Logo is the symbol or identity of an institution. Your logo will ultimately effect to your customers’ thinking and interaction with you. When designing a logo or brand logo or brand name for your products or services, several considerations are needed.
- The logo must not confuse customers for being misused or missed interpret
- Make it simple, easy to remember, to recognize, and to spell (if texts are included)
- Consult with local and international expert for laws and regulation on intellectual property, trade mark infringement, and other legal support.
Currently, the royal government of Cambodia have been rolling out a campaign on checking business logos, brand logos which look like the Ministries’ logos and names or work or term” that make confusion among the public. On the process, two microfinance institutions are immediately effected by the campaign – ACELEDA Bank and PRASAC Microfinance.
There’re two case studies about using brand logo or logo that might confuse the public.
Case II: Confusion Brand Logo – ACELEDA Bank
ACELEDA is the most dominated micro-finance (bank) which has been operated in Cambodia since 1993. with the ILO and UNDP as godparents, ACLEDA was established in January 1993, as a national NGO for micro and small enterprises development and credit by a group of founders. (Source: www.acledabank.com.kh)
ACELEDA Bank in Cambodia has required to change its logo immediately following by Prime Minister, Hun Sen’s speech on Feb 17th 2017.
The government asked ACELEDA to urgently change its logo for 3 weeks to avoid confusion among the public for a private banking institution with a government institution because the bank’s commercial logo similar as the symbol of the Ministry of economy and Finance.
ACELEDA bank is estimated that to change the old logo to the new design logo will cost up to $3 million.
Case II: Confusion Brand Logo – PRASAC Microfinance
PRASAC has been operating in Cambodia since 1995 as a development project funding by EU in 6 provinces with three different credit components. In July 2016, PRASAC increased its registered capital up to KHR 440 billion or equivalent to USD 110 million among 5 shareholders: BIO, DGC, FMO, LOLC, and PSCo.
PRASAC achieved a new significant milestone in its 20-year operations by reaching USD 1 billion of loan outstanding portfolios.
On February 22nd 2017, In his speech at the student graduation ceremony of Phnom Penh International University (PPIU), Prime Minister, Hun Sen, said: ” PRASAC Microfinance which has (Khmer : រ រ រ and English: R R R which means Riel, Riel, Riel) on its logo. It is considered misused as people might confuse that the logo with R R R is not Riel currency, but they think that the state owes money to the state, because រ=R, R=Riel=រៀល, រ can be រដ្ឋ= State”.
To avoid misunderstanding in using this brand logo, Prime Minister, Hun Sen, urged the Prasac Microfinance to change it immediately; Otherwise, it will face lawsuits.
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