The Impact of Effective Logo Design on Branding & Profitability

This project dissertation investigates the impact of effective logo design on branding and organizational profitability. It analyzes cases where companies have rebranded, highlighting successes like Apple, SHELL, Adidas, Pepsi and McDonalds, and failures such as UBER's rebranding efforts. The study identifies key elements of an effective logo, including color, shape, size, design, text, and message, emphasizing the importance of a distinctive and memorable logo. The research employs a qualitative approach, acknowledging limitations and suggesting future research could benefit from quantitative analysis to capture consumer perceptions more comprehensively. The dissertation explores the influence of logos on consumer purchasing decisions, the role of brand value, and the strategies companies can adopt to enhance their logo designs for competitive advantage.

Running head: PROJECT DISSERTATION
Project Dissertation
Name of the Student
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Abstract
The entire study had help in analysing the impact of the logos is beneficial or non-beneficial
to the different organizations in an effective manner. The main aim of the study had assisted
in identifying the impact of the logos on the profitability gained by the organizations in the
entire competitive industry or market. In this present study, different cases have been
analysed where different companies have changed their logos and have developed a unique
global brand. The study has depicted the failure of UBER in rebranding their offerings and
the companies like Apple, SHELL, Adidas, Pepsi and McDonalds have also been analysed
that have gained success due to their effective branding strategy. The results from the report
shows that colour, shape, size, design, text and message are the important elements of
developing an effective logo. The companies that have fared in the market are those having a
distinctive and unique logo which is memorable and recognizable. The study has limitation as
it is based on qualitative analysis of data where the perception of the consumers could have
analysed in a better way by conducting quantitative analysis using survey method. Therefore,
there is specific scope of research in the future in majority of the areas.

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Table of Contents
Chapter 1....................................................................................................................................5
1.1 Introduction......................................................................................................................5
1.2 Background of the Study..................................................................................................5
1.3 Research Aim and Objective............................................................................................6
1.4 Research Questions..........................................................................................................7
1.5 Research Hypothesis........................................................................................................8
1.6 Summary..........................................................................................................................8
Chapter 2- Literature review......................................................................................................9
2.1 Introduction......................................................................................................................9
2.2 Effect of branding on consumer purchase decision.......................................................10
2.3 Models of branding........................................................................................................12
2.4 Concept of Marketing Management and Consumer Behaviour.....................................15
2.5 Influence of Logos on Purchasing Decisions of Consumers.........................................16
2.6 Theoretical Approach of Logos or Brand Value on Purchasing Decisions of Consumers
..............................................................................................................................................18
2.7 Models of Consumer Behavior......................................................................................19
2.8 Importance of Brand Value or Logos on Purchases of Consumers...............................20
2.9 Importance of Brand Value on Increasing profitability of Organization.......................20
2.10 Power of Logos............................................................................................................21
Chapter 3 - Research Methodology..........................................................................................22
3.1 Research philosophy......................................................................................................23

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3.2 Research Approach........................................................................................................24
3.3 Research Design.............................................................................................................26
3.4 Data collection and analysis...........................................................................................26
3.5 Sampling........................................................................................................................27
3.6 Reliability and Validity..................................................................................................28
3.7 Ethical consideration......................................................................................................28
Chapter 4- Data Findings and Analysis...................................................................................29
4.1 Introduction....................................................................................................................29
4.2 Case Analysis.................................................................................................................29
4.2.1 UBER’s radical rebranding.........................................................................................29
4.2.2 Shell’s journey of insignificance to iconic status........................................................34
4.2.3 Apple’s iconic logo.....................................................................................................38
4.2.4 Adidas three stripes branding......................................................................................42
4.2.5 Pepsi ‘s logo refreshed or rebranded...........................................................................45
4.2.6 McDonald’s Logo evolution.......................................................................................48
4.3 Ranking system..............................................................................................................51
4.4 Discussion......................................................................................................................53
Chapter 5- Conclusion..............................................................................................................55
5.1 Conclusion......................................................................................................................55
5.2 Research limitation.........................................................................................................57
5.3 Scope of future research.................................................................................................58

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References................................................................................................................................59

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Topic- The impact of effective logo design on branding and organizational profitability
Chapter 1
1.1 Introduction
The entire study will help in analysing the impact of the logos is beneficial or non-
beneficial to the different organizations in an effective manner. The main aim of the study
will help in identifying the impact of the logos on the profitability gained by the
organizations in the entire competitive industry or market. The logo is defined as the virtual
kind of cornerstone of the brand of the company which will be helpful in nature for the
company to be successful in nature in order to make the business more stable and this helps
the company in connecting to the memory of the different individuals.
Furthermore, the importance of the logos on the consumers and this helps in
influencing the purchasing decisions of the company in a positive manner. The playing with
the logo is beneficial for the organizations which will help in understanding the importance
which is provided to the customers to help them to be accustomed of the brand in a positive
manner and they will be recommending others to purchase that respective brand in the future.
Additionally, it has been seen and analysed that the brand loyalty is the other main factor
which is helpful for that respective brand to gain more popularity in the entire competitive
market.
1.2 Background of the Study
The main aim and purpose of the report is to analyse the role of logos which are used
by the different companies is beneficial or non-beneficial for them. Proper analysis is
required to be done which will help in understanding the actual importance of the logos in the
company or the brands which is essential in nature for analysing the different techniques for
communicating the same to target the audiences. Creating a logo is vital in nature for the

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company as this is the marketing efforts for the company. This is the main reason in which
the tailor brands try to create feature rich design suite which helps in building logo along with
the brand in an appropriate manner. The entire study will assist and help in analysing the
positive impacts of the logo on the brands which are sold by the company to their customers.
There are different examples which can be analysed such as Apple Inc’s iconic fruit and
unmistakable swoop. The logos will act as the synonyms with the brand that is represented by
them in a positive manner.
Furthermore, there are various other reasons which are required to be analyzed with
the proper implementation of the different kinds of impacts of the logo on the brands of the
business in an effective manner. Additionally, it has been seen that the impact of the brand
value or logo on the entire profitability of the business is positive in nature and this has
created positive influence on the business. The characteristics of the logo is required to be
versatile, relevant and simple in nature which will help in improving the conditions of the
business in a positive manner.
The main purpose of the logo is to provide and analyse visual presentation of the
company brand in a positive manner. The successful design of the logo along with the proper
marketing of the product is positive in nature which will help in becoming effective and this
will create positive impact on the brand image as well. The logo will assist the different
companies along with the brand to become memorable and iconic in nature which will assist
in managing the demands of the customers and this will influence the fair share of the
purchasing decisions of the customers in the market.
1.3 Research Aim and Objective
The research aim of the entire study is to analyse the importance of the logo or the
brand of the company in attracting the different customers in the market. There is different

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importance of the logo in the business which will help the different companies in attracting
the customers in the competitive market. Furthermore, the main and essential component of
the entire research study is the logo and the usage of the logo by the companies in order to
gain profitability in the business which will improve their business and gain more
profitability in the organization. Lastly, the research will help in identifying the different
strategies that can be adopted by the organizations to improve their business in an appropriate
manner.
There are different research objectives that is required to be identified in an effective
manner which will help in analysing the two major elements which is required to be taken
into consideration and investigate the importance as well. the research objectives are as
follows:
To determine the importance of the logo in gaining competitive advantage in the
entire competitive market
To examine the influence of logos on the purchasing decisions of the customers in the
market
To analyse the various strategies that can be adopted to improve the logo design
adopted by the company effectively
1.4 Research Questions
There are different research questions which are required to be analysed in an
effective manner which will help in analysing the same appropriately.
Research Question 1. What is the impact of brand value or logo on the profitability of a
business organization?
Research Question 2. How Brand value or logo of a company can influence a fair share of
the target customer’s purchasing decisions?

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1.5 Research Hypothesis
The research hypothesis is essential which is required to be analysed and conducted
while conducting a research in a positive manner. This helps in speculating on the outcomes
which will be generated from the research or experiment.
H0- The logos do not have positive impact on the entire success of the organization
H1- The logos have any positive impact on the entire success of the organization
1.6 Summary
From the above, it can be analyzed that the importance of logos has been discussed
which has been created on the different organizations in a positive manner. The research
questions are taken into consideration to analyze the impact of the logos or the brand value on
the success of the organization along with on the entire purchasing decisions which is taken
by the organizations effectively.

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Chapter 2- Literature review
2.1 Introduction
The research is based mainly on the effect that branding of an organization has on the
decisions that are made by the consumers related to purchase of products. The other variable
that is considered in the research is the role that is played by marketing activities on the
buying decisions of the customers.
The logo creation related activities of the company have an effect on the loyalty of the
customers towards the organization. The level up to which branding and logo is able to affect
the decisions that are taken by the consumers is a major part of the entire literature review.
The second variable which is considered in the discussion are the marketing activities of the
company. The promotional activities that are conducted by the organizations are also
important for influencing the decisions that are made by the consumers. The marketing
activities are able to affect purchasing behavior of the consumers (East et al. 2016). The level
of the impact of marketing activities on the purchasing-based decisions of the consumers is
an important part of the literature review. The impact of these two variables on the buying
decisions of the consumers is analyzed in the review. The dependency of the consumer
behavior on the two variables is discussed in the literature review.
The literature is further based on the discussion of the different impacts that the
branding of the organization has on the consumers and the buying decisions that are taken by
the consumers. The effect of marketing and promotional activities on the consumer decision
is also a part of the entire literature review. The comparison of the variables will be based on
the levels of effect of the promotional activities with respect to the effect that the effect that
branding and logo has on the consumer purchase decisions. The literature review will thereby
help in understanding the extent up to which the two variables are able to affect the

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consumers and their decisions (Schivinski and Dabrowski 2016). The different perspectives
of the customers and their decision-making process is taking into consideration for the
review.
2.2 Effect of branding on consumer purchase decision
The effect that logo or branding has on the purchase decision that is taken by the
consumers has been analyzed by many different researchers. The logo of an organization has
been found to play an important role in the purchase-based decisions that are taken by
customers. A positive relation has been developed between branding and customer purchase
decision. The positive feeling that the customer has about the brand is later translated to the
purchase of the products. The brand can be termed as the symbol or name that is able to
differentiate the products from the competitors. The name of the manufacturer and the logo
that is used by them is the considered to be the brand value that the organization carries in the
market. As discussed by, Sasmita and Mohd Suki (2015), the brands have a positive impact
on the consumers. The strong brand is thereby able to reflect the leadership of the
organization in the market. The customers are able to evaluate the brand so that they can take
the decisions based on purchase much faster. The positive association that the name of the
brand has with the perceptions of the customers and the rates of purchase affects the
profitability of the organization to the highest levels (Lassoued and Hobbs 2015).
The familiarity of the customers with the brand is also an important factor that leads
to the increase in confidence on the products and the brand itself. The positive effects cannot
however be sustained by the brand for a long time and the organizations thereby need to take
necessary steps to improve the brand value and quality of the products as well. The buying
behavior of the consumers need to be carefully analyzed by the organization so that they are
able to develop the brand according to the needs and choice of the customers. The brand is
able to affect the decisions that are taken by the consumers to buy one product over another

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(van Dijk, Antonides and Schillewaert 2014). The logo of the organization is however
retained for a longer time as compared to the value that is provided by the brand.
The branding-based activities that have been undertaken by the organizations are
related to the aim of creating a share in the market. The company thereby aims at gaining a
higher market share in the already crowded market. The global brands that are developed by
the organizations are related to the assurance that is provided by the company related to the
quality and the premium prices that are offered to the customers. The logo or branding of the
company is sometimes responsible for the leadership that is gained by the brand in the market
(Veloutsou 2015).
The customers are mainly attracted towards the brands due to the high-quality goods
that are provided to them by the customers. The logo of the organization is an intangible
benefit that the company has over the others in the industry. The brands are able to create
buyer aspirations which helps in creating needs for the products among the groups of
customers. The products of the brand are made desirable by the brand with the help of perfect
advertising techniques. The intentions of the buyers can be changed or altered with the help
of perfect branding of the products and services that are offered by the organizations
(Malthouse et al. 2016). The brand plays an important role in aligning itself with the self-
concept of the brand. The loyalty of the customers towards the products that are offered by
the organizations is created with the help of brands and the quality of products that are
offered by the brands.
The brands thereby need to understand the target market to whom the products will be
offered so that they are able to offer the best quality and desired products that are offered to
the customers. The logos them aim at developing a personality of the products that are a part
pf the product line of the company. The logo of the company has thereby been found to play