Nokia's sleek new logo: Let's hope it isn't going to be an issue like it was for KIA

Yesterday, Nokia made the announcement to refresh its brand, as part of its long-term strategic transformation. The company said the new logo is emblematic of an energised, dynamic and modern Nokia, demonstrating its values and purpose. According to Nokia, it is refreshing its brand to signal its new identity of being a B2B technology innovation leader realising the potential of digital in every industry.

Don't miss: Nokia ditches chunky iconic logo for sleek modern look 

The new design also comes with its focus to grow market share with service providers, driven by continued technology leadership, and expand the share of enterprises within its customer mix.

The move by Nokia isn’t a surprising one as it looks to move away from its mobile devices image. Moreover, when brands change their logos, it is either to refresh the brand and maintain brand relevance in a constantly evolving market and changing customer expectations.

According to industry players MARKETING-INTERACTIVE spoke to, Nokia needed to change its identity to “create the break between its handphone heyday and its digital transformer future”.  However, whether this is the right change remains to be seen, said Graham Hitchmough, chief operating officer and The Bonsey Design Partnership.

Hitchmough added that it is always dangerous to assess a brand identity in isolation from the business strategy, and internal considerations inevitably guide the direction of change in such situations. “But on the face of it, the logo seems very consumer-oriented for a business seeking technology leadership in the enterprise field,” he said, adding:

Perhaps this reveals that there will continue to be a significant consumer component to the brand. Or perhaps it reflects a more atavistic desire to be cool and relevant again. 

Describing the look of the logo, he added that it is one of which is futuristic in a familiar way and that is willfully obscure.  “This has proved to be an issue for the likes of KIA, but one has to assume that there is method in Nokia’s approach rather than simply pursuing ‘edge’ for its own sake,” he said.

Unfortunately, KIA’s rebranding in 2021 was widely criticised to be a major branding fail as consumers misread the new Kia logo as “KN”. At the time of the rebrand, Kia’s global CEO, Ho Sung Song said the new look came amidst the automotive industry experiencing a period of rapid transformation. The new logo was created to represents the brand’s desire to inspire customers as their mobility needs evolve, and for employees to rise to the challenges we face in a fast-changing industry.” However, critics online called the logo unreadable and search results for KN so a spike.

Like Hitchmough, Sutapa Bhattacharya, CEO of DIA Brands Malaysia also likened the logo change to KIA’s strategy – which unfortunately weakened its branding “as the new logo for KIA was read as KN, creating confusion in customer minds”.

However, she added that a brand direction change is not represented by the logo change alone but also the narrative built around this transformation. In Nokia’s case, Bhattacharya said a logo change was imperative to change reflect the new business direction of the brand, for new segments of customers.

“The refreshed colors cue vibrancy, energy and innovation, quite relevant to the category. However, what may potentially be damaging to the brand is the letters of the new Nokia logo may well be misread,” she said.

Moreover, when there is change is business direction – entry into a new business sector or a new segment of customers, a logo change is key to signal this change to the world - customers and other stakeholders alike.

“A logo change is a serious decision and not to be taken lightly at any time, as the logo, an essential component of the brand identity evokes deeply entrenched associations and familiarity and a wrong logo change may dilute the brand equity,” she said.

The risks for the business are high as the exercise in implementation across all touchpoints involves large investments in communicating the change.

“The cut letter style has a futuristic vibe that seems outdated,” added on Yvonne Ma, managing director, eighty20, who said:

It appears reminiscent of early 2000s futurism, but at least Nokia avoided the tech lowercase sans-serif trend.

Ma added that while it is visually intriguing, it may not stand the test of time. The classic shade of blue associated with the brand is replaced with a variety of colours depending on placement. Adding on, she said, “I found the Neon colour choices also a bit dated for 2023 and onwards.”

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