Have You Ever Noticed That Some Brand’s Use a Different Name in Different Countries?
Some brands use different names in different countries, and if you’re confused on why a brand would possibly do this, I’ll tell you why. The answer is trademarks!
When I went to London last summer, I was freezing on a day trip to Bath and on our lunch break, I spotted a store I recognized to run into for leggings (I was wearing shorts). It looked like TJ Maxx, except that the name was slightly altered, to TK Maxx. You see, everywhere outside of North America, the popular chain is actually known as TK Maxx, not TJ Maxx!
Obviously I snapped a picture for proof! Same logo format, they just swap out the J for a K.
When TJ Maxx, a U.S. company, was expanding into the U.K., there was already a retail store called TJ Hughes.
The entire point of a trademark is to avoid consumer confusion. Brands don’t want people seeing a brand with a similar name selling similar things and wondering if the two brands are related or affiliated in some way. When people are confused in this way it could impact a brand’s reputation, or cause people to buy from one brand when they meant to buy from or refer to the other.
TJ Maxx didn’t want there to be confusion between TJ Maxx and the already recognized brand, TJ Hughes, so they decided to change it to TK Maxx to avoid the issue.
This is why considering a trademark for your brand is so important. And why it is important to speak with a lawyer as early as possible when you’re naming your brand. What other brands exist in the areas you are doing business in can influence the name you choose. TJ Maxx just chose a slight modification for their stores outside of North America, but that might not be an easy thing to do for small businesses, so it is better to make sure you’re choosing a name that you will be able to stick with.
Other brands do this too:
There are a number of large companies that use different names in different locations. Burger King, which isn’t actually the original Burger King (see my blog post here for that story), is known as Hungry Jack’s in Australia because the name was already taken there so the franchisee came up with Hungry Jack’s as an alternative.
Another brand that had to change their name in different countries is Axe (men’s deodorant and other products). In the U.K., Ireland, Australia, New Zealand, and China it is known as Lynx, as they had to rebrand when expanding into those markets because of trademarks.
Although operating outside of the U.S. isn’t a major concern for most small businesses, trademarking as early as possible is still one of the best things you can do for your brand.
What is the law in the U.S.?
In the United States, the law technically is that the first to use the name has superior rights, regardless of who is the first to file the trademark. But these rights typically only apply to a small geographical area, so if you don’t end up being the first to file, it is going to cost you a LOT of money to fight the business that did file first, or you could be stuck operating within a very small radius. Most small businesses don’t have the kind of cash it takes to fight a brand that filed first, as it can cost anywhere from a few thousand dollars to a few hundred thousand dollars.
If you plan to operate outside of a very small geographical area, it’s best to be the first to file a trademark application, because remember, trademarks are all about avoiding confusion. It isn’t just an identical brand that can be an issue, but anything that sounds similar, looks similar, has a similar meaning, or even impression.
No matter how unique you think your brand may be, it still has the potential to cause confusion. Work with a lawyer who knows her trademark stuff to make sure you’ve got the best shot at protecting your business and brand. 😘
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