When you are starting up a new business, or even preparing to rebrand an existing one, your design budget is something to consider.
The truth is, between Fiverr and the top branding studios in NYC, you can pay anywhere from $10 to $10,000 for a logo. $10,000 sounds pretty crazy for one simple design, doesn’t it?
Before setting your budget for logo/brand design, consider the margins on your product/service, and come up with a rough sales estimate. Let’s say you are a screenprinting company and your margin averages out to about $10/shirt. If you went with the $10 logo option, you could easily make that back on one t-shirt sale. For the $10,000 design, you would have to sell 1,000 extra shirts to make back that cost.
There’s quite a difference there, but if you consider the fact that a high-quality logo could score you some bigger customers who are willing to pay for premium services, you could actually see a return on your investment very quickly. As long as the high-end logo gets you 2 additional customers each year for 5 years, each ordering an average of 100 t-shirts, you break even. And that’s a very easy target to hit. It would be even more likely that you would make back the $10,000 in just 2 years, with 5 customers each of those years at 100 shirts a piece. Easy peasy.
$10,000 is certainly a lot for a logo, but the message here is clear. If you go with the $10 logo from Fiverr, you will have a much tougher road ahead of you in trying to land sales. A lower quality design will result in a lower perception of your brand. There’s no reason to make sales harder for yourself. No matter what you spend, you will get your money back in no time, so there’s no reason to cheap out too much.
We recommend shopping somewhere in the ballpark of $500 for your logo- this is just enough money to hire a good designer who can spend time with you on a quality design, but still a pretty low cost in the grand scheme of things so you can make the investment back very quickly.
Contact GoodBoy Design if you are looking for logo design/branding and we are happy to help pick out the right package for you.