Internet
Studies show that 97% of internet users spend less than 10 seconds on a main page of a website unless of course something interests them to the point they keep reading. This factor can be contributed to poor web layout, poor navigation layout, and most important NO visual appeal.
Professional graphics give any site a more visual appeal and keep the reader interested. Think of a movie you have watched recently where the graphics looked really bad. How much did you think of the film after you noticed this? Would you consider it a film you would recommend? Mentally did you put it in your favorites list? Of course not. That is why big budget films always do better even if the story is kind of lame. The graphics keep you interested and there for make more money.

Advertising
Consider this! The MAIN reason people buy a product is because the product ad looked appealing. Even if the product is in your hand and you turn that product over and read the back if the instructions and or details are poorly designed that is your first indicator to set that product back on the shelf. A product or service only does as well as the ads permit it to do. Bad ads or description equals fewer sales. END OF STORY.

Logos
This one is simple. A logo represents your company. Consider this. Comparing high end to low end logos most people would say, if you have a poor or even fair looking logo you MUST have a poor to fair quality company. Take Dream Works for example. Their into production video logo is one of the best looking in the industry and of course represents one of the best film production companies in the industry. If you are going to have a logo represent YOUR company make sure it represents the quality of work or service you do there!

Ronnie Lebow recently pointed us to a great blog article he wrote several months ago titled - Why a logo should cost more than $100? - Mr. Lebow does a very good job making his point by breaking down the actual time spent and cost associated with each step of the design process. He provides very conservative hourly estimates at an industry average rate of $50 / hr.

Research / 7 hrs / Cost = $350
Concept Development / 21 hrs / Cost = $1,050
Presentation and Revisions / 21 hrs / Cost = 1,050
Total: $2,450+

It seems that there are some very interesting questions raised in this article and the blog comments that havent really been discussed fully:
1. Why is it that there are $99 logos advertised everywhere?
2. If, as Mr. Elbow explains, charging $125 for a logo is NEVER worth it, then why do artists continue to do it?

The effects of globalization and competition are extremely evident on the internet. Twenty years ago designers were primarily competing with other artists down the block, most often the competition was literally found within the same city. Now, designers in the US and Canada are competing with those in Europe, India, and China. This dramatically extends both the low-end and the high-end of the global market. If it wasnt worth it for designers to charge $125, you wouldnt find any doing so.

Competition is not a problem that is unique to the design industry. In every industry there is a low-end and a high-end. Mercedes and BMW dont waste their efforts attempting to educate the public in order to prevent people from buying bikes. No, they take the onus to prove their value, deliver top-notch products, and target the right people that are going to listen to their message.

Hopefully, several years down the road, the true range of the design market will be better reflected in the search engines. Clients will see more clearly that a $100 logo is not right for their business, and that while a bike might get you to work; its probably not the best choice if you want to go far.

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