Some professionals scoff at the importance of branding in business.
For many investors and analysts, this area of marketing seems fluffy and intangible, which makes it very hard to measure any potential benefits. While it’s true that quantifying intangibles is not always easy or accurate, it doesn’t mean that branding has no value to begin with.
In this way, branding may be comparable to the concept of “leadership” in sports. Athletes like Mark Messier, Michael Jordan, Ray Lewis, Mia Hamm, and Steve Yzerman weren’t just good players from a technical perspective, but they also had intangible qualities that elevated the performances of their respective teams. While it is hard to measure work ethic, passion, leadership, drive, and loyalty, or how these qualities rub off on teammates, it’s still clear to many coaches and managers that intangibles help win championships.
Like leadership, we know good branding when we see it, even though it can be tough to quantify. Coca-Cola is recognizable and nostalgic, while the Starbucks name may be the difference in choosing their cafe over an average-looking coffee shop in an unfamiliar neighborhood.
The Psychology Behind Logo and Color Choice
Logo and color choice are two of the most important parts of creating a quality brand. Today we have two infographics from The Logo Company. One shows the five major forms of logos, while the other dives into the meaning behind color choices.
We’ll add some commentary on the implications of logo and color choice in of the areas below.
Companies cannot control the actual emotional responses to their brand on a personal level, but they can do their best to control shape, style, and color to at least guide these interpretations.
In fact, our brains are hardwired to learn and memorize new shapes, so the way a logo is presented can have a big impact on its effectiveness. The five major types of logo forms – brand marks, word marks, letter marks, combo marks, or emblems – are a way to control shape and identity.
Word marks, for example, have the name of the company in the logo itself without any imagery. This helps achieve brand recognition, while the lack of accompanying graphics may convey a sense of sophistication to consumers.
Using just initials in a letter mark can show even more sophistication. Leading luxury consumer brands such as Louis Vuitton or Chanel have used this with much success.
On the opposite end of the spectrum, some companies use just a brand mark to convey a sense of universality. Even though “Shell”, “Apple”, and “Nike” are not spelled out in name, their famous icons are known throughout the world. The Nike swoosh conveys movement, while the World Wildlife Fund can tell a powerful story just by using the famous panda in its brand mark.
Target is another instantly recognizable brand mark. The simplicity and circular shape are key elements to the design, but the bright red color also plays a role. Here’s a guide to how color can evoke different emotions in consumers:
One step further, here is another version with a little more nuance, from Web Designer Depot.
Of course, colors can and do get interpreted in different ways. However, they can also have the power to represent broad ideas for cultural or evolutionary reasons.
In a previous post on the psychology of color, we dive into this in more depth. For example, it explains why the color red stimulates appetite, or why blue brings a sense of productivity and efficiency.
How the eSports Industry Fares Against Traditional Sports
eSports has evolved into a billion dollar industry in just a decade, but how does it fare against traditional sports when it comes to monetization?
How the eSports Industry Fares Against Traditional Sports
In just a decade, electronic sports (eSports) has evolved from an underground culture into a mainstream industry worth billions of dollars today.
The industry is growing at an explosive rate, and with major tech giants like Amazon and Google vying for a piece of the pie, the future of this industry is an exciting one.
It’s no surprise that eSports is often compared to its predecessor, traditional sports. However, eSports certainly has none of the typical confines of a traditional sport—so how does it compare in terms of audience size, market potential, and revenue?
An Equal Playing Field?
eSports is an umbrella term for competitions played on electronic systems, typically by professional video gamers—with the first competition dating back to 1972.
The 16 to 24-year-old audience has increased by 60% since 2017, fueling the rapid growth of this emerging industry. The global audience is expected to grow to 276 million by 2022, with League of Legends tournaments often boasting a higher viewership than some of the biggest U.S. leagues:
Cumulative Viewership (2017 finals)
- NFL Super Bowl: 124 million viewers
- League of Legends: 58 million viewers
- MLB World Series: 38 million viewers
- NBA Finals: 32 million viewers
- NHL Stanley Cup Finals: 11 million viewers
While viewership can surpass that of well-known professional leagues, it doesn’t yet stack up in terms of monetization. That said, this aspect is now increasing enough to be seen as a threat to more traditional leagues.
How Much is eSports Worth?
According to Goldman Sachs, eSports will exceed $1 billion in revenue in 2019, and reach $3 billion by 2022. eSports creates the foundation for an entire ecosystem of opportunities, which include live-streaming, game development, player fanbases, and brand investments for sponsorship and advertising—where 82% of revenue currently comes from.
Although eSports under-indexes on monetization relative to the size of its audience, there is a huge opportunity for it to close the gap, given the predicted 35% compound annual growth rate (CAGR) for total eSports revenue between 2017 and 2022.
Getting Attention from the World’s Biggest Players
The success of eSports tournaments is attributed to live-streaming platforms. Amazon’s purchase of leading video-streaming site, Twitch, allowed Amazon to tap into the rapidly growing eSports audience, along with other live-streaming opportunities. Since the acquisition in 2014, the number of average viewers has doubled to 15 million, half of YouTube’s daily viewership.
Google, which lost the bidding war for Twitch, has recently made its own big move into gaming with cloud gaming service Google Stadia. Ultimately, the company hopes it will help keep live-streamers on YouTube instead of competing platforms.
The Future of eSports
Over time, eSports will tap into bigger advertising budgets, and reach national, regional, and global levels, as traditional sports are able to. eSports will also be a medal event in the 2022 Asian Games, which could pave the way for full Olympic status.
As a whole, eSports is starting to seriously compete with the big leagues. With a massive worldwide appeal, passionate fans, and billion-dollar revenues, the industry is only beginning to take flight.
The debate however, is not around the battle between eSports and traditional sports. It is around the shift to celebrating a culture that is completely virtual, over one that is physical—which has much bigger implications.
Ranked: The 10 Organizations With the Best (and Worst) Reputations
According to a representational poll of 18,228 Americans, these are the organizations considered to have the best and worst reputations.
There is no shortcut to gaining a bulletproof reputation.
To get there, businesses not only need to think long term, but they also need to do what is considered “right” in every possible situation.
Aspiring companies must be truly customer-centric, going above and beyond in how they treat their customers. They also require a cohesive vision that helps create a loyal and fervent fanbase that will go to bat for them anytime it’s needed.
The Best and Worst Reputations in America
Today’s infographic from TitleMax highlights the 10 organizations that have the best reputations in the country, followed by 10 that fall on the exact opposite end of the spectrum.
In total, the visualization shows five years of data, so you can see how the rankings have changed over this stretch of time.
As you can see, the reputations of organizations are very much in flux.
In fact, you can even see the impact of recent news cycles on the rankings for 2019.
For example, Patagonia shot up the rankings to become the #3 most respected company after donating its entire $10 million tax cut to environmental groups, while the U.S. government and Facebook both make an appearance on the worst list, thanks to recent negative media coverage.
The Best Reputations Over Five Years
If you haven’t heard of Wegmans Food Market, you might want to stop by a location the next time you’re in the Northeast.
With 99 stores and about $9 billion in revenue per year, this family-run supermarket chain believes that in order to be a great place to shop, it must also be a great place to work. This mantra must be effective, since Wegmans consistently ranks as having one of the best reputations in the entire country.
Also ranking high on the list is Amazon, which was founded as an “obsessively” customer-oriented company. The online retailer has taken the #1 spot in the rankings in three of the last five years, despite a generally negative sentiment hanging over tech giants in recent months.
“A brand for a company is like a reputation for a person. You earn reputation by trying to do hard things well.”
— Jeff Bezos, founder of Amazon.com
The Worst Reputations Over Five Years
As Warren Buffett quipped, a reputation can be built over decades, but it can also be lost in just five minutes.
Various companies that have experienced recent scandals make the list here (i.e., Facebook, Volkswagen, Equifax). It’s also interesting to see that years after each scandal, rankings seem to normalize as the media and public get preoccupied with newer events.
The ranking is based on a survey by Harris Poll, in which the 100 Most Visible Companies in the country are scored and ranked using a proprietary “Reputation Quotient”. For the 2019 edition, the poll had 18,228 respondents from a nationally representative sample.
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