Just a thought, but what if our official documentation (letterheads etc) used our original logo, then we use this one for all for our merchandise? For our away guernsey we have a white top with a blue yellow and red horizontal band across the middle and then this image (without the lettering) sitting over the top of the horizontal bands in the middle of the guernsey? That way it isn't too big, it's black so it stands out as well. Anyone able to do a mock up? Could look pretty good.
Edit: Obviously not my design. From the message to Fagan thread.