Favicon stands for "favorite icon". A favicon is a small graphical file. Your Joomla site displays it at the top of the browsers. 

joomlashack favicon

When your site visitors bookmark your site, they will see your site favicon in their Bookmarks Managers. It will be sitting there right next to your site's name.

favicon in bookmarks manager

Although a typical favicon is a usually a small picture, it has enormous benefits for your Joomla site:

  1. It creates a professional impression of your site.
  2. It distinguishes your site amongst many others.
  3. It helps those who bookmarked your web pages to quickly find your site in their Bookmark Managers.