Starting a business is expensive. Consequently, one might feel the need to sideline the expenses of designing and owning the rights to a logo for the business in a bid to save money. However, the perks of owning a logo outweigh the expenses of acquiring it by a mile. Here is how a logo is important for business.
- A logo helps create an identity for the business
A business has to create an identity that reflects what it does, its core values, principles and unique selling points. That is how it tells potential clients and investors, “This is us, and this is what we offer you”. A logo takes the role of graphically creating the business identity by use of color psychology, font style, images and mantras that evoke desirable reactions towards its clients. For instance, Pizza Hut’s logo includes its ‘Pizza Hut’ logotype inscribed under a silhouette resembling a gentleman’s hat, on a red round pizza-shaped background. It uses pun and illustrative imagery to create an image of a house unit where you can find everything pizza related. Many of its service restaurants have a hat-shaped roof that symbolizes homely atmosphere and reliability such as the feeling a father figure offers.
- A logo facilitates branding and brand loyalty
Through logo branding, a business is able to develop a uniform and solid marketing practice and interaction across all its involvements, from packaging to advertisement, interaction and web/mobile app interfaces. Branding in turn, is crucial to the company as it creates goodwill among clients, suppliers and investors alike. A client is more likely to try out a new product bearing a logo from a familiar company, rather than risk disappointment from another bearing an unfamiliar one. That is brand loyalty.
- A logo invites new customers
Advertisements promote sales. A logo is an essential part of advertising because it represents the company’s values while evoking a certain emotion, intriguing potential clients to try out their product or service. For instance, Coca-Cola is known to promote its drink as a cold, refreshing and affordable quencher on a hot day. The appearance of the Coca-Cola logotype at the end of such an advertisement intrigues a client to try out their product. Similarly, having your own enticing logo creatively displayed on a front store invites customers to try out your product as well as getting you noticed by new or potential clients.
- A logo discerns you from the competition
The market today is pretty flooded across most industries. A logo is important for a business as it shows ownership of your product amongst competition. For instance, Midnight Pizza, Pizza Hut, Domino’s Pizza, Little Caesars and California Pizza Kitchen all offer pizza. If you were to order a box of pizza from each and serve them all on a meal tray, it would be quite hard to discern which pizza is from which franchise. The logo on the pizza boxes acts as the unique identifier.
- A logo creates ubiquity for your business
A logo is small, which gives it the advantage of being incorporated in packaging, letterheads, company seals, business website, social media accounts and mobile app, posters, billboards, promotional items and ads. It lets your business get noticed across multiple platforms.
Businesspersons view a logo as a viable capital investment. It plays a lifetime role of representing the business image through active advertising, sales and market penetration. Its importance is therefore inseparable from the success of any business.