Like the Apple logo, the Nike swoosh, or the Coca-Cola dynamic ribbon device, the Stones’ lips and tongue logo has entered into the collective cultural subconscious – when you see it, you know rock ‘n’ roll is not too far away.
Designed by John Pasche in 1970 for the Rolling Stones’ record label after the band split with from the Decca label, it captures the sexy and rebellious nature of the Stones. Licensed to appear on T-shirts, bags, mugs, and a million other things, the logo and its attendant merchandise has created a healthy little revenue stream for the band.
The Stones had their psychedelic (She’s a Rainbow – trippy!) and disco (Miss You – do the hustle!) periods, just as many businesses move, sometimes successfully, other times not so, into ventures that don’t always mesh with their core business.
Diversifying can make sense for a business when the conditions in which it trades have changed or when an opportunity presents itself to move into potentially profitable new areas.
As Richard Branson’s Virgin group has shown over the years, it’s possible to branch out successfully into new ventures. Back in 1972, when Branson spun off his record store into a record label that released some decidedly odd music (Gong’s Flying Teapot album is a pearler), few would have guessed the Virgin group of companies would one day include finance, travel, and telco divisions.
Common to Branson and the Stones is an understanding that a strong core philosophy and belief can take you into new genres or businesses.
Excursions into new ventures can be good, but always remember what your fans or customers loved you for in the first place. Staying true to your sound/idea/service gives you integrity.
The Stones might have gone psychedelic on Their Satanic Majesties Request, but just like Coca-Cola, they did not ditch the classic version of the brand and soon came back to their blues rocking roots on Beggars Banquet.
At one point, founding member and guitarist Brian Jones was almost a bigger star than Jagger and Richards, but his inconsistency and drug problems had started to adversely affect the band.
The Stones drafted Mick Taylor (replaced by the impish Ronnie Wood in 1975) – an equally talented but far less temperamental guitarist – to replace the troubled Jones.
Smart recruitment has served the Stones well over their 50 years, as evidenced by their financial partnership with Loewenstein, as well as corporate partnerships with the likes of Budweiser.
The Stones are good at what they do. It’s why they have been able to tour the world well into their pensionable years and make a mint doing so.
Rolling Stone magazine estimated the band grossed a remarkable $US869 million from tours throughout the 2000s. While the overheads involved in these massive tours would have been substantial, you can be sure Mick and the boys had their backroom team work out the best arrangements in minimising expenses and tax bills, using their tax shelter holding companies in the Netherlands.
Tour and merchandise revenue have also become vital since the advent of diminished returns from album sales for the Stones in the past 20 years.
