All too often, we see businesses choose a type of business name that makes it harder to build a brand. Not impossible – it’s been done – but it’s another obstacle that, as someone starting a small business, you probably don’t want to have to deal with.
What is that type of name?
The infamous TLA, or Three Letter Acronym.
My notes
These are the notes I used as a starting point – so the video will more-or-less follow this train of thought. (But I did vary from this a little on the fly, as one does.)
- Intro
- Over the years we have seen lots of people starting up their own business – and many choose a TLA name
- This is a bad idea. I’ll tell you why today.
- Body
- What’s a TLA?
- Examples are KFC or IBM
- These are both pretty famous examples – but they didn’t launch as a TLA
- KFC was Kentucky Fried Chicken for decades before rebranding as KFC
- And have a look at the original IBM logo from 1924
https://www.ibm.com/ibm/history/ibm100/us/en/icons/makingibm/impacts/
- Both KFC and IBM started out using their full names, and after years of colloquial use they adapted to the market and officially called themselves what people were calling them anyway
- Maccas did a similar thing – temporarily – a few years ago
https://www.brandchannel.com/2013/01/08/mcdonalds-appeals-to-aussie-pride-with-maccas-rebrand-in-australia/
- Someone has learned though
- I noticed this packaging the other day – not a KFC to be found – they’ve gone back to Kentucky Fried Chicken
- Who do people get TLAs?
- I’ve heard a few reasons but I believe it’s often down to 2 things:
- They feel it makes them sound bigger (especially of you add “group” to the end of it)
- Or they are just being lazy
- Why is it a bad idea?
- It is meaningless and hard to remember to your customers and potential customers
- Was that QRP Group or QPR Group?
- Sure, you can spend a lot of money on brand awareness to educate your market about your name. But why do things the hard way?
- If people start using an abbreviation or derivative over time, that’s fine, let it happen organically
- Marty Neumeier in his book The Brand Gap, lists 7 criteria for a good name (Affiliate link: https://amzn.to/3qY2Zu3)
- Distinctiveness
- Not really – you’re in a sea of other TLAs – it’s a fail
- Brevity
- It passes this one
- Appropriateness
- TLAs don’t mean anything on their own, so this is a fail
- Easy spelling and pronunciation
- We get a pass on this one
- Likeability
- TLAs lack any sort of character for the most part – so a fail
- Extendability
- Marty defines this as “Does it have “legs”? Does it suggest a visual interpretation or lend itself to a number of creative executions? Great names provide endless opportunities for brandplay.”
- Examples
- Dodo have some fun with their character based on their name
https://www.dodo.com
- Dodo have some fun with their character based on their name
- This is a case by case basis – but it comes back to words have some meaning, TLAs on their own often don’t. So it’s not a fail but it’s a probable fail.
- Protectability
- Is this a name you can “own”? Not only in a legal sense, but also in the minds of people? If you have a big budget and can outspend others, then possibly. Maybe?
- Distinctiveness
- So we get a pass on 2 out of the 7 – brevity and easy of spelling. Important, sure, but probably not the most critical of elements either
- What’s a TLA?
- And finally
- Take a look at the world’s most valuable brands in 2020
- Not a TLA in sight in the top 10, and we have to get to 14 before we see any acronym at all
- Note those 7 attributes we looked at earlier, you might not be able to tick all those boxes, but you should be aiming to tick most of them.
- And don’t use a TLA!