The cost of a logo design is perhaps the biggest point of conflict between business owners and designers. Why does logo design cost fit into such a huge price range? In this piece, we’ll try to answer what you should pay for a new logo and why.
Designing a logo is like buying a wedding ring: the design itself couldn’t be simpler, yet what people pay good money for is the symbolic value. Your logo is the face of your company. It’s just one visual that should reflect your entire brand identity: your mission, vision, values, and target audience.
With so much meaning going into the design process, it’s understandable that logo design will cost a bit more than most graphic design tasks.
Logo design cost - 5 design options to consider
When it comes to logo cost, the middle ground seems to be winning: 67% of small businesses are willing to pay $500 for a new logo, while only 18% are ready to go over $1,000.
So, what should you pay? Well, the first major factor, of course, is your budget. If you know the ballpark figure of what you’re looking to spend, here are four options of graphic design services and the rough figures for each one.
It’s impossible to give a comprehensive breakdown of prices since several factors influence the final price. For example, a freelancer’s hourly rate and a design agency’s location could sway the final logo design cost dramatically.
However, aside from the price, it’s critical to understand why logo design is important and what are the pros and cons of each type of logo design service.
Why do you need a good logo
We scratched the surface of this big topic in the introduction, but a good logo is so much more than a piece of graphic design. Think about big companies, like Google, Nike, Apple, or Coca Cola. A testament to some of these great logos is that they changed very little over a long period. The result is a hugely recognizable brand and a great symbolic value to their customers (kind of like a wedding band!).
Great logo design can help set you apart from the competition and grab people’s attention. When you walk into a store, you’re already looking for Coke’s memorable logo design, but it’s the bright red color that helps it be the first thing you see.
Your logo designer needs to make a careful choice of color, typography, and visuals that are in line with your brand identity (for example, people might not associate cheap, flashy design with organic and environmentally conscious products).
On the business side, a professional logo can increase sales and help you build a better brand. While it’s impossible to create a good logo without a clear brand strategy, there are a few general principles of good logo design:
- simplicity
- memorability
- distinctiveness
- versatility
- relevance to brand
Whatever your design service of choice may be, make sure that you look out for these things when presented with an idea or finished result. Also, bear in mind that ticking all of these boxes is why the cost of a logo might be higher!
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Logo design options: pros and cons
So you already have an idea of what is the cheapest option for logo design. Still, to help you pick the best one for your business, it’s also necessary to understand what it is that you’re paying for and what you’re getting for your money.
Let’s look at the main pros and cons of each design option.
Logo templates
PRO: It’s cheap.
If you’re a small business that is just starting out, every dollar in the bank counts. Using a logo template found on Google or an online logo generator is not going to produce the most original logo and certainly won’t make for great branding.
But if you’re keen to get the show on the road and, better yet, can get at least some form of assistance or advice for someone with at least some graphic design knowledge, this is one route to take.
CON: It’s cheap.
With the tiny logo cost being an understandable incentive, I must implore you to stay away from this option, if at all possible. For a couple of hundred dollars, you can get a unique and memorable logo that will help you grow your business.
A sloppy logo generator solution will probably need to be redone somewhere down the line (and it may fail to generate the revenue necessary for rebranding).
Freelancers
PRO: It’s affordable and customizable
If you have a very clear idea of what you want, freelancers can be a foolproof logo design option. Use platforms like Upwork, Fiverr, Dribbble, or Behance to find a freelance designer you think will make your vision come true.
Make sure to look out for:
- portfolio;
- customer testimonials: or better, get a referral from someone.
- pricing options (per hour or per project);
If you know exactly what you want and communicate this to your logo designer, it shouldn’t take longer than 1 or 2 days to produce a good logo.
CON: It’s unpredictable
Freelancers’ hourly rates fit into a big price range. A newbie will charge around $20 per hour, while a more experienced designer won’t settle for less than $80 (over $100 is also very common).
In addition to that, freelance work involves a varying number of research hours. The more detailed your design brief is, the easier it should be for the graphic designer to produce a good logo. It’s critical to agree in advance whether your logo designer is getting paid per hour or for the project (extra research hours can increase the overall cost of a logo).
Finally, this option is most unpredictable in terms of design quality. A graphic designer may have produced wonderful work in the past, but sometimes things don’t work out. With no project manager, it comes down to the communication between you and your logo designer.
Design contest
PRO: You get a wealth of ideas.
If the prospect of a detailed design brief scares you and you want to explore some options, a design contest can be a good place to start. For a few hundred dollars, you can get many ideas, and if you’re lucky, you might end up with a great logo.
On the other hand, it can also be the right choice for those with a very clear vision. Designers approach the logo design process in different ways, which can produce a nice range of options.
Of course, a lower price point might put off some more experienced professional designers.
CON: The results are unpredictable.
It’s practically impossible to figure out what you’re getting. Since the designers choose to take part in the contest, it’s impossible to filter out the freelance designers whose skills best fit your needs.
Depending on the design contest platform, you may get a full refund if you don’t like any of the results. However, the time you spend without a result may be frustrating.
Unlimited graphic design service
PRO: Affordable service and professional output
I know what you’re thinking: why pay for a whole month of design services if I just need a logo? Well, because you get an entire month of design for the cost of a mid-range logo produced by a freelancer!
Unlimited graphic design costs between $300 and $600 and allows you heaps of creative freedom. You can make as many revisions as you like, request your logo in different file formats, all at a flat monthly fee.
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If you’re looking to create your brand identity from scratch, this is a wonderful, affordable option. For the price of just one month’s subscription, you can probably get a logo and a complete style guide to inform any further design work.
It’s especially useful if you don’t have an exhaustive list of branding needs. For example, if you’re a consultant (here’s one of our experiences creating a business consultant’s brand identity.
CON: No deep understanding of your brand
Although depending on the service you choose, you can usually communicate openly and quickly with the assigned graphic designer, it’s not always possible to create the same, in-depth understanding of your brand which you might achieve working with a freelance designer.
Design agency
PRO: You get a new logo and complete brand identity.
If you want things done right… well, you’ll have to pay for it.
The biggest pro about working with a design or branding agency is that you can rest assured that every aspect of brand design will be covered. Agencies will also do extensive market research to find out what your competitors are doing and to what kind of visual identity your target audience will respond to best.
It’s difficult to pin down the logo design price in this case, since working with an agency produces a much more comprehensive result than a new logo.
CON: It’s expensive.
We’ve already pointed out the dramatic difference in price between a design agency and other logo design service options. The price point, again, will vary depending on the agency’s experience and location.
Finally, like every other option, there are no guarantees things will work out. And after you’ve spent thousands of dollars, realizing that a design firm is not a great fit can be pretty frustrating.
Make sure to do your research into previous work and portfolios or, better yet, ask for recommendations to make sure a significant investment like this is worthwhile.
You can’t put a price tag on professional logo design
We hope that this article gave you a better idea of what you are paying for with a logo design project and how much you are looking to spend. If you want to learn more about different types of logos before you set your mind on something, here’s our guide on different types of logos.
While you may want to choose the design service that strikes the perfect balance between your needs and your budget, I hope that you will reconsider a DIY logo, unless you have a graphic designer background.
A great logo is an investment in your small business. If you believe in your vision, choose a logo design that will show it.
Find out what we can do together: check out our portfolio or schedule a demo to learn how you can create a professional logo with ManyPixels!