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The Psychology of Color in Business

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The Psychology of Color in Business

The Psychology of Color in Business

What do the colors in your company’s branding tell customers?

Today’s infographic, by the Masters in Psychology Guide, is on the psychology of color in business. It analyzes the colors used by major tech startups as well as by prominent consumer brands in their advertising.

Unicorn Colors

Out of the largest 50 unicorns, tech startups that have achieved valuations of $1 billion or more, the most common primary branding color was black or grey. A total of 38% of companies, including stalwarts like Uber, Vice, and WeWork, rely on these hues for their outward appearance.

Blue is well-known as a strong business color, and it is no surprise that 20% of the top 50 unicorns focus on blue as their primary branding color. Dropbox and SpaceX are among the companies that are following in IBM’s “Big Blue” branding path here.

The red end of the spectrum makes up 16% of companies (including Pinterest and Airbnb), with yellow at 12% (including Snapchat), and green at just 6%. A green palette was least used for primary branding by unicorns, with Spotify being a rare exception.

The Psychology of Color in Branding and Ads

It’s not just tech startups that key in on color to help differentiate their brands. Companies, including some of the best-known consumer brands, have focused on color in their branding, advertisements, and communications for years.

Red is a color that allegedly stimulates appetite. That may explain why fast-food restaurants like McDonald’s, KFC, Pizza Hut, Wendy’s, and Popeye’s all heavily use red in their brands.

Black is all about the feeling of sophistication. Some of the largest luxury brands in the world use black as a primary branding color, including Chanel, Michael Kors, Prada, Dior, or Georgio Armani.

Blue is viewed as productive, but not invasive. It has been the color of choice for large corporate brands like IBM, AT&T, and Forbes.

Lastly, green is a symbol of fertility, and pink is chosen for a feminine feel.

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Ranked: Largest Semiconductor Foundry Companies by Revenue

Most of the 10 largest semiconductor foundries in the world, are headquartered in just three Asian countries, accounting for 90% of the entire industry’s revenue.

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A cropped chart showing the largest semiconductor foundry companies by their percentage of global revenues in Q1 2023.

Ranked: Largest Semiconductor Foundry Companies by Revenue

They’re in our phones, cars, planes, and even fridges.

Semiconductor chips have become critical for the modern way of life, and the biggest semiconductor foundry companies rake in billions of dollars from widespread demand.

This chart shows the largest semiconductor foundry companies by their percentage of global revenues in Q1 2023, using data sourced from Trendforce.

ℹ️ We highlight data for companies that only operate foundries (fabrication plants) that manufacture chips for clients, also known as a “pure-play” foundries, as well as companies that design and manufacture their own chips, known as integrated device manufacturers. “Fabless” manufacturers that only design and don’t manufacture their own chips are not included.

Semiconductor Foundry Companies by Revenue

At the top of the list and dwarfing every other company by revenue share is TSMC which earned 60% (or nearly $17 billion) of the entire industry’s revenue in Q1 2023.

Founded in 1987, TSMC is a pure-play foundry that has become Taiwan’s largest company and manufactures products for a host of clients including Apple, NVIDIA, and AMD.

RankCompanyCountryRevenue
(Q1 2023, USD)
1TSMC🇹🇼 Taiwan$16,735M
2Samsung🇰🇷 South Korea$3,446M
3GlobalFoundries🇺🇸 US$1,841M
4UMC🇹🇼 Taiwan$1,784M
5SMIC🇨🇳 China$1,462M
6HuaHong Group🇨🇳 China$845M
7Tower Semiconductor🇮🇱 Israel$356M
8PSMC🇹🇼 Taiwan$332M
9VIS🇹🇼 Taiwan$269M
10DB Hitek🇰🇷 South Korea$234M
Other$556M
Global Total$27,860M

Note: Revenue based on the following conversion rates: USD 1 = WON 1,276; USD 1 = NTD 30.4.

Well behind TSMC in foundry revenues is integrated device manufacturer Samsung, the biggest company in South Korea, which made $3.4 billion (12.4% of the industry’s revenue) from its semiconductor manufacturing business.

GlobalFoundries from the U.S., UMC from Taiwan and SMIC from China round out the top five, with each taking home around 6% of industry’s revenue share in Q1 2023. The former spun out from AMD’s manufacturing arm when the company went fabless in 2009.

Industry concentration is apparent in semiconductors. For example, the top 10 semiconductor foundry companies account for 98% of the entire industry’s revenue. Furthermore, 90% of the market is dominated by companies in just three Asian countries: Taiwan, South Korea, and China.

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