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iStockphoto makes a move to add logo crowdsourcing

September 22nd, 2009

Here’s what I wrote to them. You can also see my comment here:

As a design professional, there are many reasons why I can’t support this move by iStock.

I don’t feel personally threatened by cheap logos. My business chooses clients who understand the value of professional graphic design. A basic logo and stationery design package for a small company starts at $3,500 in my business.

1. I have an ethical problem with the crowd sourcing structure. Many hours can go into even the quickest logo design to meet a basic standard. Each logo design can only be sold once. Many logo designs will not get sold at all. It’s not the same as posting snap shots which have the potential to get sold 100s of times. This results in innumerable hours of unpaid labour, mostly by inexperienced designers. This is very similar to logo contests. You can read more at http://www.no-spec.com and find out why most established design professionals agree to not participate in crowdsourcing or logo design contests.

2. There is also a concern from a creative process point of view. I think young, inexperienced designers who are starting out, may feel they have no other options but to give away logo designs. Sometimes the reasoning goes that doing these kinds of crowdsourcing logos gets you great experience. Well, it doesn’t. The great experience comes from learning the process of communicating with the client, getting a good briefing, doing research, presenting and refining ideas in a team environment and in communication with the client. The absence of briefing, research and customization will result in cookie-cutter logos.

3. Crowdsourcing is also a bad start to a client - designer relationship. To run a profitable business, you have to establish ongoing relationships with your clients. Single-project clients are not what you want, anonymity is not what you want. An established design business usually takes care of its clients’ visual communications needs over many years. It may start with a logo and stationery, but continues with websites, ads, brochures, displays, signage, and marketing. There is history and knowledge built up over the years, and the accumulated experience in a company’s branding makes a design studio very valuable. We become a business resource to a company much as a lawyer or accountant would.

4. And from a business perspective it’s not a good idea either. Young or inexperienced designers often don’t understand how a business works and what a billable hourly rate must cover: equipment and software upgrades, rent and other overhead, your own wages, benefits, and hopefully even a bit of profit. The profit structure which carefully takes into account all expenses and overhead as well as revenues and growth is what all of the Getty Images corporation is based on, this is what every profitable business is based on. Crowdsourcing takes advantage of the poorest and most desperate, and the least educated. The cheap fee for a unique symbol that can only be used by one client, unlike photos which can be sold to many different clients for different purposes, will not even cover a minimum hourly wage, never mind overhead.

I will not use istockphoto any more if this logo design product becomes a reality. There are many other sources for stock photography, including shooting my own.


This entry was posted on Tuesday, September 22nd, 2009 at 19:43 and is filed under business strategy, graphic design. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

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