Good Logos Do Not Make More Money

What designers need to understand about logos and how they apply to the business world.

January 9, 2020

Business is comprised of two key objectives: saving money and earning money. So, if you are in a B2B industry, it is crucial to understand how your service aids a business within these objectives. As an identity and web designer, I'd like to think that my work has an impact on helping businesses succeed. But, I'm not one to throw around lies about my craft either. Which brings me to the point of this punch: good logos do not make more money. 

Believe me, it was hard writing out those words, as I'm sure I've got a target painted on my back now because of them. Sorry design friends, but it's true. A logo is not a magic bullet that suddenly gives businesses a truckload of new revenue. We're not done there though, as logos are important in business, but not in the way we'd think.

What a good logo does is mitigate loss. Do you hear that? It's not about what is gained, but about what you keep on the table now and for years to come.

Here's an example:

Put yourself in the shoes of a SaaS startup founder. She has set a few goals for herself.

Right now, her goal is to have business cards, a website, social profiles, and an email newsletter set up for her SaaS product.

1 year from today, her goal is to have 1000 paying customers, an expanded product line, trade booths, monthly investor meetings, and a suite of marketing collateral in addition to her previous goals.

5 years from now, she wants to have an office, 20 employees, run daily content marketing campaigns, expand the online tools for her users, and also product merch in addition to her previous goals.

10 years from now, she could potentially exit the company but hopes to leave behind a legacy.

Let's break this down:

Right now, her goal is to have business cards, a website, social profiles, and an email newsletter set up for her SaaS product.

Attaching some numbers to this, let's say she gets 1000 business cards printed for the year, gets 80 visitors to her site per month, has 10 visitors between her three social platforms per day, and has 30 subscribers to her weekly email list. In the first year, that is over 7,000 touchpoints and the logo is on every single one of them. 

Now imagine this: the logo is hideous, poorly designed, and sticks out like a sore thumb on all 7,000 of those impressions. Whether consciously or subconsciously, all 7,000 of those impressions could have been better, if it wasn't for that hideous logo.

I was thinking that'd I'd do the math on every single one of these milestones, but let's just imagine the number of touchpoints increases by 25% each year for those entire 10 years (remember this is impressions, not sales, paying investors, or paying users). At year ten, that's just over 65,000 touchpoints. 65,000 opportunities to make an impression on a potential user. Now imagine 30% of them go away because the design of the logo reminded them of something scammy. Or maybe because it looks like a phallus flying across the sky.

Is it worth the risk of putting all of that revenue at stake because your logo makes people feel gross? Or what about the cost of having to reprint 6,000 brochures because the logo was not delivered in proper formats?

It's not about earning more money, it's about keeping what's on the table. Do not let your logo be the Achilles heel of your business.

More you say?

Story beats Features

We are emotional beings, there is nothing we can do to resist a powerful story

11.20.2019

A few weeks ago, I saw the new, "live action" Lion King in theaters with a friend of mine. While I wasn't necessarily disappointed, it felt like something was missing that was inherent within the original. I couldn't put my finger on it, even though the new movie had far better animation, a higher budget, and an opportunity to improve on something that was already there. It just wasn't the same.

Disney + launched recently and after watching the original, I got it. The new version's characters were so realistic that they couldn't convey emotion (hard to make a lion cry or show happiness), but cartoons make it possible.

Watch any scene from the original, be it Mufasa rescuing Simba in the gorge, Scar and the Hyenas' ghoulish anthem Be Prepared, and the return of Simba as king, and it's impossible not to become emotionally invested. That is what was missing from the new rendition.

The point that I'm getting at is this: you can have the fanciest tools, the best animation, or a better mousetrap so to speak, but if you miss out on getting emotional buy-in, it falls short.

Story beats features.

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Find Your Word

Rather than trying to be known for many things, pick one.

2.26.2020

As the glue-sticks, scissors, and magazine cut-outs were thrown about, my friend Hayley called my name.

"Zach, I found your word."

She held up a magazine page to show me the word REBEL in all caps and in black and white nonetheless.

Now, here is what's flattering: that is my word, and I've been using it since I started working for myself in late 2017. It's a small thing, but that fact that I did not have to claim that as my word and instead had someone else claim it for me means that I've become synonymous with it.

Why does this matter?

Building a brand is about making people feel a certain way about your business. If you're lucky, you can get the same emotional response from different people that interact with your company. So when someone says the exact word I want them to feel about me, it shows that I'm on the right track.

If I had tried owning all the words, there's no way Hayley would've made that comment yesterday. But because I've invested and gone all in on the word REBEL, she made the connection instantly.

Find your word.

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