Is it time to redesign the dollar?
The Great Depression, the advent of digital payments, the rise to power of the Euro and uncertainty caused by the last recession. That’s just some of what the current dollar has been through since 1929. But when it comes to something as symbolic and historic as the dollar, is it better to preserve it or ditch the current look in favor of a redesign?
The meaning of money
Based on the dollar’s long history, it’s become not just a form of currency but a symbol for the United States’ ability to work through challenges. Many of the ideals of democracy and capitalism, ideals that founded the United States, are also largely represented in the dollar (“What do the symbols on the U.S. $1 bill mean?,” 2000).
Currently, the dollar is a powerful brand because it’s considered the primary reserve currency of the world. As a global currency, the dollar has become the standard for international trade, paying off international debts, gold and oil (“Reserve Currency Definition,” n.d.). This has caused the dollar to be recognizable for being reliable, secure and something of real value. It’s a brand that’s both time-tested and safe. But, the dollar is facing a set of challenges it hasn’t yet had to deal with.
Even though the dollar is currently the international standard, the high degree of influence it’s had may be soon ending. According to Atlanta Federal Reserve Bank President Dennis Lockhart, he expects “a gradual reduction in the dollar's role as the rest of the world diversifies and some new currencies become qualified to be held as a reserve currency” (“Dollar to remain world's reserve currency,” n.d.).
A new dollar might make change
Since the dollar is largely seen as a symbol or brand, there may be an opportunity to re-brand. Branding consultants, such as the Merz Group, suggest that a re-branding can help when your company has changed, the competition is re-branding, there’s been a loss of market share, and you want to change customer perceptions (“Rebranding Your Organization,” n.d.). The United States dollar is facing all of these factors in some regard. But, is it fair to apply the same concepts for business to a country’s currency?
Richard Smith, a designer and creator of the “Dollar ReDe$ign Project” thinks so. Since last year, Smith has run a contest to obtain entries from designers, artists and anybody around the world who is willing to submit their idea for how the dollar could be made over. This year, Smith has received more than 60 entries, with visitors registering almost 50,000 votes since the beginning of August to September 30, 2010 (Smith, 2009).
A currency redesign competition has worked before. Switzerland’s government sponsored a similar effort in 2005, and the winner of the contest, Manuela Pfrunder, will soon have his designs become the nation’s official currency. The contest for the U.S. dollar isn’t sponsored by anyone other than Smith, who offers the winner a free T-shirt that he designed (Kugiya, 2010).
Other than submissions, the “Dollar ReDe$ign Project” has its critics. After publicizing the project, Smith received harsh feedback from visitors to the site who found the contest “disrespectful or short-sighted” based on the long-standing symbolism and domestic faith in the U.S. dollar. Smith has even contacted several government agencies in hopes of their participation in the project, but all declined (Kugiya, 2010).
Even with its skeptics, the dollar redesign competition is helping others to think of the possibilities of a new and improved dollar. Smith says that giving the dollar a new look could be “the 'only' realistic way for a swift economic recovery.” Additionally, Smith says, “the Euro looks so spanky in comparison it seems the only clear way to revive this global recession is to re-brand and redesign. Why not? It seems to work for everyone else” (Smith, 2009).
Resources
Dollar to remain world's reserve currency. (n.d.). Reuters.com.
Kugiya, H. (2010, September 27). Future dollars: Is it time to rebrand the buck?. Today.
Rebranding your organization: Knowing when to rebrand. (n.d.). The Merz Group.
Reserve currency definition. (n.d.). Investopedia.
Smith, R. (2009, July 20). About the Dollar ReDe$ign Project. Dollar ReDe$ign Project.
The history of the one dollar bill. (n.d.). The Dollar Bill Collector.
What do the symbols on the U.S. $1 bill mean?. (2000, November 22). Howstuffworks.
