Naming strategy: Why a name alone isn’t enough.

A naming architecture is the organizing principle behind a company’s names. It defines how the company name, product names, technology names, and sub-brands relate to one another and how they collectively strengthen the brand rather than weakening it.

This isn’t about creativity. It’s about structure and function. A naming architecture accomplishes three things:

It organizes a product portfolio and must also account for performance classifications, categories, product versions, or technology generations. Customers, sales teams, and partners can see at a glance where a product fits within the portfolio and how it differs from others in the lineup.

A well-thought-out naming system gives the sales team a story to tell. It makes product relationships easier to explain, simplifies cross-selling, and strengthens brand perception beyond individual products. In marketing, it ensures consistency across campaigns and channels – without the need to position each product individually.

It answers questions before they become critical: Does every product need its own name, or is a naming system with variations enough? How will a new product fit within the system in three years without requiring a complete update of the naming structure? Does a name have the potential to lead a category and be successful in international markets?

Kermi, one of Europe’s leading manufacturers of heating, heat pump, and ventilation systems, is an example of how brand architecture is created in practice. Not on the drawing board, but within the company itself.

The starting point:

Kermi was an established radiator manufacturer with a strong market position in the DACH region and across Europe. However, forecasts indicated that the radiator market would shrink due to regulatory interventions, the energy transition, and changes in building standards. Management took action: Kermi should transform from a radiator manufacturer into a systems provider and enter the heat pump production market. A market that already had over 100 competitors.

The briefing:

A launch campaign for market entry. But as we worked together, it became clear that a campaign alone would bring visibility but not a solid foundation. What was missing was a positioning strategy and a naming strategy to carry the entire market entry.

The strategic conclusion:

The company already had a foundation on which they could build: the “X” from the X2 flat radiator technology. At Kermi, this letter wasn’t just a trend, it had technical substance: The two-tone “X” stood for heat exchange between the supply and return lines, the optimization, which was the core of Kermi’s brand. And the x-net surface heating and cooling systems already existed. A logical foundation for a naming system. So this was no random choice, it was a strategy.

The system:

Based on this letter and the core positioning concept of “Optimization,” we developed the X-Optimized heating system in collaboration with Kermi: x-change (heat pump), x-buffer (heat storage), x-center (control and regulation), x-well (controlled residential ventilation), x-fresh (air conditioning and ventilation units).

The thermX2 radiators and the x-net surface heating and cooling systems were, of course, integrated.

Each name was unique, but immediately recognizable as part of the system. The “X” linked all products to the brand’s core—and to the radiators Kermi was already known for in the market.

An added bonus: The name “x-change” was already trademarked by Kermi, though the company hadn’t yet realized its strategic value. Sometimes the most valuable things are already right under your nose.

The “x-optimized system” was launched in 2011. Three effects still have an impact today:

The most powerful naming systems don’t come out of nowhere. They build on something that already holds significance within the company – a technology, a positioning strategy, or a brand identity. Naming that grows within the company has substance. It is recognized, not learned.

Before you can decide the first product name, you need to have the architecture in mind. What products will be released in two years? In five? How will the system grow without becoming inconsistent? If you’re only planning the next launch, you’re setting yourself up for uncontrolled growth.

A naming system that works in the home market may not work in the U.S. or China. Pronounceability, cultural connotations, and protectability in other jurisdictions – these issues should be addressed during the initial planning phase, not as an afterthought. Anyone who views the Americas or APAC as relevant markets must take this into account from day one when developing a name.

Good to know: Keep project names short

One point that isn’t directly related to naming architecture but affects every naming process: Internal working titles that sound good turn into “zombies.” They become fixed in people’s minds and in documents, competing with the actual brand name – sometimes for years. The more neutral and interchangeable the project name, the easier it is for the brand name to take hold.

A launch campaign would have brought Kermi visibility—for a year or two, perhaps. A naming system has built a brand. That’s a difference no media budget can replace.
Anyone preparing to enter a market, expand their product line, or reposition their brand shouldn’t start with the name. Instead, they should ask: Do I need a name or a system?

Thilo Wiedeking, Head of Marketing at Kermi, tells the whole Kermi story on the Name.Macht.Marke podcast.