Let us suppose, McDonalds’ decides to radically change its corporate logos. Now imagine travelling on the highway, you are searching for the big “M” to spot a McDonalds’ outlet but you don’t see any. Since the logo design, which you have been so used to, has been changed, you won’t be able to recognize the franchise from far away… would you?

The above assumption is meant to explain the possible impact of changing your company logos. Like every human being, an organization has an identity of its own. A corporate identity includes a name and a representative logo. The name of the company is complemented by its logo as the face of a company. Making alterations or even the slightest of modifications to the company logo can have dual effects on the corporate identity and its brand equity.

Let us have a look at the possible impacts of modifying company logos, both positive and negative.

Positive Impacts of changing your company logo:

• A change in company logo revitalizes you business appearance and gives a fresh look.
• When an organization gets stuck in a controversy, a change in company logo can help pacify matters.
• A modification in your company logo can help accommodate your growing business portfolio.
• Alterations in company logo can assist in repositioning of the brand identity in the mind of customers.

Negative Impacts of changing your company logo:

• Customers may not recognize the newly changed identity or simply may not like the new company logo.
• Too many modifications can spoil your company logo.
• Due to stationary items (business cards, letterheads, corporate brochures etc) carrying the previous logo, a redesign incurs great replacement costs.
• The customers who are bonded with the existing company logo may not readily adopt the changes.

Any modification in your company identity should be based on an extensive research of the potential repercussions of the redesign. In a nut shell, changes in your business logos should be reasonable and in alignment with your previous corporate identity.