Digital startup naming mistakes that everyone should avoid

Imagine, you’ve got a fantastic business idea with great prospects, clearly defined audience and the revenue model is crystal clear too. You are absolutely bullish about its chances to become “the next big thing”.

Suddenly, everything comes crashing down because your billion dollar dream domain is not available.

Any why not, the world consists of nearly 6,500 spoken languages. Thousands of new, weird words are coming to life every year. No matter how smart you may be, there is no way of knowing all of the words in the world or who, in the online arena, has used them before you.

Choosing a name just like that is absolutely out of question because the name you’ve chosen may have a negative connotation in the real or virtual world. It could be a bad omen in certain specific cultures or a slang used in some absurd social context. You would obviously want to avoid all those options.

Here are simple tips to help you avoid some of the startup naming mistakes.

Research

Google your desired brand name. What results are in the first page? Anything suspicious there? Are people complaining? Answer these questions by following these steps.

  • Should your new brand name sound like a generic word, evaluate the strengths of the first 10 results and make sure you will be able at all to rank for it. Use the Mozbar to check the Domain and Page authority of each result.
  • Check your new brand name in Google’s Keyword planner. Are there search volumes shown for your new brand name in exact match? Then it must exist somewhere, so you need to Google for it better.

Also Read : 7 Tips to name your company

Domain doesn’t matter

In my experience as a startup consultant, I’ve seen founders losing their night’s sleep over not being able to get the exact domain name as the business name. Frankly speaking, domain name doesn’t matter at all. The name itself matters much more than having the same domain name. Pick a great name, go with a tweaked domain name. Pick a great name, then add something to get a domain name. It really doesn’t matter all that much – whether you get the domain later or don’t. Then get building!

Also Read: Does your company name matter?

Don’t pick too creative names

The problem with having a name like Naymz, Takkle, Flickr, or Speesees is that you will forever have to spell it when you say it, because it isn’t spelled how people hear it. Most importantly, with voice recognition devices like SIRI or Google Now, you would never be able to get your brand search on the top.

Don’t play mixology with your company name

If you invent a new “word” for your name, be careful that it doesn’t sound unnatural. Mashing two words together or mixing up a bunch of letters to form a new word rarely appears or sounds smooth. And be cautious using trendy suffixes to make up a new word. Startups names like Learnyst, Hotelogix, Intelliber, Mobiefit are such examples.

 

6 stages of Digital Startup business

If you are reading this post, I can assume that you have an idea and you are on your way to build your startup or else you have a deep desire to build one. Don’t worry, you are not alone in your journey. Building startups seems to be the only thing on the mind of every professional.

For a long time, the venture capital world has often correlated the ability to build a successful startup with the age & experience of individuals. Not anymore.  According to a Harvard Business Review report, the average age at founding (a startup) was just over 31, and the median was 30.

 

Startup Founder Age of VC Backed Companies

Startup Founder Age of VC Backed Companies

However, age has nothing to do with the stages of startup but interestingly it can increase or decrease the duration of your pre-startup period.

Now if you search on the Google, you would find different views & opinions about the stages of startup business. Frankly speaking, none of them is incorrect. But the one which has simplified it considerably is created by StartupCommons (see below):

 

Startup Development Phases & Lifecycle

Startup Development Phases & Lifecycle

Key stages of digital startup

Stage I : Ideation

In this stage, the startup founder(s) builds, sharpens, polishes their “potential scalable product or service idea” for a big enough “target market“. There is no need for any team or resources at this stage of startup. A significant amount of time goes into the market research, collecting data about primary & secondary audience. The end outcome is a very simplified 30,000 feet business plan document that defines all the key variables about your business in a nutshell. Most importantly, at the end of this stage you should know, who would pay for your product & service & why?

Also read: How to write a business plan document by Sequoia Capital

Stage II : Concept Development

Once you are convinced about your core startup idea, the next stage is to find your core team of people whom you would want to be part of your journey. A lot of startups (especially tech startups where founders are programmers and core architects) want to keep their idea within the closed room till they get the venture fund. Usually it delays the project considerably as they end up doing a lot of non specialised tasks by themselves.

In the concept development phase, you should start creating your actual business plan with estimated financials  of budgets, possible revenue and key company milestones for the next 2-3 years. Identifying your core team and involving them in the ideation process is absolutely critical as this would set the stage for actual business roll-out.

Stage III : Commitment

This is the stage when the founders actually start building the MVP or Minimum Viable Product for the users to test their business idea. According to Techopedia:

A minimum viable product (MVP) is a development technique in which a new product or website is developed with sufficient features to satisfy early adopters. The final, complete set of features is only designed and developed after considering feedback from the product’s initial users.

In case of services business MVP, it needs to build the tools for service delivery like wireframe of CRM for customer lifecycle management and how it would be linked with an online customer acquisition and final service delivery.

An MVP is one of the most important stages in any startup business. Not just it allows the founders to calibrate their efforts & product idea, it is the stage when you can start marketing about your product/service to prospect angel investors (not VCs).  The commitment stage is also critical to define the roles of the founding team & the shareholding pattern for the first 2-3 years of business.

Most of the early stage hiring happens during this stage of startup. The team size are thin and the founders literally bootstrap it to the maximum by doing multiple roles.

Also read: How to hire for bootstrap startup?

Stage IV : Validation

‘Validation’ or ‘proof of concept’ is one of those stages of startup business where they have to live with a great degree of vulnerability, both from inside & outside. In the validation stage, founding team has to show maximum value for all stakeholders, starting from its current customers, its employees to current angel (if any) & potential investors.

In many ways, this stage decides the fate of your business idea, and hence it gives the maximum stress to the startup owners.

On one side, the founders are struggling to find the right product strategy & brand positioning that would allow them to attract potential Series A/B venture investment, and on the other side, there is a continuous pressure to show some running profits and ensure customer delight. Incidentally, most of the startups lose their plot during this stage of business.

 

Also read: Worldwide Failed Startup Trends

Stage V : Scaling Up

This stage usually start after you’ve received your Series A investment and now you are looking to scale the length & breadth of your business operations. A significant amount of time goes into hiring resources, marketing your product in the target markets to key audience, building a strong word of mouth PR, and accelerating your quarter on quarter revenues.

Stage VI : Growth

This stage is actually subject to how your business idea has performed. Once you’ve achieved a critical mass of customers, you enter the growth stage in which you can diversify your business through possible acquisitions of smaller companies or you can enter newer markets by raising more venture fund. Fundamentally, there is no fixed time duration to this stage as most of the startups want to remain in the startup mode for a long time.