Brands, Customers, & Rebranding Efforts: Why People React Negatively to Updates in Logo Design

abstract: This paper looks at how an update to a brand’s logo can affect consumers. Specifically, how a brand’s logo redesign affects how consumers react to the updated logo itself and how consumers perceive the brand. When companies update their logo, there are a variety of ways in which a consumer might respond, including positively, negatively, or they might feel indifferent about the update. This project focuses on when consumers react negatively to changes in a brand’s identity, mainly the logo. Through secondary research on brand equity, loyalty, and consumer identity, followed with the primary research of a qualitative survey and interview, recommendations were formed in the hopes of guiding brands as they undergo a logo redesign. The qualitative survey looked at how the magnitude of the logo design change and the level of consumer involvement from the brand affected the consumer. Utilizing the brand Adidas, the logo was manipulated to reflect a minor change in design and a significant change in design. Furthermore, respondents were given three scenarios of involvement with either the minor or significant changed logo: involved by asking for their input, given a reason for the redesign, or neither involved nor given a reason. Overall, regardless of the level of involvement from the brand, consumers respond more positively when the change in logo design is minor. Specifically, consumers respond the most positive when they are involved in the redesign process while the change is minor. This research demonstrates that brands may see more positivity from consumers if they make evolutionary changes to their logo. Likewise, brands should recognize how significant a change in logo design is for the brand, and make sure to take their customers thoughts and feelings into consideration. The final components of this paper include an analysis of the research findings and an interpretation of those findings, along with any limitations experienced during this research, a variety of lessons learned from conducting this research, and overall recommendations for brands and for future research directions