Intellectual property and branding can be critical to a company’s long-term success. In addition to monetizing original creative works and trade secrets, companies may decide to utilize a trademark. A trademark is an image or symbol that represents the company and its brand.
Businesses may use their trademarks on packaging, company signage, employee uniforms and even on fleet vehicles. The goal is to promote brand awareness and ensure that consumers can readily identify the company they want to patronize.
Organizations that have a registered trademark can prevent others from using their trademarked image or logo inappropriately. They may also need to respond assertively if a new business or competitor starts using a trademark that is similar to one currently in use. Organizations can challenge trademarks that create a reasonable likelihood of confusion among consumers.
Why is consumer confusion a concern?
The purpose of a trademark is to help brand the company and connect with consumers. If a company in the same industry or an adjacent niche starts using a substantially similar trademark, consumers may find that confusing. They might patronize the wrong business and blame the other company for their dissatisfaction with what they receive.
A trademark might be confusing when it is visually similar to an existing trademark used in the same industry or an adjacent one. Businesses could also claim that there is a likelihood of confusion and scenarios involving nearly identical names or brands that sound the same when spoken aloud.
Timely trademark enforcement protects a brand
Confusing or similar trademarks can do real damage to a brand. The other company may not offer the same caliber of services or quality of products. They may engage in outright fraud, resulting in consumer complaints or litigation. The fewer consumers that end up duped by an intentionally misleading trademark, the better the likely outcome for the original trademark holder.
Proper trademark registration is only the first step toward protecting the company’s brand. Consistently monitoring the conduct of competitors and major players in adjacent industries can also be crucial to the protection of a company’s brand and overall reputation.
Initiating a trademark infringement lawsuit can potentially help a company protect its intellectual property and its reputation with consumers or other businesses.
