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Choosing the Right Metrics to Determine ROI For UX

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Usability and user researchers have been measuring for a while, but how do you know your measuring the right metrics? This three-step approach shows you how to choose the right UX metrics and research methods by aligning them to your company's business goals.

Published in: Data & Analytics
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Choosing the Right Metrics to Determine ROI For UX

  1. 1. kristinzibell.com | @kristinzibell | ©Kristin Zibell, 2017 Find the Right Metrics for UX ROI Identifying the Best Data to Show the Business Value of Design Kristin Zibell
  2. 2. kristinzibell.com | @kristinzibell | ©Kristin Zibell, 2017 “Needs to be simple and usable” “Great customer experience” “Easy and intuitive” “Make it fun and engaging” “It’s all about the design”
  3. 3. kristinzibell.com | @kristinzibell | ©Kristin Zibell, 2017 Yes, but what specifically does that mean? How will you know if the UX makes a difference? “Needs to be simple and usable” “Great customer experience” “Easy and intuitive” “Make it fun and engaging”
  4. 4. kristinzibell.com | @kristinzibell | ©Kristin Zibell, 2017 And how do these translate to your company’s business? “Needs to be simple and usable” “Great customer experience” “Easy and intuitive” “Make it fun and engaging” Efficiency? Customer satisfaction? Customer satisfaction? Loyalty?
  5. 5. kristinzibell.com | @kristinzibell | ©Kristin Zibell, 2017 1. Why the right measurement matters • “What is measured gets improved.” • “Management is doing things right. Leadership is doing the right things” Peter Drucker
  6. 6. kristinzibell.com | @kristinzibell | ©Kristin Zibell, 2017 It’s about focus
  7. 7. kristinzibell.com | @kristinzibell | ©Kristin Zibell, 2017 • What your company cares about, is what you care about. • Quantifiable results that show how design helps the business achieve its goals • Critical to show the return on the design investment • Not always in terms of revenue ($) or cost savings ($), dependent on corporate strategy Some things to remember
  8. 8. kristinzibell.com | @kristinzibell | ©Kristin Zibell, 2017 Business Goals • Growth: New markets, new ways to market, new products, new products to new markets, and acquisition to increase revenue • Profitability & Efficiency: Faster, cheaper, better to increase profit • Customer Service & Retention: Happier customers are loyal and valuable over time
  9. 9. kristinzibell.com | @kristinzibell | ©Kristin Zibell, 2017 These are strategies • Quality • Innovation • Speed to market • Everyday low prices • Design
  10. 10. kristinzibell.com | @kristinzibell | ©Kristin Zibell, 2017 What business goal does Alphabet (Google’s parent co) care about? “Our excellent results represent a terrific start to 2017, with revenues up 22% versus the first quarter of 2016 and 24% on a constant currency basis. We clearly continue to benefit from our ongoing investments in product innovation and have great momentum in our new businesses across Alphabet," said Ruth Porat, CFO of Alphabet.
  11. 11. kristinzibell.com | @kristinzibell | ©Kristin Zibell, 2017 How about Verizon? “Our first-quarter results again demonstrated that customers value a high-quality network experience,” said Chairman and CEO Lowell McAdam. “To build on our loyal customer base and the third- party recognition we have received for network leadership, we extended our wireless and fiber network capabilities, began offering an unlimited pricing option and expanded our opportunities in new markets. We’re executing on strategies to capture future growth and create long-term shareholder value.”
  12. 12. kristinzibell.com | @kristinzibell | ©Kristin Zibell, 2017 What are your company goals? • Growth: New markets, new ways to market, new products, new products to new markets, and acquisition to increase top line • Profitability & Efficiency: Faster, cheaper, better to increase bottom line • Customer Service & Retention: Happier customers are loyal and valuable over time Pause for Reflection
  13. 13. kristinzibell.com | @kristinzibell | ©Kristin Zibell, 2017 2. How to Find the Right Metrics For UX • Top down approach • Marketing and product • Using existing models of customer journey mapping
  14. 14. kristinzibell.com | @kristinzibell | ©Kristin Zibell, 2017 Business Goal Marketing/ Product Goal UX Goal and Strategy UX Metric Growth Aquire New Customers Profitability Increase Purchases Efficiency Save Time and Money Customer Service Increase customer satisfaction Retention Engagement
  15. 15. kristinzibell.com | @kristinzibell | ©Kristin Zibell, 2017 Business Goal Marketing/Product Goal UX Goal and Strategy UX Metrics Growth New Customers Welcome new users Content strategy Conversion Rate/Task Completion Rate Profitability Increase Purchases Facilitate one action Conversion Rate/Task Completion Rate Efficiency Save Time and Money Do more in less time (recall, autofill, predictive) Time on Task Utilization (of all who could use it, are they?) Customer Service Increase customer satisfaction Satisfy and delight, right info/actions at right time Satisfaction Rate NPS Retention Engagement Facilitate next action Rewards Conversion Rate/Task Completion Rate Number of Return Visits Return Rate
  16. 16. kristinzibell.com | @kristinzibell | ©Kristin Zibell, 2017 Slack biz goal: Growth What should UX do to reflect growth? How measure?
  17. 17. kristinzibell.com | @kristinzibell | ©Kristin Zibell, 2017 “PayPal finally revealed their master plan: "Pay with Venmo," which would allow customers to use Venmo at retailers, and pay for merchandise on their phones instead of using cash or credit cards.” “Venmo: Its Business Model and Competition | Investopedia” Venmo Biz Goal: Growth and Profit What should UX do to reflect this focus? How measure?
  18. 18. kristinzibell.com | @kristinzibell | ©Kristin Zibell, 2017 What is one way your UX needs to deliver on company business goals? Pause for Reflection How would you quantifiably measure it?
  19. 19. kristinzibell.com | @kristinzibell | ©Kristin Zibell, 2017 “These users aren’t representative of our users.” “8 users is all you need” “Is this statistically significant?” “It was the marketing, not the ux that made the difference” “This data contradicts my political goals at the company so I will dismiss it.”
  20. 20. kristinzibell.com | @kristinzibell | ©Kristin Zibell, 2017 3. How & When to Measure “These users aren’t representative of are users” “8 users is all you need” “Is the statistically significant?” “what’s the delta?” “It was the marketing, not the ux that made the difference” right population right method right sample size right measurement
  21. 21. kristinzibell.com | @kristinzibell | ©Kristin Zibell, 2017 Who You Measure Matters • Personas (product: user roles) • Target audience (marketing i.e. influencers vs decision makers) • Segments/cohorts (large data sets with a common factor -i.e. new visitors/returning visitors) • n=30 (otherwise it’s directional and informative)
  22. 22. kristinzibell.com | @kristinzibell | ©Kristin Zibell, 2017 How and When to Measure What Phase of project Sample Size Question to answer Technique Innovation/ Discovery 8-12 What’s going on with the users and market? Interviews Competitive UX Analysis Survey Analytics Analysis Discovery/ Redesign 30> What problems and solutions do my users have? What’s current performance? Interviews Survey Analytics Analysis Definition and Design 8 Is this idea/design valid for my users? Is it going in the right direction? Usability Testing Survey Launch 30> Does the design meet business goals? Survey Analytics Analysis Post-Launch/ Optimization 8 What needs to be fine-tuned/ fixed? and WHY? Usability Testing Analytics Analysis
  23. 23. kristinzibell.com | @kristinzibell | ©Kristin Zibell, 2017 Benchmarking & Prioritization • Come up with UX goals and metrics that match business goals at beginning of project, review with boss to align • Reprioritize anything that does not meet a business goal • For each metric, find the current data for the last 90 days - > that’s a benchmark • Get to know how to do quantitative data analysis and make friends with your analytics team
  24. 24. kristinzibell.com | @kristinzibell | ©Kristin Zibell, 2017 Thank you For the content of this presentation in narrative form, visit kristinzibell.com —> Approach

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