The importance of trademark registration for your company

With the economic recovery, companies in the sector have rethought the way to do business and maintain an active commerce, reviewing what would be necessary to improve the image and the profits that can be produced, however, they still think that registering a trademark is not necessary to have a much more profitable business, being in a big mistake.

Registering a trademark is essential to generate a real identity in the market. Creating a business does not only mean creating a product or service, it includes ideas and the creativity with which you develop them, giving it greater visibility if we have a brand.

First of all, we must know what a trademark is and what it consists of. Law 17/2001, of December 7, 2001, on Trademarks states that a trademark can be any sign, especially words, including personal names, drawings, letters, numbers, colors, the shape of the product or its packaging, or sounds, provided that such signs are appropriate to distinguish the goods or services of an enterprise from those of other enterprises and are represented in the Trademark Register in such a way as to enable the competent authorities and the general public to determine the clear and precise object of the protection granted to its owner.

The main function of the brand is to enable consumers to identify the service-product offered by a company, in order to distinguish it from identical or similar products offered by competitors. Those who are satisfied with a given product or service are more likely to buy again or to hire the same service again.

To do so, they must be able to distinguish it from other identical or similar products. Since they enable companies to differentiate themselves and their products from those of their competitors, trademarks play a fundamental role in development and marketing, and help to project the image and reputation of products or services to consumers.

By having a brand, it is possible to generate a loyal clientele, also encouraging the company to improve the quality of services, since the brand is directly related to such quality. In other words, the company will want to guarantee a good reputation by improving the product or service related to a certain brand. Therefore, a brand is a great commercial asset and can become an essential part of the evolution in a specific market.

As we know, this is because many consumers value brands, their reputation, their image, and based on this, they are willing to pay a higher amount for a service from a brand they recognize.

But the essential question is why should trademarks be protected?

The registration of a trademark grants the company the exclusive right to prevent third parties from marketing identical or similar products with the same trademark or using such a similar one that may cause confusion.

If the company does not register the trademark, the investments it makes in the marketing of a product may be useless, since its rivals could use the same or a confusingly similar trademark to market identical or similar products.

This affects the company's profits directly, as it confuses consumers and may cause it to affect the reputation of the business, if the rival brand offers a clearly inferior service.

For this reason, and in view of the advantages that can be obtained with the registration of a trademark, it is necessary to detail in broad outline how to proceed.

Trademark protection in Spain (with a duration of 10 years) is obtained, as established by Law 17/2001, of December 7, 2001, on Trademarks, by registering it at the Spanish Patent and Trademark Office (SPTO). The application for registration can be filed online, through the SPTO website, which has an electronic office and allows payment by credit card for some of the industrial property modalities, or in person at its offices.

The registration of a trademark will, of course, enjoy greater protection, especially in cases where there is a conflict with an identical or confusingly similar trademark.

In addition, it should also be taken into account that the choice of an appropriate brand is a determining factor, since it is an important element of the company's marketing strategy. There are no established rules or parameters to be taken into account when selecting the brand that will differentiate the company from others, but there are recommendations that could be useful.

First of all, it is essential to check that the denomination you have chosen meets all the legal requirements for registration, as it may have some grounds for refusal of the application.

Secondly, a search must be carried out through the SPTO platform to verify that the trademark we intend to register is not already registered or that there is a trademark so similar that it could lead to confusion.

Finally, the brand must be easy to read, write, spell and remember and lend itself to all types of advertising media without having negative connotations either in its own language or in any of the languages of the markets in which it intends to work.

Together with the trademark application filed at the SPTO, it will be necessary to pay an established fee, which is reviewed annually. The amount of the fee will depend on the number of classes of the Nice Classification to be registered. This is a classification of goods and services for the registration of trademarks and service marks.

In short, the trademark and its registration is essential to promote the activity and the product or service of a company, making it easier for the consumer to recognize what is being marketed. Therefore, when it comes to positioning the company, it can be an essential instrument with which to achieve great benefits, adding a new point of protection to the business.

Pilar Mata (Lawyer T&L)