Why do firms refuse to change logos?

Why do firms refuse to change logos?

By Tjipto Ramuni

JAKARTA (JP): A company's logo is, in fact, comparable to
someone's face. Meaning that by only a quick glance, people can
identify the particular company right away.

It is more or less like looking at a familiar face and only by
looking at it will you know to whom the face belongs.

Like a face, a company logo will be taken care of and be well-
kept to gain people's recognition. Both the face owner and the
company owner to which the logo belongs, will maintain their
reputation so as to create a good image in the public eye or
among consumers.

The main difference between a logo and a face lies in change
itself. Only a few people change their faces (for instance, by
plastic surgery), and, as far as possible, people try to keep the
faces given to them by God.

An effort made by many people is to beautify themselves
through the use of cosmetics. This is common among women, who
care very much about their "logos".

Unfortunately, this kind of thing does not happen to a company
logo. Innumerable companies have changed their logos already for
all kinds of reasons to the extent that the companies to which
the logos belonged have indeed "restructured" their faces in such
a way as to turn them into totally brand-new companies, leaving
the impression that the old logos have been long gone and
forgotten in the process.

And, if possible, not to ever be mentioned again, despite the
fact that the company's name has not even changed at all. In
other words, the company concerned only wishes to change their
old image.

Examples of such companies are numerous: Kentucky Fried
Chicken has changed both its logos and original brand into the
more popularly acronym, KFC, without having to relate it to
Kentucky Fried Chicken any longer.

This was done to avoid what the name implied: that Kentucky
was identical to fried chicken containing a high cholesterol
level, something clearly avoided by a particular segment in
society, as well as other deep-fried products.

Examples such as this are innumerable in Indonesia alone. TPI,
for instance, has changed its logo to its current one and never
again refers to its original appellation as Televisi Pendidikan
Indonesia. Even now, it is projecting its image as a family
television station, deliberately leaving out its "educational"
mission.

The same thing happened to BNI. The logo of this state-owned
bank has been changed into a sailboat, without bearing the name
of Bank Negara Indonesia anymore, leaving the impression of
something outdated.

Three state banks have recently merged into one company and
picked up a new name as well as a new logo: Mandiri. Apart from
giving the impression that the new bank is distinct in the real
sense, it is also supposed to mean that the brand-new bank is
totally different and, obviously, a separate entity from the
three former banks that were merged under one roof.

However, this is different from the merger of the two giant
retailers Continent and Carrefour. While the owners of the brands
still maintained their old names, they choose Carrefour to go to
the market with, thus deliberately shutting out Continent.

This kind of policy shows that the Carrefour name as well as
its logo were still acceptable to the market, unlike the BBD or
Bapindo name and logo prior to their merging into Bank Mandiri.

Only recently, Garuda Indonesia successfully changed not only
its logo but its corporate image as well. There have been drastic
changes from the marketing standpoint, leaving the impression
that the state airline company has changed its old negative image
into a new positive one within a very short time -- as easy as
giving away free candies to children.

PT Excelcomindo Pratama, a cellular operator in Indonesia has
also changed its corporate image, including its logo. Now, the
company name has been shortened to Excelcom and its corporate
colors have also been changed, although company management
prefers to call the changes a revitalization.

There are lots of other companies that have changed their
logos. Some of them have changed their logos drastically and some
others gradually. Smaller parts of the logos have been changed
unobtrusively and, so, are unnoticed by the layman's eyes. An
example of this is the Tempo weekly magazine. Take a close look
at the renowned Indonesian magazine from its first issue until
now. It will be seen that it has, indeed, changed slightly though
this will not be apparent at a superficial glance.

Needless to say, almost all companies have changed their
logos, synchronizing themselves both with the era of
globalization and society's perceptions of their new symbols. For
instance, environmental companies will adopt green logos and
high-tech ones will resort to blue. The logos of new companies
depicting new concepts pick silver as the color of the
millennium.

Another meaning implied in logos is the perception that a
particular company can quickly anticipate the winds of change
(which happen in the blink of the eye). This impression is
provided by sharp or pointed logos, or logos with some parts
facing upwards, often resulting in aerodynamic, moon or oval
shapes, etc. In short, they are less rigid, unlike those of the
1960's.

Aside from companies that redefine themselves, we also have
companies that remain loyal to their old logos and brands.
Whatever happens as regards fashion, the owners of such companies
tend to keep their old logos as long as they can.

Normally, "consistency" such as this happens in traditional or
family-oriented business.

To name some such companies, for instance, we have cigarette
companies in Indonesia such as Gudang Garam, Djie Sam Soe, Minak
Djinggo, Bentoel, Djambu Bol and others. It's crystal clear that
these companies have made every effort to appear more
fashionable. The packages they produce, including the colors, raw
materials and shapes -- employ sophisticated designs, giving the
impression of modern and global products.

But take a good look at the logos on these packages. Aren't
they exactly the same as the old ones? Like the picture of a
cluster of houses or warehouses standing beside the railway? Or
the type of the needles in the new Djarum or Bentoel packages,
are they totally changed?

Still, there are many other examples of both family-oriented
and traditional businesses alike showing the high-esteem of the
management or owners for the old-fashioned way.

It is not easy to find out why these companies keep their old
logos to the present day unless we take a short look at their
habitual routines in running their businesses. Thus, we will find
that many domestic companies or family-oriented businesses will
keep "their maxims" such as traditions or the habits of their
ancestors, including those related to mystical beliefs.

For instance, in searching for a good name, color and logo
shape, more often than not they will make a snap decision without
thinking. Some of them will even visit places considered mystical
to look for inspiration, vision and the like. Eventually the
spirit will "whisper" the logo and the name of the preconceived
company. Consequently, they become convinced that the particular
name and logo has been blessed by "something" that they believe
conveyed "the truth" to them

Illogical, of course. But one thing is for sure, such and such
logo continues to be used right up until the present time and has
proved itself successful in the market.

Some local cigarette manufacturers, including manufacturers of
traditional clove cigarettes, are even able to snatch a bigger
market share without having to renew or change their old-style
logos.

At least that was the owners' belief. Even at the present
time, they still hold the same belief that changing the logo will
not make things any better.

What if a certain product line and the old logo is no longer
accepted by the market? Will they survive using the same old
logo? The question will remain unanswered.

They can no longer keep on buying time. The company owner can
no longer keep a product that has been rejected by the market.
Like it or not, they will have to change their management, logo
and all the rest to create a new image that will allow them to
achieve market penetration.

Such things also happen to modern companies, the only thing
that makes them different from the rest is that they have
masterly anticipation. Indeed, they will normally have made the
necessary changes, including changes to the logo, prior to the
dumping of their brands by the market. It is no wonder that
nearly all long established major companies have, in fact,
changed their logos once or even more than once.

So it is only a matter of time before traditional companies
change their logos. Not many brands, logos or product lines can
survive more than 100 years. In fact, is there any logo that has
survived 100 years? I don't think so.

The writer is a journalist based in Jakarta.