Design for Start-ups (and everyone)
           February, 2010
          Why Design Matters




                           ...
Agenda

– Intro
– Define Design
– Elements of Design
– Rethinking Design
– Design ROI?
– Case Study
– Conclusion




     ...
What is Design?

   – Percentage of Respondents Agreeing with the Statement


    To develop new products/services        ...
Quote

– An activity that translates an idea into a
 blueprint for something useful
 whether it’s a car, a building,
 a gr...
Where does Design Matter?

–   Architecture
–   The graphic arts
–   Industrial design
–   Animation
–   Anthropology
–   ...
7 Components of Design

– Unity – all elements must appear to belong together
– Gestalt – the whole should be more than th...
myspace




                              7
 Interactive Brand Advocacy
facebook




                              8
 Interactive Brand Advocacy
Comparison




                              9
 Interactive Brand Advocacy
But…

– Can we calculate an ROI?

– Start-ups don’t have,
 but really need:

  • Money
  • Time
  • Sales



             ...
Benefits of Good Design

– Save Costs
– Save Time
– Increase Revenue
   • Gain Customers
   • Increase Transactions
   • I...
Cost Prevention

– “The rule of thumb in many usability-aware
  organizations is that the cost-benefit ratio for usability...
The Time to Design…


                     Number of
                     Possible                     Cost of
           ...
Make Design Standard

– Centralized design minimizes errors, improves efficiency,
  avoids duplication, reduces time spent...
Make Design Standard

– Best-in-Class firms were 89% more likely to
  centralize design
– Best-in-Class firms had a 4% rev...
This is Simple

– Usable products lead to cost savings and sales
– Good navigation makes it easier for users to find
  wha...
Some Other Revenue Stats

– 85%          of      visitors abandon a site (cPulse)
– 62%          of      web shoppers gave...
Good Design

– Goes beyond the ‘look’ of a product       “Designers have
– Shapes the product for ease of use,       more ...
Newspapers are Dying - Jacek Utko

– http://www.utko.com/
– Bulgarian Newspaper




                                    19...
Newspapers are Dying - Jacek Utko

– http://www.utko.com/

– World’s Best Designed Newspaper


– Circulation Results
– Rus...
The Power of Design…

– People come to love it and loyalty soon follows,
  along with the three Rs:
   • Repurchase,
   • ...
Conclusion: Good Design is Good Business

– Importance of first impressions (see next slide)
– Investor confidence
– Must ...
Test - Who Would You Buy From?




     Googled ‘software for math and physics visualization’

                           ...
Parting thought…the only reliable strategy

– To gain buzz you need to set expectations high.
  To gain and retain custome...
Thank You.

           Ed Morrissey
           ed@integritystl.com


                                                    E...
References

– http://www.readwriteweb.com/start/2009/09/design-for-startups-the-aesthe.php
– http://www.businessweek.com/i...
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Design for Start-ups (and everyone)

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A presentation given by Ed Morrissey during the 2010 StL Innovation Camp that highlights the importance of design for start-ups, product developers and everyone else.

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Design for Start-ups (and everyone)

  1. 1. Design for Start-ups (and everyone) February, 2010 Why Design Matters Ed Morrissey Partner & Chief Creative Officer 6321 Clayton Road Saint Louis, MO 63117 314.727.3600 ed@integritystl.com www.integritystl.com Interactive Brand Advocacy
  2. 2. Agenda – Intro – Define Design – Elements of Design – Rethinking Design – Design ROI? – Case Study – Conclusion 2 Interactive Brand Advocacy
  3. 3. What is Design? – Percentage of Respondents Agreeing with the Statement To develop new products/services 75% How products look 74% Products working to meet client needs 64% Creative thinking process 50% Produce something that will ‘sell’ 47% Strategic business tool 34% None of the above 3% According to the Design Council’s National Survey of Firms, 2004 3 Interactive Brand Advocacy
  4. 4. Quote – An activity that translates an idea into a blueprint for something useful whether it’s a car, a building, a graphic, a service or a process. – “Design is the fundamental soul of a man-made creation” 4 Interactive Brand Advocacy
  5. 5. Where does Design Matter? – Architecture – The graphic arts – Industrial design – Animation – Anthropology – Biology – Technology – Automotive – Design is everywhere 5 Interactive Brand Advocacy
  6. 6. 7 Components of Design – Unity – all elements must appear to belong together – Gestalt – the whole should be more than the sum – Space – white space is beautiful – Color – used consciously – Dominance - contrast – Hierarchy – clear starting point and importance scheme – Balance – clear, single message 6 Interactive Brand Advocacy
  7. 7. myspace 7 Interactive Brand Advocacy
  8. 8. facebook 8 Interactive Brand Advocacy
  9. 9. Comparison 9 Interactive Brand Advocacy
  10. 10. But… – Can we calculate an ROI? – Start-ups don’t have, but really need: • Money • Time • Sales 10 Interactive Brand Advocacy
  11. 11. Benefits of Good Design – Save Costs – Save Time – Increase Revenue • Gain Customers • Increase Transactions • Increase Product Sales • Retain Customers – ALSO: Reduce Training Costs, Decrease Support Costs, Increase Trust, Deter Litigation and the list goes on and on… 11 Interactive Brand Advocacy
  12. 12. Cost Prevention – “The rule of thumb in many usability-aware organizations is that the cost-benefit ratio for usability is $1:$100. – Once a system is in development, correcting a problem costs 10 times as much as fixing the same problem in design. – If the system has been released, it costs 100 times as much relative to fixing in design.” (Gilb, 1988) – Good design eliminates surprises – Good design creates cost efficiencies Save Costs Save Time Increase Revenue 12 Interactive Brand Advocacy
  13. 13. The Time to Design… Number of Possible Cost of Design Change Alternatives Requirements Development Deployment Phase Phase Phase Save Costs Save Time Increase Mayhew, 1994 Bias & Revenue 13 Interactive Brand Advocacy
  14. 14. Make Design Standard – Centralized design minimizes errors, improves efficiency, avoids duplication, reduces time spent searching for data/answers and capitalizes on reuse, where possible. – Top principles of leading product developers… Maturity Class Mean Class Performance Best-in-Class: • Percent of products that meet/exceed rev targets (82%) Top 20% • Percent of products launched on-time (83%) • Percent of products that meet product dev budgets (76%) • Percent of products that meet product cost targets (82%) • Percent change in annual product revenue (4%) Aberdeen - The Top Five Principles for Successful Product Development, 2008 Save Costs Save Time Increase Revenue 14 Interactive Brand Advocacy
  15. 15. Make Design Standard – Best-in-Class firms were 89% more likely to centralize design – Best-in-Class firms had a 4% revenue increase while others had a 5%+ decline –Time is money. Aberdeen - The Top Five Principles for Successful Product Development, 2008 Save Costs Save Time Increase Revenue 15 Interactive Brand Advocacy
  16. 16. This is Simple – Usable products lead to cost savings and sales – Good navigation makes it easier for users to find what they’re looking for and to buy • User experience design • Human factors – Usable products lead to word of mouth • Word of mouth leads to sales • 76.4% of purchasing influenced by WOM (WOM Research) – Usable products lead to good product reviews • Good product reviews lead to sales Save Costs Save Time Increase Revenue 16 Interactive Brand Advocacy
  17. 17. Some Other Revenue Stats – 85% of visitors abandon a site (cPulse) – 62% of web shoppers gave up (Zona study) – 50% of web sales are lost (Gartner Group) – 40% of repeat visitors do not return (Zona study) – 50% of product returns due to poor design (Reuters) Save Costs Save Time Increase Revenue 17 Interactive Brand Advocacy
  18. 18. Good Design – Goes beyond the ‘look’ of a product “Designers have – Shapes the product for ease of use, more potential reliability and costs of production and to slow maintenance environmental – Affects the quality and ease of degradation manufacture of the product than economists, – For services, design can also affect politicians and how customers will experience a environmentalist. service, such as a bank or a fast food Their power is catalytic.” restaurant, including their experience in the queue – Alastair Faud-Luke, Eco Design 18 Interactive Brand Advocacy
  19. 19. Newspapers are Dying - Jacek Utko – http://www.utko.com/ – Bulgarian Newspaper 19 Interactive Brand Advocacy
  20. 20. Newspapers are Dying - Jacek Utko – http://www.utko.com/ – World’s Best Designed Newspaper – Circulation Results – Russia • +11% 1Y, +19% 2Y, +29% 3Y – Poland • +13% 1Y, +22% 2Y, +35% 3Y – Bulgaria • +100% 20 Interactive Brand Advocacy
  21. 21. The Power of Design… – People come to love it and loyalty soon follows, along with the three Rs: • Repurchase, • Reuse, and • Recommendations – Benefits that fall directly to the bottom line – Such is the power of design 21 Interactive Brand Advocacy
  22. 22. Conclusion: Good Design is Good Business – Importance of first impressions (see next slide) – Investor confidence – Must be an integral part of running/starting a business – Shorter sales cycle / faster entry to market – Turns consumers into customers – Creates higher perceived value – With the marketing playing field being leveled, the only distinguishing characteristic for many companies is design It ignites passion, identifies, informs, clarifies, inspires, and communicates. 22 Interactive Brand Advocacy
  23. 23. Test - Who Would You Buy From? Googled ‘software for math and physics visualization’ 23 Interactive Brand Advocacy
  24. 24. Parting thought…the only reliable strategy – To gain buzz you need to set expectations high. To gain and retain customers, you need to surpass those expectations on a regular basis. A great way to start is by setting the table for quality early on inside your organization and one of the best ways to do this is through design. – http://sethgodin.typepad.com/ 24 Interactive Brand Advocacy
  25. 25. Thank You. Ed Morrissey ed@integritystl.com Ed Morrissey Partner & Chief Creative Officer 6321 Clayton Road Saint Louis, MO 63117 314.727.3600 ed@integritystl.com www.integritystl.com Interactive Brand Advocacy
  26. 26. References – http://www.readwriteweb.com/start/2009/09/design-for-startups-the-aesthe.php – http://www.businessweek.com/innovate/content/jan2010/id20100120_303529.htm – http://www.designcouncil.org.uk/About-Design/Research/Value-of-Design-Factfinder/ – RODI (Return on Design Investment) • -http://www.designfactfinder.co.uk/ – http://sethgodin.typepad.com/ – http://www.wired.com/ – http://www.fastcompany.com/magazine/95/open_design-index.html – http://www.webpagesthatsuck.com/ – Sample Sites • http://www.dpgraph.com/ • http://www.tecplot.com/ 26 Interactive Brand Advocacy
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