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The Rabbiter

PRODUCT NAME = COMPANY NAME?

18/10/2014

10 Comments

 
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One common question among entrepreneurs is whether their company name should differ from the one of their first or/and most important product.
 
Usually, the best option is to choose one name for the company and another for the product, especially if there are plans to launch more products. We would recommend a company name that evokes values/feelings of your company and a product name that evokes relevant feature(s)/advantage(s) of your product. The type of the names should also be taken into consideration. If your product name is coined (a non dictionary word) and not suggestive of the product itself, i.e. does not describe what your product does, or does not evoke some advantage of the product, then you could use the same name for your company, just like Google is a product of a company called Google Inc. A future threat of that last option is that when the product gains brand awareness, everything that is associated with the product will also be associated with the company. One unsuccessful product could jeopardize the reputation of the whole company, no matter how many other successful products it provides.

When taking this important decision, keep in mind that if your first product is not successful, your company could always launch another product under a different brand name. Thus, the safest choice is to separate the reputations of your company and products by naming them differently. 
  

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