Changing Your Business Name can be one of the most impactful events you can make with “the stroke of a pen.”
That change can lead your business to greater success…or be a waste of money. The list of businesses that have changed their names is long…and filled with both seemingly brilliant ideas, and tremendous flops. There are lots of reasons for making a change. Here are a few of the factors of consider before you do.
Changing Your Business Name: why are you doing it?
We don’t have to keep the name we’re born with. People change their names every day, so why not businesses? Here are some reasons to change your business name…or leave it the same.
New Direction
Are you taking your business in a new direction? An old name like “Stamford Family Dental” can hold you back when you’re planning on focusing on cosmetic dentistry and other cosmetic treatments. A change to “Stamford Cosmetic Dentistry” can prospective patients more insight into your specialty.
Brand Confusion
Finding two businesses with very similar names is pretty common, but in many of those cases there’s no brand confusion: no one would confuse Delta Faucets with Delta Airlines or Delta Dental. Or Domino’s Pizza and Domino Sugar. Or Finlandia: it’s a name for both a cheese and a vodka. If your name sounds like a much better known business, you’re bound to be overshadowed.
Negative Connotations
One of the most publicized business name changes was when Philip Morris changed its name to Altria in an effort to escape the weight of negative publicity from cigarette related health issues. Some name changes give you a fresh start. Others, like this one, couldn’t overcome the negative connotations. Two more: the Belgian chocolates named Isis, and the diet candy named Ayds. Both had to change, asap.
Limitations
Some business names limit you too much.
When you start up it’s tempting to try to “own” your neighborhood and name your company Wisconsin Windows. But what if you want to expand into Minnesota? Or you name your business Steve’s Skis, and you want to expand into Trailbikes in the warm weather. Your name could lose you new customers.
Weird Spellings
It could be tempting to use a weird spelling to your company name so you can get the domain name you want, like KwikCakes, or Qwest. But will anyone remember how to spell it when they’re looking for your URL? If no one can find you, maybe it was a mistake, and it’s time to fix it
Changing Your Business Name means lots of work.
There are lots of reasons to change your company name. When you do want to change it, don’t underestimate the effort needed to let people know…especially your loyal customers. Let them know in lots of ways: publicize your new name with email, letters, and advertising. Consider creating a “transitional” logo. Create a “pop up” box on your website (I usually consider these really annoying, but you might have to do it to get this important message across). Try video to tell your story. The “overcommunicate.” Don’t just tell people once: reinforce your message again and again. Then do it in new ways. Like with an interesting direct mail piece. Try ad premiums. Don’t waste any opportunity: consider using messages on hold to even put wasted “hold” time to use reinforcing your message: everyone who knows and understands the change could be a customer you don’t lose!