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I think it's cool, it's cute while also somehow being very serious. Like I would imagine a Nanette to be a very stern person for some reason, very deadpan, dry sarcastic humour. Maybe because of that Hannah Gadsby special that was called Nanette, I've got that association.

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I don't think nicknames are unavoidable. I say Nanette closer to "Ninette" so Nancy and Nan would be harder to use naturally, so would Nettie. I'd just say Nanette.