Why do famous brands choose the business names they do? Is there a recipe for choosing the perfect company name when you’re starting out? As it turns out, there really is. However, that recipe isn’t the same for every industry niche, every brand, and every time period. That’s because names go through trends, just like anything else. Does that mean you have to conform to the trend when choosing your business names in order to stay relevant? No. It means there’s a guideline out there that you can use to draw inspiration from. A few years ago, for example, there was a great surge in single word names. Examples of this include Apple and Amazon and also the famed designer clothing retailer, Gilt. 

Who is Guilt?

Speaking of smart business names, Gilt is a great example. Gilt Groupe first launched their women’s wear in November 2007 and followed with their menswear in April 2008. The business has enjoyed mixed successes and losses but since coming into the hands of  Rue La La in 2018, it has changed its focus to target value shoppers, and this has seemed to be more successful than the eclectic mixture of ventures they ran previously. 

Gilt Groupe is a members only e-commerce store that sells high-end fashion items at massively discounted rates for a brief and limited time. Buyers can expect to save around 60% of designer wear. As a result, the site has been met with suspicion by many shoppers, however, the brand has managed to solidify itself as a trusted entity in the digital shopping sphere thanks to its cohesive branding. Typically, 70% of Gilt’s sale items are sold out within 90 minutes of being listed. They’ve also won some prestigious awards, including Webby Awards – Fashion & Beauty – People’s Choice Winner and Best User Experience – Honoree. 

Business names: What makes “Gilt” work?

Gilt, as a word, has a few different meanings but one could surmise that the most fitting definition, in this case, might refer to the adjective: “gold in color; golden.”  Gold denotes wealth, royalty, power, and beauty. This goes far back in humanity’s history, as is evident when we consider the Ancient Egyptians and other cultures that clad their royal leaders in gold. 

Gilt as a business name: When you consider that Gilt Groupe entered the marketplace to appeal to image-conscious fashionistas, the business name choice makes sense, even if it is rather elusive and cryptic to the average shopper. They are appealing to shoppers who value a good bargain, you can imagine how a name that is so closely linked with “gold” might evoke the trust they’re hoping to inspire in their buyers. Gilt, and the meaning of it, helps to identify this brand as an elite seller as opposed to the cheap retailers that sell knock-off fashion products. It was imperative that the brand makes it clear that they’re the real deal in order to establish themselves. Their business name is one way to do this. 

Gilt’s target audience and brand identity

Gilt has chosen a tricky target audience, but their business name successfully appeals to their chosen demographic. While they have satisfied a clearly defined need in the fashion industry – more affordable access to designer wear for the average shopper –  the average shopper has become skeptical of anything that sounds too good to be true. Many of these shoppers have identified no-name brands that retail similar looking clothing items at a fraction of the cost. This significantly narrows down the target audience Gilt Groupe can approach as clients. It means they need to appeal to those who value prestige, appreciate name brands, and maintain a very particular image but on a minuscule budget. Their business name doesn’t focus on the “minuscule budget” aspect, choosing to highlight the glitzy side of the service.

Choosing business names? Take inspiration from Gilt

Gilt has selected a retail brand name that is short, succinct, and, even if you don’t know what the name means, it still evokes an image that hints of a designer lifestyle and trending look. 

The importance of naming your e-commerce brand correctly has been established as a crucial stepping stone in establishing your organization’s identity. Harry’s, much like many other examples of authentic branding, seems to have been a trailblazer in their industry. Not only is the name “Harry” a common male name, but it’s also not particularly glamorous. T doesn’t provide as much as a hint as to the nature of the company. It’s extremely abrupt. So, how is it, that a name like “Harry’s” can pave the way for a brand to become a tremendous name in its industry – a household favorite, in fact? And what can other small businesses learn from this valuable example of authentic branding? 

About Harry’s 

Harry’s is a personable brand that embraces authenticity as part of their identity. They’re here with a clear-cut mission: to bring quality shaving products and tools to men without the hefty price tag that generally accompanies the popular name brands. They’re attainable. Stylish. They’re an example of authentic branding, there’s absolutely no pretense here. Their claim to popularity comes from their superior-grade shaving products that are designed, researched and tested, manufactured, and controlled by a team of over 600 engineers, designers, craftsmen, and chemists. 

Jeff and Andy are two everyday men that decided to create a product that’s easily accessible to most guys (they particularly make mention of the annoyance of standing in a queue at a drug store waiting to be given a classy razor out of a cabinet) but still high quality. The success of their authentic branding strategy is largely thanks to their relaxed brand identity – its’ simply so relatable – but it’s not just that. They started with the end in mind, creating something that answered a demand. Men wanted great razors without the hassle, the pretentiousness, and the high prices. 

Why their authentic branding sets them apart from their competitors

They’re bringing a great quality product to the average “dude”, believing that all men deserve a close shave that’s comfortable and kind to skin. So, who started this brand that’s become so iconic? In part, it lies in the power of a name: ‘We thought that other shaving brands portrayed an idea of a perfect guy with a perfect jaw but we wanted an honest brand that says we are for normal guys. We think Harry’s fits the bill. The name actually came from a grandfather figure of mine.’

Where every other name in the shaving manufacturing industry was touting this icon of a man with a perfect jawline and model-like features, Harry’s embraced the messiness of masculinity. The realness of being a guy. It turns out that this authenticity is so relatable, it became their major selling point, leading to other iconic names in the business, that are an established household name, creating product lines imitating this one. Authentic branding refers to how well your brand aligns its actions with its “ethos”. It can also refer to how relatable and real your brand is – is it something an average consumer can relate to or is it the icon of perfection consumers can only strive for? Authenticity refers to the former example. 

Understanding “authenticity” in the branding game

Authentic branding is a new style of marketing that is proving that realness sells far better (in some industries) than perfection. Many consumers are more at ease with a brand that shows its vulnerability and invokes humor to set consumers at ease about their own imperfections. This is because consumers feel at ease with themselves. In the case of Harry’s, authentic branding has worked because their target audience is men, who are generally less inclined to uphold an image. Men are practical. They desire practicality and logic. There’s nothing quite as dress-down and average as the name “Harry”. It’s that “come as you are” attitude that has buyers flocking over, exactly as they are. 

Wayfair has experienced significant success since 2011, however it wasn’t always smooth sailing. In fact, it was a major name change that turned things around for the home and furniture company, demonstrating the critical role a business name plays in branding. Let’s take a look at their story.

About Wayfair

Wayfair wasn’t always called Wayfair. Originally founded in 2002, the e-commerce company initially operated under the name CSN Stores. CSN Stores was the project of two entrepreneurs, Niraj Shah and Steve Conine, both graduates of Cornell University. The original name was derived from the pair’s initials, CSN. 

The company began offering storage furniture and media stands, before branching off into patio and garden supplies in 2003. They moved from a two-person company to one with more than twelve employees, opened three online stores, and moved their headquarters from Conine’s spare room to an office in Boston.

The growth didn’t stop there. The expansion continued into a range of markets from home decor and furniture to luggage and lighting. The company had a revenue of $100 million in 2006 alone. This prompted further expansion across the USA and into international markets. By 2008, CNS Stores was operating in the UK, even opening a London office to service its clients in that area. They were also named the ‘fastest-growing private e-commerce company in Massachusetts’ by Boston Business Journal, an aptly awarded title given the speed of their expansions.

The problem Wayfair faced

While CNS Stores experienced huge success, thus leading to their rapid expansions, they continued to face one key problem – nobody knew their brand. Up until this point, CSN Stores was the overarching brand for a variety of niche websites that each focused on a specific house or furniture product. While consumers were familiar with the specific sites, they did not make the connection between one of CSN’s specialty sites and another.

As CNS Stores expanded into new markets, they would simply create a new website and name specifically for that product. Shah and Conine’s entire approach was cemented in SEO techniques, and new websites worked to an extent. They identified a gap in the market, chose a product and created a website that would be visible in Google searches. This approach was successful because consumers would somehow stumble across a CNS Store during their research. 

The problem was that CNS Stores had very few repeat customers. This occurred for two reasons. Firstly, the majority of customers had landed on the page unexpectedly to begin with, but the other issue was the fact that there was no link between the different CNS Stores websites. There was no umbrella brand that people recognized or any link between the sites that would refer consumers between them. Customers were simply landing on the page, buying a product and never really engaging with the stores again, unless they happened to find one of the stores through a Google search in the future.

How they chose the name Wayfair

Shah and Conine recognized this problem. They needed a new, stronger brand, one that would connect all of their products together and that people would recognize. And it needed a name.

They engaged a marketing agency and the Wayfair brand was born. There is no special story or unique meaning behind the name Wayfair. Instead, it is simply a combination of two words that performed well during focus group testing: ‘way’ and ‘fair’. 

That being said, it passes all of the tests. It is simple, easy to remember and most people would be able to understand what you are saying if you mentioned the term to them in a crowded room. And as it turned out, a new name (and united brand) was exactly what Wayfair needed.

Why the name Wayfair resulted in success

As of September 1 2011, CNS Stores was no more. By July 2012, all of the niche websites had been consolidated under the Wayfair brand. Shah and Conine had addressed the disjointed nature of their company and the move paid off.

Wayfair generated revenue over $900 million in 2013 and was the largest home and furniture e-commerce brand in January 2014. It was also the 33rd largest e-commerce brand in the USA, and the success didn’t stop there. The brand has gone from strength to strength, bringing in a revenue of $4.7 billion in 2017. All because of a rebranding exercise and a name change.

If you’ve ever doubted the power of an e-commerce brand name before, Wayfair proves why the right name (and good branding) is essential to success.