The Disadvantages of a Weak Brand Name

by Casey Anderson; Updated September 26, 2017
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A good brand name is an effective marketing tool that has the potential to turn any product or service into a household name. However, it takes extensive research, time and money to develop a strong brand name and, once created, there’s no guarantee that the brand will result in increased sales. With all that goes into creating a strong brand name, not putting forth the effort can be even more costly in the long run. A weak brand name can result in the loss of sales, customers and repeat business.

Low Consumer Awareness

A strong brand name will stand out and tends to stay in the public consciousness for a greater period of time. However, if a brand name isn't memorable and isn't easily identifiable with the product or service it represents, it will quickly fade away from consumers' memory. Even high-quality products will suffer as a result. Word of mouth may be an excellent and inexpensive form of advertising, but without a stand-out brand name, sales may be lost to a lesser product with a more dynamic name.

Lack of Customer Loyalty

Repeat business is the cornerstone of any effective marketing campaign. Consumers generally go back to brands they trust on items they may use every day. These items generally have a following; so much so, that the brand name is easily synonymous with the products themselves. Having a weak brand name will not entice your customers to purchase your product time after time and may drive them to other competitors with a stronger brand name or better consumer awareness.

Loss of Sales

It stands to reason that lack of customer awareness and loyalty results in lower sales. But future opportunities for revenue can be lost as well. A strong brand name may create brand equity, where the brand generates feelings in the consumer. With a brand name with a strong consumer following, companies can afford to increase the price of the product or service, resulting in higher revenue. The brand name may even umbrella out to other services or products, creating a unique brand identity.

Bottom Line

It takes time, expense and considerable resources to create a strong brand name; however, the disadvantages of a weak brand name can be even more costly in the long run. Loss of sales, repeat business and customer loyalty can ruin the future of even the most high-quality product or service. Consider the importance of branding when launching a product and realize its impact on future revenue.

About the Author

Casey Anderson is a part-time writer and full-time marketer who has been published on websites such as Opposing Views and Salon. She has also contributed articles to local Detroit Magazines, Strut and Orbit. A Wayne State University Master of Business Administration graduate, Nation began her writing career in 2001 and has extensive experience in business and research writing.

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