A trademark is an important part of any brand’s identity; it helps the brand build a trusted relationship with consumers. Trademarks are an effective tool for communication about a business’s goods and services being offered. A business can convey its brand message in an emotional and intellectual way through a trademark.
Given that the marketplace can be crowded, trademarks allow for brands to be recognized by consumers and distinguish a business’s brand from that of competitors. By distinguishing goods and/or services in the marketplace, consumers may more easily find a business’s goods since they stand out from others. Along with this, trademarks allow for a trusted relationship to build between the business and consumers. When consumers see the trademark, they can be assured of the quality of the goods/services they are buying.
When a trademark is registered, it can become something that can stand the test of time if it continues to be used by the business. As such, the time spent selecting a trademark can be important because the trademark should be something that the business wants to continually use. If the business continues to use the trademark and renews the registration periodically with the United States Patent and Trademark Office, the business has sole ownership over the mark in its area of goods and services.
Furthermore, a registered trademark is an asset that can increase in value over time. For minimal upfront filing fees and later renewal fees, a business can obtain an asset that will not expire, as well as an asset that becomes more valuable as the business matures. For example, Google has one of the most valuable trademarks on the planet, with the trademark valued at $44.3 billion, or 27% of the company’s overall capital. The brand recognition that comes along with Google is one of the reasons its trademark continues to be valued highly.