Choosing a color for your logo, product merchandising, or storefront is more important than just going with your favorite. Business owners need to consider a wide range of factors when it comes to picking the perfect hue.

According to the Color Marketing Group, color can count for up to 85% of the reason a shopper buys one product over another. Separate research shows the proper use of color increases brand recognition by 80% and 85% of consumers choose a product because of its color.

Colors inspire emotional responses and knowing and using these responses is an effective marketing tool. So, when choosing colors for just about anything, it’s a good idea to study the Color Psychology. Its palate has more possibilities than a rainbow has colors. For example:

  • Red is normally associated with “Stop” signs and traffic lights. However, it has proven to be very effective in triggering a “Go” response when used on websites links. Bold red is used to attract the attention of consumers by companies like Coca Cola, Target, Canon, Virgin and Toyota.
  • Blue is the favorite color of both women and men, and conveys feelings of trust, reliability, honesty and loyalty. Hence, it is the choice of corporate giants Hewlett Packard, Ford, IBM, LinkedIn, Walmart, and more.
  • Most people don’t like yellow, the third primary color, which means anyone looking to appeal to the masses should avoid it. However, companies like McDonald’s, Best Buy, Reese’s and even Ferrari use the cheery color effectively.

Another factor retailers should consider when choosing colors is the target market. Is your business trying to attract teenagers, middle-aged customers, or seniors? Younger people are inspired by bold colors, while older customers prefer more subdued shades.

Whatever color you chose, make sure you do some homework and make the right decision for your business.