2 Reasons Your Brand Name Is Very Important (Part 2)
In Part 1 of this series, we established the fact that your brand name introduces your business to your target audience and the world.
Going further, we want to establish another fact as far as your brand name is concerned. What’s the fact?
Your brand name is one of the most valuable assets of your business!
Most of the time, when we talk about business assets, our minds only go to the tangible assets of the business. Such tangible business assets include the following:
• Business website
But do you realize there are other business assets that are intangible in nature? Such intangible, but equally important, business assets include:
• Brand names
• Business goodwill
Now, out of the above-mentioned business assets (tangible and intangible), the most valuable asset you have as an entrepreneur just starting out is your brand name! Why?
• All that your business does (and will do in the future) is incorporated into your brand name.
• People discover about your business (online and offline) first through your brand name.
• You have your brand name before you begin to have other business assets.
• Most of the time, your brand name will outlive other assets of your business, including you.
• Your brand name is the first brand ambassador of your business.
• People often attach your business goodwill to your brand name.
Hence, your brand name isn’t just a business asset, but one of the most valuable assets of your business.
Also, to further buttress the fact that your brand name is one of the most valuable assets of your business, let’s briefly consider the issue of trademarks.
More startups, small businesses and companies are trademarking their names to legally prevent others from using them. Why do you think they are doing so?
Let’s be personal now: If you decide to trademark your brand name today, why will you do so? That’s because you know how valuable it is to your business, isn’t it?
Many entrepreneurs are being sued for using trademarked brand names for their businesses. These law suits are not free at all. That means the sued entrepreneurs would spend the money, time and efforts needed to grow their businesses, on law suits.
What is the lesson here? Attach equal importance to your brand name, and you will save yourself from wasting money, time and efforts in the long run.
If well-established and globally recognized brands don’t joke with their brand names, why should you joke with yours if you intend to attain their status one day?
Furthermore, to further prove that your brand name is one of the most valuable assets of your business, below we have listed seven most expensive domain names of all time.
The interesting thing about the domain names is the fact that they are also the brand names of the companies that originally registered them.
Please, note that the buying companies only bought the domain names from the selling companies — nothing more!
Below is the list:
7. Fund.com was sold for $9.9 million (2008)
6. Hotels.com was sold for $11 million (2001)
5. Insure.com was sold for $16 million (2009)
4. Internet.com was sold for $18 million (2009)
3. Privatejet.com was sold for $30.1 million (2012)
2. Vacationrentals.com was sold for $35 million (2007)
1. Insurance.com was sold for $35.6 million (2010)
Before the dot com boom, who would have thought a domain name would be worth a million dollars and more? But that is what has happened and is still happening!
Now, let’s take Google for example. Google as a company is Worth hundreds of billions of dollars. How much do you think its domain name (or brand name) would cost, were it to be sold? Billions of dollars? Possibly!
Conclusively, do you see your brand name as a business asset? More importantly, do you see it as one of the most valuable assets of your business?
How you view your brand name will determine how you will treat it and how far it will go to work for you!