While most businesses recognize the value of using trademarks to differentiate their products from those of their rivals, but only a few of them do. Because trademarks are so important in determining a product’s success in the market, they must be properly protected.
You can protect your trademark by registering it. By this way, your company gets the exclusive right to use the trademark. This will prevent others from promoting identical or comparable products under a confusingly similar or identical trademark. You can license or franchise the use of your protected mark to other businesses, creating more revenue for your company. A protected trademark with a good reputation to customer could be used to raise funding from financial organizations such as banks or venture capital funds, which are increasingly aware of the role of branding in business success.
If you don’t protect your trademark, another company may (accidentally or purposely) use a confusingly similar or identical sign to their products. Your rivals may use the same or comparable trademarks as you and benefit from the reputation and relationships you have developed with your consumers and business partners. When another company uses your trademark, it can cause confusion among your customers and impact your company’s brand and image, especially if rival products are of lower-quality.
Therefore, trademark protection for your products will help you:
- Ensure that consumers can distinguish between products from various companies.
- Assist companies in differentiating their products;
- Make a promotion approach and a foundation for creating a brand’s reputation and image;
- Create opportunities to license and earn money through licensing fees.
- Can be a vital part of the franchise contract;
- Can be a valuable trade secret;
- Encourage companies to invest in maintaining product quality to prevent deceiving customers;
Trademarks can also be protected by usage in certain countries (particularly those with “common law” systems such as Australia, Canada, India, the United Kingdom, and the United States). The key benefits of registering in this case are:
Registration creates proof of rights, which is highly valuable in the context of a conflict with a third party.
- Registration creates proof of rights, which is highly crucial in the context of a conflict with a third party.
- An application can be submitted before using a trademark, giving you the exclusive right even before the promotion of your product begins.
- Registration makes it simpler and more affordable to use your rights;
- The trademark will be stored in the National Trademark Register.
- The ® symbol may be used alongside the trademark.
