What do all great logos have in common? They’re simple, memorable, and distinctive. They also quickly communicate your brand identity, all without growing outdated too fast.
If the recipe for good logo design is so obvious, then why do so many companies regularly make the news for bad logo designs? Well, it’s because creating a good logo is easier said than done.
As designers at the digital design agency Fivecube, we regularly have to intervene after logo design goes wrong and fix costly bad logo mistakes. Here’s our guide to avoiding these mistakes in the first place.
Why Logo Design Matters
You have only 50 milliseconds to make a first impression. Your logo is usually the element that draws their attention first, whether it’s featured in your website’s navigation bar, mobile app’s welcome screen, or product packaging.
A unique logo that reflects your brand’s personality can grab your potential customers’ attention, forcing them to slow down and spend a bit of time to learn more about your company. It also makes your brand more memorable among other businesses.
What’s the Cost of Bad Logo Design?
A bad company logo can easily turn into a PR nightmare or cause financial losses. Here’s why:
In high-profile cases, bad logos make for bad press, which can hurt your brand’s reputation
Inconsistencies between the logo design and the rest of your visual identity undermine brand recall, which might cost you potential customers and revenue
A generic logo design that doesn’t stand out also reduces brand recall
Bad logo design makes your company look amateurish, leading to lower conversion rates
3 Bad Logos to Serve as a Cautionary Tale
Great logos often don’t make the news because that’s what customers expect by default. But when logo design goes wrong, trust us: it won’t go unnoticed. Here are just three examples to prove our point.
2012 London Olympics

Be honest: if you didn’t know that this was a logo for the 2012 Olympic Games, how long would it take you to understand the shapes actually represent numbers? This design choice left the logo too open to misinterpretation, with the Iranian government notoriously claiming it represented the word Zion, for example.
Pepsi 2008 Rebranding Fail

It’s hard to believe it today, but the logo on the left cost Pepsi an astounding $1 million. Although changes aren’t astounding, that’s not the main reason it’s one of the better-known bad logo redesigns. After the initial proposal leaked, questions started arising about the reasoning behind the new logo.
In short, the design agency Arnell said the logo was evoking the golden ratio, the Mona Lisa, the Parthenon, the Gutenberg Bible, the Earth’s magnetic fields, and the Solar system. None of that is actually related to soda, as you can guess.
Gapgate: Logo Gone in 8 Days

Gap, the U.S. apparel company, fumbled its logo redesign so much that it’s become known as Gapgate. Its new logo basically erased any personality the company had established in the past, and its font choice was criticized as too generic.
To add insult to injury, there was no reason to redesign the logo: it was still standing the test of time. That’s why Gap’s customers at best didn’t understand the purpose of the redesign and at worst ridiculed and rejected the new logo.
3 Logo Design Mistakes & How to Avoid Them
Final Thoughts
Bad company logos can turn your business into the subject of ridicule and even cost you customers and revenue because of poor brand recall. To avoid a bad logo, you’ll need to ensure your logo strikes the right balance between simplicity and memorability, recognizability and timelessness.
Need a fresh logo for your new venture or a logo redesign for an existing one? Fivecube’s designers can create one that reflects your brand identity and makes it memorable. Get in touch with us to discuss your logo design needs in-depth.
Jul 24, 2025
By
Fivecube Team
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