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?

First Step

The only way to the top of the mountain.

2.20.2020

A friend of mine and I met up yesterday. She's a talented artist and creative thinker, but she's struggling with getting her work out there and attracting commissions/clients. It's a common issue for creative types to stall the display of any kind of work to the public unless they deem it perfect. The truth... it's never going to be perfect. You have a better chance at winning the lottery than you do creating the perfect piece to show, especially if you have particular expectations.

She had asked, "what do I need to do to get out there?"

"You need to make something everyday, for fun, for yourself, and show it to the world."

Lo and behold, within the span of 45 minutes today, she had an awesome collage piece completed and ready to go. I'd call that a win.

Here's the thing:

You will always be nervous taking the first steps into a new venture. Be it founding a startup, putting yourself out there as an artist, starting a band, you name it. If you want to get to the top of the mountain, you have to take the first step. It's gonna suck at first, you're going to suck at first. But you will get better and it will get easier if you dedicate yourself to small habits that will make up your success.

Go for it, I believe in you.

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Auditing Your Startup's Brand

Assessing the causes for a low brand score.

5.1.2020

Yesterday, I wrote about measuring a brand's effectiveness and actually assigning a value to it. It followed a scoresheet with specific levels of customer appreciation for the brand. This article is going to address some of the tangible assets that lead to getting those number higher.

Level 1: Satisfied

The company/product has met my expectations.
People don't want to buy shit products, at least not more than once. Even the least affluent customer isn't stupid enough to buy something that continually breaks simply because it's affordable. At the most core level of your brand, you must be able to live up to your promises and deliver. Be it a product, service, experience, whatever. If you don't have this in order, fix it first.

The company charges a fair price for the product.
Aligning with the fulfillment of your promise is the value it is worth. This in part has to do with who you are trying to make something for. If said target wants to pay a premium for a premium product, you better give it to them. If they want to spend middle tier, you need to let them. "Fair," is relative and is determined based on the person you are making something for.

$100k is a fair price for a brand new Tesla if experience, ease-of-use, and being on the forefront of innovation are what matter to someone. $100k for a Honda Civic is not.

Things that can help affect this level:

  • Improving products or creating new ones
  • Customer avatars
  • Journey mapping

Level 2: Delighted

I've been pleasantly surprised by the company/product.
This is a build up of small things that were pleasant surprises. Things like a special email follow-up after purchase, nice packaging, good design, or something as simple as saying, "my pleasure" (thank you Chick-Fil-A). It's hard to pin-point exactly what these elements would be, but I'd offer this general statement: if a customer comes into contact with it, can you make it special and unique to your company?

I would happily recommend it to others.
I'd ask this: do you make it easy and worthwhile to get referrals? If not, how could you make it a win-win-win for you, the new customer, and the one who referred you?

Things that can help affect this level:

  • Touchpoint audit
  • Brand identity refresh
  • Improved messaging
  • Referral program/process

Level 3: Engaged

I identify well with the other customers of this company/product.
We do business with companies and people that have the same values as us. That being said, you have to offer something that isn't found in other players in your market. You have to ask yourself "who would choose you over your competitors and why would they do it?" It can be for subjective reasons too, not just pricing or features. Some people just want things to match up with their lifestyle. Someone who values sophistication, aesthetic, and craftsmanship is not going to shop at Walmart.

I would go out of my way for the company and its customers.
Something to keep in mind with this statement, in order to go out of your way, there have to be other options available. This is about differentiation and why someone would seek you out, even it if wasn't the most convenient.

Things that can help affect this level:

  • Brand positioning
  • Competitive audits
  • Voice and tone
  • Look and feel
  • Establishing brand values

Level 4: Empowered

The company/product is essential to my life.
Here is where you assess the value and permanence of your product. You own a couple items, I'm sure, that fit this category. Your phone, favorite pair of jeans, necessary software, or a favorite restaurant. Not only is the product so good, but the entire experience is enough to make you a repeat buyer.

I would be very sorry if it went out of business.
Are you irreplaceable or not? Have you impacted a core area of your customer's life?

Things that can help affect this level:

  • User experience design
  • Product line expansion
  • Knowing your customer's biggest challenges

What are you going to work on first?

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