Over the past decade, design has consistently been pointed to as the driving force behind innovation. Its impact spans different sectors, especially in the area of product development.
According to research, a company’s financial performance, corporate identity, and brand perception can all improve when design is properly integrated in the creation of a digital solution.
While a good number of startup founders see design as an essential aspect of product development, 66% still do not understand the need for it.
The majority envision the process of product creation as just working to develop a singular deliverable such as a website or an app and calling it a day.
Although the end goal is important, the essence of digital product design in business cannot be overemphasized. In this article, we’ll explore the business value of design, its importance, and the criteria of digital design.
1 – Why is design important?
The market for digital products is expanding at a rapid rate, and as a result, the products we use will have an increasing impact on our lives.
Users’ awareness and expectations increase as new products, applications, and solutions enter the market. To establish the business value of design as regards a successful outcome, design should be made an utmost priority for the following reasons:
– Increased customer utility
Utility for the consumer is greatly influenced by product design. This implies that through a well-developed design, a product that meets customer requirements and provides value can be achieved.
– Improved brand loyalty
Product design is important because it gives customers a distinctive and imaginative experience. As a result, it can go on to attract new clients while also cultivating a following.
A perfectly executed design can go a long way toward establishing a memorable experience for the customer which will in turn foster a strong sense of brand loyalty.
– Reduced costs
Incorporating digital design (prototype) early in the product development process gives you a chance to improve the design and test its viability without having to spend a lot of money. This helps to lower risk and streamline the development process, making it more affordable.
– Increased revenue
This discussion wouldn’t be complete without mentioning how design affects the revenue of a company.
To determine the business value of design, McKinsey conducted a five-year study of 300 companies and impressive outcomes were obtained.
Businesses that employed the best design strategies saw an increase in sales, shareholder returns, and overall growth.
By employing a solid digital design, the finished product is guaranteed to be client-friendly, presentable, and of significant commercial value.
2 – Good design criteria
The following are qualities of a distinguishable digital product design:
– Simplicity
Simplicity is said to be the ultimate sophistication. Having a less complicated design dialled into the user’s needs and requirements not only guarantees a better user experience, but also increases efficiency by allowing users to achieve goals seamlessly.
– Flexibility
Flexibility is the ability for a design to be altered, changed or modified at any given time. This is especially important in software design and development because if there were a misrepresentation or even a change in client needs or user requirements, the design could be updated or easily modified to accommodate the changes without necessarily altering the whole system.
– Relevance
A product has to be relevant to its users by providing solutions based on their specific needs and requirements.
This is crucial because if the app functionality isn’t relevant to the intended target audience, the purpose of the product would be defeated.
3 – Reasons to invest in design
– Improved market fit
Omitting or limiting design strategy is one of the top mistakes early founders and managers make. You might be on a tight budget for a particular project, but it is advised to invest in a proper design strategy involving market analysis and quality assurance tests.
This helps prevent problems with your product and ensures it is of the highest possible quality.
– Increased lead conversions
Lead conversion is another business value of design. This is due to the fact that users filter suggestions based on design and aesthetics.
So, if your website has a complicated user interface (UI) or its navigation is clumsy, prospective customers will leave.
According to a PWC report, 86% of consumers indicated that they would be willing to pay extra for an improved user experience. 92% of those surveyed said they would stop using the website or app after two to three bad encounters.
A good illustration to back this point is BeatStars, a platform that lets music producers license and sell their beats or give them away for free.
After restructuring their platform’s architecture and offering a consistent and unified call to action, they recorded a 35% increase in micro conversion in just two weeks. That’s the power of a perfectly organized and structured design.
– Improved customer retention
Numerous studies have shown that it takes customers about 3 seconds to decide whether your website or app is secure, reliable, or visually appealing.
It’s a lot to take on given the fact that customer experience is increasingly viewed as a crucial brand differentiation.
As a result, a strong and thoughtful design that is consistent with your brand is bound to help you retain more customers.
A good example of a company that implemented a design specific to its brand is Microsoft. They confirmed that following A/B testing, they chose a certain shade of blue over several other colors and saw an $80 million increase in annual sales.
The numbers provided by Microsoft effectively communicates the business value of design.
As a founder, it is important to note that visuals trigger associations, and everything from typography to color schemes affects how your brand is perceived.
Conclusion
Design is a highly organized process with specific objectives that is essential to the successful launch of your product and growth of your company.
It exists to not only keep your customers satisfied, but to also keep your business functional by reducing costs and increasing revenue.