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.

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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  • 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. Agenda – Intro – Define Design – Elements of Design – Rethinking Design – Design ROI? – Case Study – Conclusion 2 Interactive Brand Advocacy
  • 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. 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. Where does Design Matter? – Architecture – The graphic arts – Industrial design – Animation – Anthropology – Biology – Technology – Automotive – Design is everywhere 5 Interactive Brand Advocacy
  • 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. myspace 7 Interactive Brand Advocacy
  • 8. facebook 8 Interactive Brand Advocacy
  • 9. Comparison 9 Interactive Brand Advocacy
  • 10. But… – Can we calculate an ROI? – Start-ups don’t have, but really need: • Money • Time • Sales 10 Interactive Brand Advocacy
  • 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. 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. 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. 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. 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. 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. 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. 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. Newspapers are Dying - Jacek Utko – http://www.utko.com/ – Bulgarian Newspaper 19 Interactive Brand Advocacy
  • 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. 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. 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. Test - Who Would You Buy From? Googled ‘software for math and physics visualization’ 23 Interactive Brand Advocacy
  • 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. 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. 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