The real cost of cheaping out on brand
Cutting brand spend should always be the last resort when belts need to be tightened.
Let’s be clear: a brand is not a logo. A logo is merely a visual identifier, a small piece of the puzzle. Your brand, on the other hand, is the entire experience your customers have with your company. It’s the promise you make and the reputation you build.
The Pitfalls of Cheap Branding
Many organisations opt for the cheapest viable branding option, thinking they’re saving money. But is this really getting you what you need in the long run? The answer is a resounding no. Cheap logos and superficial branding efforts can be detrimental to your business strategy. They fail to convey the depth and value of your offerings, leading to a lack of trust and loyalty among consumers.
The Power of Thinking Long-Term
Working with agencies that push you to think bigger picture and longer term can create immense value for your business. These agencies don’t just design logos; they help you craft a narrative, build a reputation, and establish a strong market presence. They challenge you to think about your brand’s vision and values, ensuring that every touchpoint with your customers is meaningful and consistent.
Take, the UK’s top brands. According to Kantar’s BrandZ ranking, the total value of the UK’s top 75 brands increased by 22% from 2020 to 2021, reaching $279 billion. This growth is a testament to the power of solid branding. Brands like Vodafone and HSBC, which invest heavily in their brand equity, consistently outperform their competitors.
Great brand = more conversation
Great branding doesn’t just resonate within the creative industry; it transcends sectors, sparking conversations among the general public. When a brand is well-crafted, it becomes a topic of discussion, with people sharing their opinions and experiences. This kind of engagement is invaluable, as it extends the reach and impact of your brand far beyond traditional marketing channels.
Take the recent rebranding of the RSPCA, for example. The UK’s largest animal welfare charity underwent its first major branding update in 50 years, aiming to inject more energy and optimism into its image. The new vibrant and flexible identity, created by JKR, has not only revitalised the charity’s visual appeal but also sparked widespread public interest and conversation. The rebrand has helped the RSPCA reconnect with the community, raising awareness about animal welfare and inspiring more people to get involved.
Similarly, the branding for the Olympics is another excellent example. Each Olympic Games features a unique brand identity that captures the spirit of the host city and the event itself. This branding goes beyond logos and mascots; it encompasses the entire experience, from the design of the venues to the merchandise and marketing campaigns. The result is a global conversation, with people from all walks of life sharing their excitement and pride in the event.
Quality Over Cost
Consider the words of Steve Jobs:
“Quality is more important than quantity. One home run is much better than two doubles”.
I may not understand baseball analogies, but the sentiment rings true in branding. A well-crafted brand that resonates with your audience is far more valuable than a dozen cheap logos that fail to make an impact.
Investing in quality branding is not just about aesthetics; it’s about creating a strategic asset that drives business growth. A strong brand can command a premium price, leading to higher profit margins and long-term success.
A further study by Kantar found that even price-conscious consumers are willing to pay 14% more for brands they perceive as valuable.
Cheap branding can be harmful to your business strategy. They often lack the depth and thoughtfulness required to position your brand effectively in the market. A superficial logo does not build a reputation; a well-thought-out brand strategy does.
So, is it ever ok to cheap out on your brand?
While investing in quality branding is crucial, there are scenarios where economising on certain aspects of your brand identity might be acceptable. However, this should be approached with caution and strategic thinking.
- Startups and Small Businesses: For startups and small businesses with limited budgets, prioritising spending might be necessary. In such cases, focusing on the essentials—like a functional website and basic marketing materials—can be a pragmatic approach. However, even in these situations, it’s crucial to ensure that the core elements of your brand identity are professionally designed and aligned with your brand values.
- Temporary Campaigns: For temporary or short-term campaigns, it might be acceptable to use more cost-effective solutions. For example, seasonal promotions or limited-time offers might not require the same level of investment as your central brand identity. However, these should remain consistent with your overall brand image to ensure your audience understands.
- Testing and Iteration: In the early stages of brand development, testing different concepts and ideas can be beneficial before committing to a full-scale branding effort. This iterative approach allows you to gather feedback and adjust without a significant upfront investment. However, once you have validated your brand concept, investing in a comprehensive and cohesive brand strategy is essential.
- Internal Projects: For internal projects that are not customer-facing, such as internal communications or employee engagement initiatives, it might be acceptable to use more economical branding solutions. However, maintaining a consistent and professional internal brand image can still contribute to overall brand strength and employee alignment with brand values.
While there are scenarios where economising on certain aspects of your brand identity might be acceptable, it’s crucial to approach this with strategic intent. Cutting corners on your brand should never compromise its overall quality and consistency. Remember, your brand is a long-term investment that drives business growth and value. Prioritise quality and strategic thinking to ensure your brand stands out and resonates with your audience.
