Why Design Matters

I’m surprised at how often I can still get push back about the business case for design from potential clients. Unfortunately there can still be a perception that what we do is just ‘colouring in’ or pretty pictures. While things have changed in the last 5-10 years, especially with the production of a report by McKinsey on the business value of design, we can help change perceptions.

Initially, I had assumed that businesses recognised the significance of design and to some extent, this is true. But association and framing of ‘Design’ mean a lot of business people don't understand how design can be good for business. To them they’re just trying to elevate their business and overcome challenges. They're likely look to marketing to solve those challenges.

As design leaders, we know that it's the problems we're solving and the businesses we're transforming through the lens of design. However, if our customers don't understand this, there is a danger that we may not be valued enough, which can be reflected in the amount of remuneration we receive. Therefore, we need to improve our communication to businesses.

Here are 5 ideas that can help explain business the value of design:

1. Creates alchemy

Brand identity design is like the alchemy that makes a business stand out and connect with customers. As the famous designer Michael Wolff said, "branding is the DNA of a business." It's responsible for creating a vision for the company's products, services, and experiences that align with its overall brand identity and values - that's what sets it apart from the rest.

This involves establishing the what/why/how of the brand, creating design principles and guidelines, and overseeing the consistent rollout of design across all areas of the company. When done well, it can give the business an identity that stands out from the competition and is more likely to be noticed and remembered by customers.

Good brand design creates an overall customer experience that is engaging, memorable and aligned with the company's brand identity. This means designing touchpoints across the customer journey, from marketing materials to the in-store experience, that work together to tell a compelling and cohesive brand story. By creating positive experiences at each touchpoint, businesses can turn customers into brand advocates, leading to increased loyalty and word-of-mouth referrals and ultimately contributing to the success of your business.

2. Sets you apart

Product or service design is critical for businesses because it ensures that the stuff they create not only serves a purpose but also looks great, is user-friendly and meets the needs of customers through a human-centered design approach. As Steve Jobs famously said, the goal should be to "make it insanely great" - this means creating products or services that are not just good, but exceptional. By striving to create the best possible product or service in its category, businesses can set themselves apart from their competition and achieve success. Ultimately, investing in design can lead to greater customer satisfaction, loyalty and profitability.

3. Makes marketing easier

Design the marketing as fashion designer Paul Smith once said, "you can't do marketing without good design." Good design is what captures the customer's attention and sets the stage for effective marketing messages. Without good design, marketing efforts can often fall flat, leaving businesses struggling to connect with their customers.

4. Builds revenue & value

Design-driven companies tend to perform better financially. According to McKinsey & Company, companies with good design performance can outperform their competitors by up to 32% in revenue growth and 56% in total returns to shareholders. Plus, a study by the Design Management Institute found that design-driven companies outperformed the S&P 500 by 228% over 10 years. So, investing in design can be a smart move for businesses looking to improve their financial performance.

5. Enables Innovation

Design enables lateral thinking and can drive innovation by identifying unmet customer needs and creating ideas to address them. This can lead to new products, new markets and new opportunities.

Therefore, maybe it’s the way we frame what we do that needs to change. We’re afterall helping people transform average companies into great ones. - We're helping them to grow, innovate and achieve their goals. Ultimately, that's what design is all about - using our creativity and skills to drive real transformation and make a difference in the world.