Share This Article
Why a registered trademark is needed
A registered trademark is not a necessary element of doing business, but it is very useful. By registering it, you can not only increase the recognition of the company but also achieve large sales volumes.
Registering a trademark does not require a large investment and is quite affordable even for small businesses. At the same time, it contributes to the recognition of the company, which in turn allows you to increase sales by about 50%. It is best to consider the benefits of such a tool through an example. With a turnover of $1 million, the company can increase its turnover to $1.5 million by improving its visibility. Moreover, the investment, in this case, is about 5-10% of the original amount, i.e. 50-100 thousand dollars, while the net profit is 400 thousand dollars.
Trademark – this is an element of brand positioning, its message to consumers. The name contains the idea that the company develops, and the values and mission of the company are transmitted through it. The marketing strategy should be based primarily on the meanings that the brand carries.
The human brain is more likely to absorb information that is relevant to it for a number of reasons, including that it is relevant at the time and that it fits with its worldview. And if a brand resonates with a person’s needs in one way or another, there is a better chance that they will become regular customers.
In conditions of high competition in the market, it is important to have advantages that will positively distinguish the company. Such a tool is a trademark. A short, concise, and memorable name will help consumers to remember and choose your product instead of the competition. Thanks to promotion you can increase the product’s recognition, and increase the confidence of the target audience. Even if the consumer has not yet become your customer, an attractive name and logo will help to correct this.
A brand is an essential element in building a relationship with customers. The higher the level of trust in a company, the easier it is for consumers to tolerate price increases for goods and services, changes in packaging design, rebranding, and other innovations. At some point, the brand itself becomes the best advertising tool. This is evidenced by brands that do not need additional advertising, such as Apple or Microsoft.
It’s important to understand that a trademark is not just a pretty name and a recognizable visual element. It helps protect the interests of the business by eliminating the risks of competition from a company with the same name. The registered name allows you to legally protect the company’s interests. However, it is important to understand that trademark registration must be done in each country where the company is present, otherwise, there is a risk of encountering a similar name from local companies.