How Much Should You Invest on Logo Design?

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How Much Should You Invest on Logo Design?

Are you considering to start a business and not sure on how much to invest on logo design? Have you got a few quotes and the price range is confusing? This article will help you understand how much is good enough.

While I hope you’ll understand that the best budget is the one that allows you to hire a brand identity designer, my main goal is to help you save money by making the right choice. The first thing you must understand is that logo design is an investment, not an expense.

Investment, not Expense

I’ve been working with entrepreneurs from all over the world, and still amazes me the fact that many entrepreneurs complete disregard the relevancy of professional logo design. Why? Simply because they don’t understand why that is good for business.

So, what a good logo and brand identity design can do for my business?

Multinationals spend millions of dollars every year on branding efforts. Why do they do it? There must be a reason for it, right? So, the first thing you must understand is that when you ‘spend’ money with the design of your logo, or any other branding effort, you are actually increasing the value of your own business.

Coca-Cola is the only non-tech brand to crack the top five, ranking No. 3 with a brand value of $54.9 billion. [source]

But that’s not even the most important reason why you should invest in professional logo design. The reason why you need to do it is because it will bring more business to your business. Put it simply, professional brand identity design will make your business more profitable.

In today’s world, branding helps you to differentiate your business from the competition, but a well-designed brand will also allow your business to charge more for its products and services.

How Much Is Good Enough?

Keeping in mind that you’ll actually be investing in your own business and increasing the value of one of its own assets, perhaps the question should be:

What’s a fair price range of professional logo design?

An original, unique, custom-made, high quality and professionally designed logo or brand identity will hardly come out for less than $1000 for a small business and up to $10,000 for a medium size company. It very much depends on which designer you choose to work with.

While you may find designers working on string budgets all over the world, they are most likely not going to be specialists. You must ask yourself: –Is this designer specialised in the creation of brand identities? If not, they are most likely not going to be the optimum choice.

Limited Budget

But what if you understand the need for professional logo design, but simply does not have the budget for professional logo design. What should you do?

First of all, are you sure you don’t have the budget for that? Considering the right brand will cause an amazing positive impact on your business. Are you sure you can’t rearrange your budget to invest more in branding and less in something else? After all, logo design is a one-time investment. Do it right one time, at the beginning of your venture, and you are setting yourself for success.

If you can’t rearrange your budget at-all, the next best thing is to learn more about brand identity design. So even if you hire a designer on a string-budget, the least, you will not be totally blind in regards to your own branding efforts.

What now?

If you are convinced about the need of a professional looking brand, by all means consider hiring me. Alternatively, you can also find many other professional logo and brand identity designers searching the terms “brand identity designer” on Google.

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  1. Thanks for this post, i am not a logo designer but it is annoying to see people offering logo designs on forums for as low as $5, it doesn’t work like this.

  2. Yes, I completely agree with you on that one! Many clients seem to have completely loose track of reality. Even if I wasn’t a logo designer, I would never use a $5 ‘logo’ on my own business!

  3. You’re absolutely spot on by saying it’s an investment rather than an expense. I say if entrepreneurs are willing to spend more on their lunch than they on their brand identity then good luck to them, they’re going to need it.

  4. Thanks Sam! Comparing logo design to the cost of a meal is a great way to show how absurd is the idea of $5 logo design.

  5. Most crowd-sourcing sites on average have design contest of 400$ or less, of course there are a few big projects. It should cost $1000 minimum as the logo is usually the thing most customers will remember for a long time.

  6. It really eludes me how some entrepreneurs think that is acceptable investing only $5 in their own business identity. Getting right from start can make or break a business! That’s what they should be thinking.

    Now, on the topic of crowdsourcing, you can’t compare it with a professional logo designer. It’s like comparing apples and oranges. You are comparing a “prize” with a “fee”, that just doesn’t make sense.

    From a client perspective, using a crowdsourcing website translate in many options of logos to choose from, but that is erroneously adverted as a positive aspect of the service. In truth, the client is not qualified to make the choice of its own business logo. That’s the designer’s job!

    Hiring a specialist will translate in a well developed identity, with research, lots of trials and studies, and more importantly a lot of expertise being invested on the design of the identity.

    Professional logo design can’t be compared with crowdsorcing design.

  7. It really eludes me how some entrepreneurs think that is acceptable investing only $5 in their own business identity. Getting right from start can make or break a business! That’s what they should be thinking.

    Now, on the topic of crowdsourcing, you can’t compare it with a professional logo designer. It’s like comparing apples and oranges. You are comparing a “prize” with a “fee”, that just doesn’t make sense.

    From a client perspective, using a crowdsourcing website translate in many options of logos to choose from, but that is erroneously adverted as a positive aspect of the service. In truth, the client is not qualified to make the choice of its own business logo. That’s the designer’s job!

    Hiring a specialist will translate in a well developed identity, with research, lots of trials and studies, and more importantly a lot of expertise invested on the design of the identity. Professional logo design can’t be compared with crowdsorcing design.