilitates.
“Combining the information garnered from the Brand Profile and ongoing collaboration, the Identity team helped to tease out the perfect company name. The name explained everything about the business in two words, vs. the several minute explanations required in the past.” – Karen D. DeCuir DiNicola, Owner
Once the foundation of Karen’s company was identified in the brand discovery process, we were ready to embark on a naming journey to brainstorm a plethora of options, available URLs and work with her team to select the perfect name. You can see the entire rebranding process and brand extensions here.
4. A shift in services, product lines, target customers, or refining your niche may call for a business name change.
Rebranding for a Niche Law Practice
To celebrate their refined vision, the Paletz Law leadership team worked with Identity Creative for a new name, logo, and brand strategy that reflects their renewed focus. Business Renaming: Paletz Law Firm, PC is now Paletz Law.
5. Trademark infringement means you have no choice but to change your business name.
When you get a cease-and-desist letter from an attorney, warning that you have infringed on a registered trademark, you’re backed into a corner. It’s a difficult thing to go through. We’ve worked with companies facing this challenge. To protect those clients, we won’t show examples here.
We’ve been through a business name-change, too.
Identity Creative changed our name in 2014 to reflect our expanding service offering. Like the doctor who becomes the patient, we’ve experienced the process, hassles, and excitement of changing a business name.
When the reasons and timing for changing your business name are right, a name-change and rebranding breathe new life and opportunity into a brand. If you are considering renaming your business, here are Seven Do’s and Don’ts that you will want to know upfront.
Brand with intention and enjoy the results!
