Have you ever tried to justify a design investment to an executive team? You were probably searching for a precise metric, that KPI that clearly shows the return on investment. But does such an indicator exist? Why is connecting design to business strategy so challenging?
While plenty of evidence shows that improved user experience enhances business outcomes, the absence of a clear metric to measure design can lead to underestimating its importance. Additionally, the subjective nature and individual preferences in evaluating design add uncertainty about its value.
So, how do we measure design ROI? Integrating design at all organizational levels and stopping its measurement as an isolated discipline is the solution. For example, when referring to digital and user experiences, design directly influences these indicators:
Conversion KPIs: Effective design directly boosts conversions (purchases, registrations, subscriptions, or completed forms).
Retention KPIs: With solid design, user abandonment or cancellation rates can significantly decrease, improving retention.
Engagement KPIs: Thoughtful design increases the time users spend interacting with your product or website, enhancing engagement and monetization opportunities.
User Experience KPIs: A well-designed product is key to higher user satisfaction and encourages recommendations to others.
Brand Perception KPIs: Professional and polished design builds trust and enhances users' perceptions, improving brand image.
All these metrics directly impact business ROI, with design acting as their main catalyst. Therefore, the key to justifying design ROI is shifting from viewing design as an isolated discipline to recognizing it as an integral, strategic part of the business.