Good Design, Good Business: How Design Affects Your Success

Some business owners still separate “design” from “content.”

The content of their business, they say, is the nitty-gritty stuff: the business model, management philosophies, branding and sales tactics. And the design? That’s just the window dressing, the bells and whistles that a company pays for to stand out in a crowded market. 

But that way of thinking is deeply flawed. At its best, design is both an expression of your business's core principles and approaches, and a critical mode of communication between you and your consumers. It is not something additional – but rather something inextricably tied to your business’ success. 

In this article, let’s investigate how excellent web and mobile app development companies in Canada and the US can positively impact a company’s success, and why design deserves a spot in your project budget. Finally, let’s put to rest once and for all any outstanding myths about design’s role in commerce. 

Design By the Numbers

Before exploring what makes design effective, perhaps it’s wise to bear out the claim with stats and figures. After all, business owners tend to be a numbers-oriented bunch. Specifically, you can point to two influential pieces of research: The McKinsey Design Index and NEA’s survey of design impact. 

Of the two, McKinsey’s research is the more in-depth (and likely the more consulted). Their McKinsey Design Index (MDI) is a broad research undertaking that followed 300 publicly traded companies over a half-decade to measure the effect of “design actions” on financial data. You can explore the index in the link above, but the long and short of it is this: There was a strong correlation between companies delivering excellent design (as measured by high MDI scores) and improved financial performance.

Whereas the MDI takes an objective approach to the data, the NEA survey demonstrates mounting confidence among owners and C-suites. Polling over 400 companies, they found that roughly 85% of C-level executives believe in the importance of design. They also found that among "tech-mature" companies, decision-makers believe design is responsible for higher sales and greater customer retention and engagement. 

The Power of Good Design

So, what are the mechanisms behind these numbers? Why do high MDI scores generally translate to better performance, and why are C-level execs so confident in the power of good design? 

In truth, there are several reasons why good design positively impacts a business. But let’s zero in on three: 

• Simplifying the complex: The journey a customer takes from hearing about your business to purchasing goods or services should be an effortless walk – not an arduous slog. Good design removes barriers, reduces friction and crafts a familiar user experience. 
• Focusing on the user: You glean all sorts of insights through market research and sales. Great design lets you leverage those insights by personalizing the way a user interacts with your business.   
• Adding value through technology: New and emerging technologies like Augmented Reality (AR) can be services in and of themselves. They are novel experiences. They aid the customer while making their experience more fun. And you should never discount the power of fun.  

These points aren’t mutually exclusive (for instance, simplifying complexities can be a way to focus on user needs), but they get at the heart of what makes design so powerful. They illustrate how a design-based approach allows companies to connect with, serve, and enrich the experience of their customers. 

Hopefully, this article has dispelled any lingering doubts about the necessity for robust, accessible and people-centric design in business.