To the Folks at Twitter: Use Trademarks to Monetize Your Traffic

I just read an article on a packaging blog that mentions how companies are adding their Twitter ID on product packaging. I agree with the article’s conclusion that it’s a smart marketing move that allows a company using this strategy to stay in touch with customers. Pepsi, for example, added “twitter.com/pepsiraw” to its Pepsi Raw beverage packaging.

Here’s an idea for the folks at Twitter, who have been criticized for not monetizing their customer base. Try licensing your trademarks to companies who want to add the Twitter ID to their product packaging. After all, you own the Twitter trademarks! You can license the brand name and logo for premium royalties, in my opinion.

I ran a quick search and found six live trademarks federally registered to Twitter.

Blogger Sues Goldman Sachs For Domain Rights

It would be an understatement to say that Michael Morgan dislikes Goldman Sachs. Mr. Morgan expresses his vitriol against the large investment bank in not-so-subtle terms. Mr. Morgan writes on his blog: “Yes, I am short Goldman Sachs stock. I believe this company is evil and should not exist. We need to begin to break up companies that have as much control over world finances as Goldman Sachs.”

His explicit contempt, however, is not what drew the ire of Goldman Sachs and its attorneys. Instead, it’s the domain name that Mr. Morgan reserved to express his views. The domain name for Mr. Morgan’s blog is goldmansachs666.com. As Mr. Morgan writes, his blog’s purpose is to serve as “an open forum for facts and discussion about what part Goldman Sachs and their executives played in the current Global Economic Crisis.


goldman

On April 8, 2009 Goldman Sachs’ attorneys fired-off a cease and desist letter to Mr. Morgan. The letter states “your use of the mark Goldman Sachs violates several of Goldman Sachs’ intellectual property rights, constitutes an act of trademark infringement, unfair competition and implies a relationship and misrepresents commercial activity and/or an affiliation between you and Goldman Sachs which does not exist and additionally creates confusion in the marketplace.”

gs_letterimage

Mr. Morgan had several options at that point. He could have ceased using the domain name as requested by the letter. He could have ignored it and risked further legal actions. Or, sue Goldman Sachs and petition a court to uphold his use of the domain name as a legal use, and not a trademark infringement as claimed by Goldman Sachs. Mr. Morgan chose this last option, and has filed a complaint in the United States District Court – South Florida. Click here to read the complaint.

Liquidators Buy Bankrupt Brands For $175 Million

The New York Times has a great story on entrepreneurial companies that have purchased bankrupt company brands. Among them: Sharper Image, Linens ’n Things and Bombay.The price for these three trademark rights is estimated at $175 million.

Borrowing Blue

Smart marketing. That is what comes to mind when I think about what China Glaze has done with the branding behind its For Audrey nail polish. Take a look at the product.

For Audrey Nail Lacquer Ad
For Audrey Nail Lacquer Ad
Something Blue Counter Display
Something Blue Counter Display

Did you notice the clever associations the nail polish company created by relating the product to the blue color associated with an iconic jewelry store? Or the movie with that store’s name?

On its Web site, China Glaze calls this product a “Tiffany inspired turquoise creme nail lacquer”. But the word “Tiffany” does not appear anywhere on the nail polish bottles or the store displays.

Why is this all so clever? Because the color conjures up images of exclusivity, allure, romance and also a bit of decadence. How did this come about? There is actually a trademark tale behind it all. Tiffany & Co. owns the trademark exclusive rights to use the color robin’s egg blue for boxes, shopping bags, packaging and catalogs in various markets, including fragrances, tableware and crystal. The famous luxury retailer has done a magnificent job of managing this exclusive trademark color in the market for high-end luxury items.

Has China Glaze infringed the color trademark owned by Tiffany & Co.? Not likely since their nail lacquer is not included in the above categories.

Will Google Shut Down Copycat Site?

A student in my Entrepreneurship class recently made me aware of the site: “Let me Google that for you” .com (LMGTFY).

As the name of LMGTFY implies, the site shows you how to search Google if you follow the simple steps listed on the site. I showed the website in class, and one student immediately thought it was a joke. “That’s not so unique” was one comment. “Why not get rid of the middleman and go straight to Google?” another student asked.

As it turns out, the website is dedicated “to all those people that find it more convenient to bother you with their question rather than google it for themselves.” So, if you receive an annoying question, rather than ignore the person or say something nasty, you can send them to LMGTFY and hope they get the message not to bother you again.

The website raises some intellectual property issues, however. I asked the class if they would be willing to invest in this company. The site apparently is trying to raise advertising revenues and claims to have a “steady stream of traffic made up primarily of affluent 30-somethings.” They also claim to have received 1.25 million visitors in February. One student said he would not invest because Google would be able to “shut them down fairly quickly”.

Under what grounds? First, there is the possible trademark issue since the Google trademark and logo are used on the site. Also, the Google website is secured under copyright.

Knock-Off Awards

Can you tell the difference?
Can you tell the difference?

Shame on you. That’s the purpose of Plagarius, a German cereremony that awards the most blatant knock-off  artists. The purpose of the awards is to send a message that stealing innovations is not acceptable.

Having their innovations knocked off in this manner can be an innovator’s worst nightmare. With some money and determination, they can shut down the knock-off artists. This kind of behavior really highlights the law of the market: if you succeed others will imitate.

Click here for the full BusinessWeek story.

Acknowledgment: Thanks to Arvind Natarajan for sending me the link to this story.

Matsuflex

“I have the name Matsuflex. If I can harness that Matsuflex energy, it’s gonna help change America in a positive way!”

Matsuflex
Matsuflex

These are the words of Ryan Matsunaga, a.k.a. Matsuflex, one of the participant’s on VH1’s reality t.v. show The Tool Academy. Matsuflex, is one of the program’s finalists and has made a point of advertising his name as often as possible. During a recent show, one of the show’s attendee’s asked “What’s Matsuflex? It sounds like an energy drink.” Here’s another suggestion, a Matsuflex sounds like a pull-up machine hawked on late night t.v. The point is, the name Matsuflex may have real commercial value.

If that is the case, Matsuflex would do well to trademark the name as soon as possible. I ran a quick search at the United States Patent and Trademark Office (USPTO) database and was unable to find a trademark registered as Matsuflex, which means it is still open for someone to claim, so long as they can prove they will offer something for sale called Matsuflex in a particular class of goods or services.

Matsuflex should think about running to the USPTO to claim the name, if he hasn’t done so already. Otherwise, an unscrupulous entrepreneur might take it over, and misappropriate all that positive Matsuflex energy.

Board Game Manufacturer Trumps The Donald

Donald Trump tried to register the phrase “you’re fired” but was denied. Paris Hilton was allowed to register “that’s hot”. What gives? The law of trademark.

Trademark law accomplishes two important objectives: 1) it protects investments to build brand equity in a trademark; 2) it protects consumers from the likelihood of confusion in the marketplace. The second reason explains why the Donald was rejected, and Paris was not.

Another important item to consider is that trademarks are only registered for goods that are actually sold in narrowly defined product markets.

The United States Patent and Trademark Office examiner rejected Donald’s “you’re fired” trademark application in the class of goods for “games”. The rejection was based on a previously registered trademark: “you’re hired”. A company, called Franklin Learning Systems, had registered “you’re hired” for one of its educational board games. The examiner determined that “the similarities between the marks and the goods of the parties are so great as to create a likelihood of confusion.”

In Paris’ case, no one had registered anything similar to “that’s hot” as a federal trademark for the classes of goods and services she applied for, including “men’s and women’s clothing”.

Trademark a catchphrase?

A catchphrase, a.k.a. tag line in marketing parlance, can be registered as a federal trademark if customers recognize the phrase as the source of a product or brand.

Below are three catchphrases associated with particular celebrities. Two of these phrases have been successfully trademarked. Try to guess which one failed to make the cut.

Paris Hilton
"That's hot"
"You're fired!"
"You're fired!"
"Two thumbs up."
"Two thumbs up."

I’ll post the answer this Wednesday, along with a discussion about trademarking catch phrases in general.