Ten Ways to Measure Design's Success

We use too much guesswork to evaluate the success of design. Here's a framework by which design value and performance can be measured

By Thomas Lockwood

As businesses increasingly recognize the power of design to provide significant benefits, executives increasingly are asking for metrics to evaluate the performance of design. What is needed is a framework for measurement, a specific set of criteria, and methods to be used as a structure to define and measure the values of design.

The following presents a framework of 10 categories that can be useful when measuring the value of design.

1. Purchase Influence

One type of design that is fairly easy to measure is packaging design. For example, a frozen-food manufacturer achieved a sales increase of 30% and more than $300 million in incremental sales gains—based solely on a new suite of packaging. Same product, new packaging. The measurement is not too difficult: Design new packaging, put it on the shelf side-by-side with the old, and see what sells. Then deduct the cost of design from the new sales and voila: ROI design based on actual numbers.

2. New Markets

The design of products, communications, interfaces, and experiences can be isolated. Here's a simple example: British Airways had built a business strategy around increasing its long-haul international flights. So the company looked to see how the interior design of its planes could be improved to offer more comfort to customers. What resulted was the first seat in the industry that could lie completely flat, allowing customers to sleep prone, rather than slouch as in conventional airline seats. The result was a significant increase in sales and profitability for long-haul international flights. Design alone made the difference because everything else remained the same.

3. Brand Image and Corporate Reputation

Design awards contribute to brand image. By providing an independent and expert critique of design, awards can provide valuable feedback, help build company pride, and confer prestige upon the business. Another example is corporate reputation. Compare the reputation of companies like Dyson vs. Hoover, Target vs. K-mart, or Audi vs. Chrysler. Consider their reputations for innovation and quality, based on their use of design as a core strategy. Design builds image.

4. Time to Market

When I was responsible for design at StorageTek/Sun Microsystems (JAVA), we established a design platform approach and simple guidelines. Brand guidelines included interface principles, typography, color, photography style, diagram style, and iconography. Product guidelines included a common platform for computer hardware and a standardized chassis and interface, as well as other shared components. In this way, our engineers didn't have to design components, only functions; development time was greatly reduced. The cost and time savings based on platform design, guidelines, or even standards can be easily evaluated; just watch your project costs rise without them.

5. Cost Savings

Julie Hertenstein and Marjorie Platt, from Northeastern University's School of Business, have conducted research in conjunction with DMI, the Design Management Institute, on the financial performance of design since the mid-1990s.

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