One of the first steps in creating a brand identity is building a logo. A vector logo is the most common way to create letter heads, business cards, and other materials. Why?
Vectors allow the designer to expand and contract the image in size as well as easily change the color and style of the image without losing any quality.
A vector image has many possibilities for the future as .svg format becomes more widely used. These files rely on the math and code within the image, so your browser may load it faster than a raster image (.png or .jpeg). Page load speed is very important, and can positively or negatively affect whether a user stays on your website long enough to make a purchase.
Years ago, when Adobe Illustrator and it’s competitors had not been invented or were not commonly accessible many businesses relied on static raster file formats for their logos. I have had clients send me .jpeg (static) logos simply because their graphic designer did not give them the original .ai or .eps or .svg file. When this happens time is lost either trying to reconnect with the previous designer or recreating the logo from scratch.
Always have your designer send a vector file along with your raster image.
Do not confuse a transparent background .png with a high-resolution as a working vector image or accept this format alone as your final logo. A raster image cannot be rotated without quality loss, it can not be made larger without quality loss, and the colors cannot be altered without quality loss in most cases. If your current designer cannot make a vector logo for your business, hire someone who can. The earlier you take this step, the smoother your future projects will go.