Industry

How Pantone Sold the Rainbow (And Why You Keep Buying It)

Oskar Malm
April 28, 2025
13
min read

Ever tried to explain that specific shade of blue to someone? You know, the one that’s not quite navy, definitely not royal, maybe a hint of teal but only under fluorescent lights? It’s a nightmare. Multiply that frustration across global supply chains, design teams, and print runs, and you get a sense of the chaotic, costly mess that color communication used to be. How do you ensure the blue on the billboard matches the blue on the box matches the blue the client actually wanted? For decades, the answer has been deceptively simple: Pantone.

This isn't just a company; it's the self-proclaimed global authority on color, the architect of a universal language spoken through numbered swatches and fan decks. Headquartered in Carlstadt, New Jersey (www.pantone.com ), Pantone didn't invent color, but it figured out how to standardize, categorize, and, crucially, monetize it. They stepped into the subjective chaos and sold the world objective order, one precisely formulated ink recipe at a time.

This piece dives into the fascinating business of color, tracing Pantone's unlikely journey from a struggling print shop division to an indispensable, influential, and sometimes controversial force shaping everything from high fashion runways to the exact shade of your favorite cereal box. We'll unpack how they built their empire on the back of the iconic Pantone Matching System (PMS), explore the marketing genius behind the annual "Color of the Year" spectacle, see how designers and massive brands rely on (and sometimes wrestle with) their system, understand why they dominate the industry, and touch on the recent digital disruptions shaking up their colorful kingdom.

Forget seeing red; let's talk about making green (and blue, and yellow...). How did Pantone turn the spectrum into a multi-million dollar business, embedding itself so deeply into the creative world that operating without it seems almost unthinkable? Let's find out.

The Accidental Color Empire: Pantone's Origin Story

Pantone wasn't born in a slick design lab or a high-tech startup incubator. Its roots lie in the messy, ink-stained reality of 1950s commercial printing in New Jersey. Back then, it was just a division of M&J Levine Advertising, a company run by brothers Mervin and Jesse Levine. The problem they, and everyone else in the industry, faced was color chaos. Designers would specify one shade, printers would mix another, and clients would inevitably complain that the final product looked nothing like what they'd approved. It was a constant source of frustration, wasted materials, and costly reprints.

Enter Lawrence Herbert. Hired part-time in 1956 while fresh out of Hofstra University, Herbert brought a chemist's mind to the problem (Source: https://en.wikipedia.org/wiki/Pantone) . He saw the inefficiency firsthand – the ad-hoc mixing, the subjective interpretations of color names. He realized the company's stock of pigments and ink production was a disorganized mess. Applying his chemistry knowledge, Herbert began to systematize the process, creating standardized formulas for inks and organizing the pigment stock.

His efforts paid off. By 1962, Herbert was running the ink and printing division at a profit, a stark contrast to the commercial display side of M&J Levine, which was bleeding cash – $50,000 in debt, to be precise. Seeing the potential in the system he'd created, Herbert made a bold move. He bought the technological assets of the struggling printing division from the Levine brothers for $50,000 (roughly half a million bucks in today's money) and struck out on his own, renaming the operation "Pantone" (Source: https://en.wikipedia.org/wiki/Pantone) .

The core idea was revolutionary in its simplicity: create a universal, objective language for color. In 1963, Herbert launched the first Pantone Matching System (PMS). It wasn't just about mixing inks; it was about communication. The system featured a fan deck of precisely defined colors, each identified by a unique number. Designers could now pick a specific Pantone number, and any printer, anywhere in the world, equipped with the PMS guide and formulas, could reproduce that exact color. It was a breakthrough, offering consistency and reliability in a field desperate for it (Source: https://aprcreative.com.au/the-history-of-pantone/) . This wasn't just a product; it was the solution to a massive industry pain point.

From these humble, practical beginnings, the Pantone empire began. While the company has since changed hands – acquired by color measurement specialists X-Rite (www.xrite.com ) in 2007, which was then bought by the conglomerate Danaher Corporation (www.danaher.com ) in 2012, and subsequently spun-off as part of Veralto Corporation (www.veralto.com ) in 2023 (Source: https://en.wikipedia.org/wiki/Pantone)  – its foundation remains Herbert's original vision: bringing order and predictability to the vibrant, chaotic world of color.

Decoding the Color Cash Machine: How Pantone Makes Money

So, Pantone created a universal language for color. Brilliant. But how do you turn a language into a lucrative business? By charging people to speak it, interpret it, and apply it. Pantone mastered this, building a multi-faceted revenue machine that goes far beyond just selling colorful strips of paper.

The Golden Goose: Physical Guides

The bedrock of Pantone's business has always been the physical Pantone Matching System (PMS) guides – those iconic fan decks and chip books seen in design studios worldwide. These aren't cheap impulse buys; sets like the "Color Specifier & Guide Set" can run upwards of $800 (Source: https://www.thefashionlaw.com/the-business-of-being-pantone/) . For decades, these guides were the primary way designers and printers accessed the Pantone standard. Back in 2003, Forbes estimated that these printed products accounted for a staggering 70% of Pantone's revenue (Source: https://www.forbes.com/global/2003/1124/056.html) . Pantone cleverly encourages annual repurchases, citing the potential for inks to yellow and colors to shift over time, ensuring a steady stream of income from its core user base.

Licensing the Language: Pantone Everywhere

Beyond the physical guides, Pantone aggressively licenses its intellectual property. Think of it as collecting royalties every time someone uses their color dictionary. This includes:

  • Software Integration: For years, Pantone colors were seamlessly integrated into essential design software from companies like Adobe (www.adobe.com ) and Quark (www.quark.com ). Designers could easily select and specify Pantone colors directly within their digital workflows. However, this lucrative stream hit a major snag recently. In 2022, a dispute led to Pantone colors being largely removed from Adobe Creative Cloud, forcing users who wanted full access to pay a separate Pantone Connect subscription fee. This move caused uproar, with artists accusing both companies of holding their work hostage (Source: https://en.wikipedia.org/wiki/Pantone#Adobe_dispute) , and signaled a significant shift towards a digital subscription model for Pantone.
  • Hardware Certification: Pantone licenses its name to certify printers (like those from HP - www.hp.com ) and monitors, assuring users that the hardware can accurately reproduce Pantone colors.
  • Brand Collaborations & Consumer Goods: This is where Pantone transcends its B2B roots. They license their brand and iconic chip design for a vast array of consumer products – think mugs, phone cases, keychains, stationery, and even collaborations with fashion labels. It turns the color standard itself into a desirable lifestyle brand.
  • Ingredient Branding: Pantone licenses its system to manufacturers of inks, plastics, textiles, and other materials, allowing them to guarantee their products meet specific Pantone color standards.

In 2003, Forbes estimated licensing contributed around 15% of revenue (Source: https://www.forbes.com/global/2003/1124/056.html) , a figure likely much higher today given the brand's expansion.

The Color of the Year Spectacle: Marketing Masterstroke

Since 2000, Pantone's annual announcement of the "Color of the Year" has evolved from an industry curiosity into a global marketing phenomenon. A committee within the Pantone Color Institute convenes (somewhat secretively) to select a hue they believe reflects the current cultural zeitgeist. Whether it's "Living Coral" (2019), "Ultra Violet" (2018), or "Viva Magenta" (2023), the announcement generates massive media coverage and online buzz.

But it's more than just a prediction; it's a business strategy. Months before the reveal, Pantone inks licensing deals with companies across fashion, beauty, home goods, and tech, ensuring the chosen color floods the market. This creates a powerful self-fulfilling prophecy: Pantone predicts the trend, then actively helps manufacture it, reinforcing their authority and driving demand for their color standards and licensed products (Source: https://www.thefashionlaw.com/the-business-of-being-pantone/) .

Beyond the Swatch: Consulting and Customization

Pantone leverages its expertise through the Pantone Color Institute (PCI). This arm acts as a consultancy, advising brands on color strategy, developing custom brand colors, and publishing influential trend forecasts. Need a unique color exclusively for your brand, like the iconic Tiffany Blue? Pantone's custom color services can create it (for a price, naturally). They've done it for brands and even celebrities, creating unique shades like "Minion Yellow" for Illumination Entertainment or "Jay Z Blue" (Source: https://aprcreative.com.au/the-history-of-pantone/) .

The Digital Frontier

Facing the digital age, Pantone hasn't stood still. They've developed digital color libraries, software plugins (like Pantone Connect, now central to their subscription strategy), and hardware tools for color measurement and monitor calibration (like the Color Cue and Spyder). The aforementioned Adobe spat highlights their push towards recurring revenue through digital subscriptions, forcing users to pay for access to the latest Pantone libraries within their primary design tools.

Essentially, Pantone built a business by identifying a need, creating the standard, and then finding myriad ways to charge for access, application, and association with that standard. They sell not just color, but consistency, communication, and a connection to the cultural pulse.

The Designer's Indispensable (and Expensive) Friend: Pantone in the Trenches

For the millions of designers, brand managers, and manufacturers navigating the treacherous waters of color specification, Pantone isn't just a tool; it's often the only reliable lighthouse in the storm. Pantone claims over 10 million users worldwide rely on their systems (Source: https://www.pantone.com/color-systems/pantone-color-systems-explained) , and it's easy to see why. They promise a solution to the fundamental headaches that plague the creative and production process:

  • Killing Subjectivity: Forget vague descriptions. Is it "sky blue" or "cerulean"? With Pantone, you specify "PMS 2925 C," and everyone from the intern in New York to the factory manager in Shanghai knows exactly what color you mean. It replaces ambiguity with a precise, numerical code.
  • Taming Materials: That vibrant red that looks amazing on screen can turn into a dull brick shade when printed on uncoated cardboard or a weirdly fluorescent pink on polyester. Pantone offers different systems and physical references specifically calibrated for various materials – coated paper (C), uncoated paper (U), textiles (TCX for cotton, TN for nylon), plastics, and even digital representations. This helps designers anticipate and manage how color appearance shifts across different substrates.
  • Herding Suppliers: Working with multiple printers or manufacturers? Pantone acts as the common target. By specifying a Pantone standard, brands can ensure different suppliers, potentially using different equipment and processes, are all aiming for the same final color, minimizing costly variations.
  • Consistency Over Time: Need to reprint packaging six months later? Or match a new product line to an existing one? Pantone standards provide a benchmark to ensure color consistency across different production runs, maintaining brand integrity over time.

Speaking Different Color Languages: PMS vs. FHI

Pantone recognized early on that color behaves differently in print versus on fabric or plastic. That's why they maintain two core systems:

  1. Pantone Matching System (PMS): This is the OG system, primarily geared towards the graphics world – print design, packaging, logos, signage, and digital applications. When you see codes like "PMS 185 C" (the C indicating Coated paper, giving a glossier finish) or "PMS 185 U" (U for Uncoated, a more matte look), you're in PMS territory.
  2. Fashion, Home + Interiors (FHI) System: Tailored for textiles, apparel, soft goods, paints, pigments, cosmetics, and hard home products. This system uses different codes, like "19-4052 TCX" (Textile Cotton eXtended – indicating a dye standard on cotton) or "13-1023 TPG" (Textile Paper – Green – a lacquer coating on paper used for hard goods). These standards reflect how color appears on fabrics or as coatings, which can differ significantly from printed inks.

Understanding which system to use is crucial for designers to achieve the desired outcome based on the final product's material and application (Source: https://www.pantone.com/color-systems/pantone-color-systems-explained) .

Pantone in the Wild: Real-World Reliance

The reliance on Pantone isn't theoretical; it's deeply embedded in workflows across industries:

  • Quality Control: Remember the Ben & Jerry's (www.benjerry.com ) example? Their technicians literally compare cooked brownies against Pantone color cards (between 469 C and 490 C) to ensure consistency before millions of brownies make it into pints of Chocolate Fudge Brownie ice cream (Source: https://www.forbes.com/global/2003/1124/056.html) . That's granular quality control, powered by Pantone.
  • Brand Identity: Defining and maintaining a brand's signature color is paramount. Think Gap's (www.gap.com ) specific shade of blue (Pantone 655) or Barbie's (www.mattel.com ) iconic pink (Pantone 820). Pantone ensures that these crucial brand assets are reproduced consistently across websites, packaging, advertising, and merchandise.
  • Product Design: From fashion designers like Nicole Miller (www.nicolemiller.com ) selecting the perfect purple (Pantone 19-3526) for a silk dress (Source: https://www.forbes.com/global/2003/1124/056.html) to industrial designers choosing finishes for electronics, Pantone provides the reference point.
  • Packaging Impact: Brands like Kellogg's (www.kelloggs.com ) use vibrant Pantone spot colors (inks printed separately, not mixed from CMYK) to make their cereal boxes pop on crowded supermarket shelves (Source: https://www.forbes.com/global/2003/1124/056.html) .
  • Agency Life: For agencies and strategists, Pantone is fundamental. It's used in brand guidelines, client presentations, mood boards, and production handoffs to ensure everyone is aligned on color direction.

The Flip Side: Designer Pain Points

Despite its indispensability, the relationship between designers and Pantone isn't always harmonious. The system has its frustrations:

  • The Cost: Those essential guides aren't cheap, and the pressure to buy updated versions annually adds up, especially for freelancers and smaller studios.
  • The Adobe Subscription Shift: The move to pull libraries from Adobe Creative Cloud and require a separate Pantone Connect subscription was met with widespread anger. It added another subscription cost and workflow hurdle for designers already reliant on Adobe's ecosystem.
  • Perceived Rigidity: Sometimes, the exact Pantone match isn't achievable or desirable on a specific material, leading to compromises or complex workarounds.
  • Digital vs. Physical: Achieving a perfect match between what's seen on a calibrated screen and the final physical product remains a challenge, even with Pantone's tools. Variations in lighting, material texture, and printing processes can still cause discrepancies.

For creatives, Pantone is often a necessary evil – an expensive, sometimes frustrating, but ultimately essential tool for navigating the complex world of professional color reproduction.

Why Pantone Reigns Supreme (And Who's Challenging the Throne?)

How did Pantone become the undisputed king of the color hill? It wasn't just luck. Their dominance is a masterclass in identifying a need, creating a standard, and then relentlessly building an ecosystem around it.

The Recipe for Color Control:

  • Got There First, Set the Rules: Crucially, Pantone provided the first widely adopted, practical solution to the color communication chaos with the PMS in 1963. Being the first mover allowed them to define the standard before significant competition emerged (Source: https://ridgemarketing.com/blog/how-pantone-mastered-the-science-and-business-of-color/) .
  • Aggressive Growth: Lawrence Herbert didn't rest on his laurels. He pushed Pantone products and marketing hard, aiming to make PMS the only standard designers and printers considered, effectively boxing out nascent competitors (Source: https://ridgemarketing.com/blog/how-pantone-mastered-the-science-and-business-of-color/) .
  • Brand Over Utility: Pantone cleverly built a brand that felt essential and even desirable. Giving colors evocative names and establishing the Pantone Color Institute positioned them not just as a utility, but as creative partners and trend arbiters (Source: https://ridgemarketing.com/blog/how-pantone-mastered-the-science-and-business-of-color/) .
  • The Network Effect: This is key. As more designers specified Pantone, more printers needed Pantone guides. As more manufacturers used Pantone, designers had to use it to match materials. Each new user increased the value of the system for everyone else, creating a powerful lock-in effect. Specifying a non-Pantone color became the exception, adding complexity and risk to projects.
  • Manufacturing Trends (Color of the Year): The annual Color of the Year isn't just fluff; it's strategic. It keeps Pantone in the headlines, reinforces their image as color authorities, and drives licensing revenue. By seeding the market with products in the chosen color, they influence the very trends they claim to reflect, making their predictions self-fulfilling (Source: https://www.thefashionlaw.com/the-business-of-being-pantone/) .
  • Deep Ecosystem Integration: Pantone isn't just a fan deck. It's embedded in software (even with the Adobe friction), hardware calibration, material standards (textiles, plastics), and consulting services. This deep integration across the entire design-to-production workflow makes them incredibly sticky.

The Power (and Problem) of the Standard:

Pantone's ubiquity means that for many industries, especially those involving physical production (print, packaging, manufacturing), not using Pantone is often impractical. It's the established lingua franca. Trying to match colors across different suppliers and materials without that common reference point invites inconsistency and error.

However, this dominance isn't without criticism:

  • Dictating vs. Reflecting: Does Pantone truly identify emerging trends, or does its market power allow it to dictate them? The Color of the Year often feels more like a top-down decree than an organic reflection of culture.
  • Cost as a Barrier: The high price of guides and subscriptions can be prohibitive for students, freelancers, and smaller businesses.
  • Digital Age Relevance: Is a system based on physical ink swatches becoming antiquated in an increasingly digital-first design world? While digital tools exist, the core system's roots are in print.
  • The Adobe Fallout: The recent shift to a subscription model for accessing libraries within Adobe tools alienated many users and highlighted the potential downsides of relying on a single, proprietary standard.

The Challengers:

Pantone isn't entirely alone. Alternatives exist, like Coloro (www.coloro.com ), which uses a different 3D modeling methodology, or older systems like Trumatch. Various digital color tools and open-source palettes also offer alternatives, particularly for screen-based design. However, none have managed to displace Pantone's entrenched position, especially in the complex world of physical manufacturing where its standards are deeply embedded in global supply chains (Source: https://www.scmp.com/magazines/style/tech-design/article/2105466/coloro-biggest-challenge-pantones-dominance-colour) . For now, Pantone remains the reigning monarch of the color kingdom, even if the throne room is getting a little drafty.

Conclusion: The Enduring Technicolor Dream?

From a pragmatic solution to print shop chaos, Pantone has painted itself into the very fabric of design and manufacturing. Its journey is a testament to the power of standardization, savvy marketing, and building an ecosystem so comprehensive it becomes almost invisible – until you try to work without it. They took the inherently subjective experience of color and transformed it into an objective, communicable, and highly profitable commodity.

PAt its core, Pantone succeeded because it provided undeniable value: a common language that brought order and predictability to industries reliant on visual consistency. Whether ensuring a brand's identity remains unwavering across continents or preventing costly production errors, the Pantone system solved real problems. But its influence now extends far beyond mere utility. Through the Pantone Color Institute and the annual Color of the Year spectacle, it actively shapes trends and positions itself as a cultural commentator, blurring the lines between reflecting the zeitgeist and defining it.

Yet, the kingdom isn't entirely secure. The digital age presents ongoing challenges. The recent friction with Adobe underscores the tension between Pantone's traditional licensing model and the subscription-based software landscape where designers live and breathe. Competitors, though still marginal, chip away at the edges, offering alternative systems or purely digital solutions. The high cost remains a persistent grumble within the creative community.

Can Pantone maintain its dominance in a future where digital workflows increasingly reign supreme and open standards gain traction? Its deep integration into global manufacturing supply chains provides a powerful moat, particularly for physical products. Its shift towards digital subscriptions, while controversial, shows an attempt to adapt. But the fundamental question remains: will the need for a single, proprietary gatekeeper of color standards endure, or will new technologies and collaborative models eventually paint a different future?

For agency owners, strategists, and creatives, understanding Pantone isn't just about knowing color codes; it's about understanding the business dynamics, the cultural influence, and the inherent power structures embedded in the tools we use every day. Pantone sold the world a standardized rainbow – a remarkable feat of business and branding. The question now is, how long will everyone keep buying it, and what might come next?

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