Why Does Your Startup’s Name Matter?
“A rose by any other name would smell as sweet”- Shakespeare
Though William Shakespeare famously wrote this line, in the world of startups you’ll notice otherwise. Many startup founders spend countless hours finalizing what they will call their brainchild. It is mightily important to settle on a name that is the perfect representation of what value you offer, and what attracts a loyal clientele. However, it is not as daunting as it seems. Here are a few pointers on why your startup’s name matters:
1. It communicates your vision \
Your vision is the reason your company exists. A name that represents why your company exists, what need you aim to service, is important to make a splash in the market. A startup founder’s vision is one of the first aspects of the startup to exist in the public eye. Conveying your vision allows people to see what you stand for, what your drive is, what you aim to achieve.
2. It attracts funding
As is common knowledge, it takes an investor approximately 2.5 minutes to decide whether he/she will invest in a venture or not. And one of the first impressions they’ll have of your startup will be the name. A lacking name will not draw the correct funding. Take note we aren’t saying ‘no funding’, we mention the correct funding- the kind and amount of funding that is suitable for your startup. Your vision, and the name you choose for your startup are the 2 things that are crucial in making the first, rather make or break decisions.
3. A catchy name makes marketing simpler
Have you noticed how catchily named companies use the company name in jingles and other forms of advertisement? Well, that’s how they get the name to stick, creating a loyal customer base. It creates more avenues for branding, and overall a sleeker marketing strategy. Slogans, logos, all types of creative copies depend on the name and tag line of your brand. A good, catchy name ties it all together.
4. It builds an emotional connect
While working with people, it is important to keep in mind that building an emotional connect for your brand is key. People resonate with brands, and word of mouth publicity is still a credible way of growing your business. If you have a good, catchy name people will not hesitate to say it- given that they are impressed with your services. Such a name creates an image in the minds of people as a viable product, and they easily publicize it, as if its their own brand. You may have noticed that brand loyalty is a large topic covered in marketing strategies, as people tend to gravitate towards certain brands for their needs. At such a time, when you have to step in and work with people’s habits/preferences, it becomes crucial to have an eye-catching first impression i.e the name.
Thus, you see that naming your startup aptly is of importance. You must try and conduct a short research to test out a couple of the names that you would like to give to your startup. That way you will be able to understand how your potential clients think, and devise a name accordingly. It will not only help marketing, but will also help you immensely in product development. Safe to say, now you that contrary to what Shakespeare wrote, there’s a lot in a name!
We at LFS are focused at giving you and your startup the best of the chances possible. Thus, we choose to put out such informative articles to help your startup scale-up to its maximum potential.
About Devansh Lakhani
Director of Lakhani Financial Services, and a Chartered Accountant, he helps start-ups raise funds from his network of investors. He guides and advises start-ups to scale up by providing efficient sales, marketing, team building, and business management strategies. He has executed fundraising by block deals on the stock exchange and conducted IPOs and right issues on the SME platform to the tune of over Rs. 50 Crore. He is currently working with start-ups from various sectors to help them channelize their business models and investments.