Ten ways you can profit from design

Fancy a 35% increase in sales? Or being able to treble your prices? Do you need to persuade retailers to stock your brands? Whatever business you’re in, thinking differently about design can, Rachel Abrams discovers, transform your company.

Whirlpool

To add value and differentiate your brand, make design central to your strategy

Whirlpool cooker hoodFor a decade, Whirlpool has engaged its employees in a formal innovation process and organisation-wide ‘start-to-finish’ design approach. It draws heavily on consumer and ethnographic research and (after going to market) on robust metrics, to relate design and manufacturing efforts to sales outcomes.

Integrating design, human factors and usability efforts in its Global Consumer Design function controls costs, differentiates its brand and exploits emerging trends across the organisation.

By modifying and improving design and user interfaces, Whirlpool has launched new machines that sell for three times the price of the models they replace.

Microsoft

Customers can tell you what they like. A designer can tell you what they will love

Microsoft webcamTechnology might get your brainiac engineers excited, but their enthusiasm may not always be shared by your customers. From CEO Steve Ballmer down, Microsoft knows designers are critical at spotting opportunities, problem-solving, interpreting what people say, and noticing what they actually do.

Once technology-driven, Microsoft now embraces design methods that enable it to uncover users’ needs and translate them quickly into products. Microsoft director of user experience, Brad Weed, says design was once considered a luxury. But it’s no longer a stylistic afterthought: design principles that produce “simple, delightful products” are critical to delivering experiences people want.

Challs

Ask a designer to help you tell your story

Challs’ popular products unblock drains effectively, yet some supermarket chains were not bothering to stock the brand.

The Suffolk-based company invested more than a year’s profits to clarify the brand positioning of its strongest product. It then worked with award-winning consultancy Elmwood, as part of the Design Council’s Designing Demand programme, to develop a compelling brand story for buyers.

A video presentation that compared Challs’ Kitchen Drain Clear to rival products persuaded supermarkets to take them seriously. Challs’ lines are now stocked in almost all major supermarkets and sales have risen by 35%.

Nike

If you want to be green and safeguard profits, design the whole system

Nike trainerHow can a global sports-clothing company minimise its environmental footprint while maintaining revenues? The Nike Environmental Action Team (NEAT) has spent the past decade figuring out how, by applying intelligent design.

It worked with ‘Cradle to Cradle’ pioneers William McDonough + Partners to design a green campus for Nike’s £45m European HQ in the Netherlands, including toilets flushed with rainwater and an on-site ‘jogging route’ for staff to get around.

A ‘positive list’ of materials to meet targets for recycling included soles eaten by earthworms when discarded. 

The Co-operative

Allign visual identity with corporate values so we all know what you stand for

Co-op drinks packagingSeven years ago, the UK Co-operative Movement needed a more modern visual identity, reflecting its values and the relationship between its 35 independent, member-owned retail societies and their 6,500 outlets.

There was no consistency in branding. Many consumers didn’t even recognise the brand and what it stood for.

The organisation’s new visual identity won a silver DBA Design Effectiveness Award in 2007, for bringing myriad businesses ranging from undertakers to travel agents under a single name with a common look and feel.

Business has improved ever since. Former ‘Co-op’ shops with the new identity reported a 6.7% increase in customers.

Kingsdown Water

If it ain’t broke, sometimes it pays to fix it anyway

Even if customers are familiar with a product, revamping a brand can make a difference, as Kingsdown Water discovered when it redesigned its bottles.

William Bomer, the mineral water company’s managing director, recognised that the bottle design Kingsdown had been using for six years was starting to look a “little tired”. He felt refreshing its design could open up new revenue streams outside bars and mid-level restaurants.

In collaboration with design consultancy Lewis Moberly, a new, more elegant bottle was brought to market, along with a new brand identity.

Since the rebrand, sales have increased 34% and a number of prestigious venues have placed orders.

WorldChanging

If customers prefer to rent, design better services rather than goods

Netflix DVDBloggers WorldChanging are big fans of Netflix, which is one of their favourite product-service systems.

The American equivalent to LoveFilm enables subscribers to rent DVDs online and delivers them by post. For an entrepreneur, the Netflix model poses compelling service design questions.

Why own the DVD when you can just rent it? Why own anything you consume if you could just share or borrow it when you need it? Why set up a delivery infrastructure when a perfectly adequate one exists already? What other innovations could piggyback on networks that are already up and running?

WorldChanging envisages a service that downloads a movie without burning it to DVD, making the process even easier.

Rapha

For a niche market, remix what exists

Rapha cycling jacketCyclists are no less fastidious about their outfits than other sports enthusiasts.

Functionality comes first, but not looking like a dork is also important. Simon Mottram and Luke Scheybeler realised this, and with design savvy gleaned from their work at user experience consultancy Sapient, founded stylish cycle clothing pioneers Rapha.

Within three years they had developed a business with a £900,000 annual turnover. Integrating design into their business model helped maintain brand identity so they stood out from rivals.

University of California, Architecture School

Think big, start small, and design within open systems

Posters for a lecture series were all UCLA’s Architecture School had in mind when it approached New York-based designers The Map Office. Map convinced the school to consider its overall brand and approach identity more strategically.

Map has since produced posters, a ground-breaking website based on the open source Flex program (which means lower costs and easier updates) and a suite of stunning print collateral including a monograph of superstar students and staff.

Inquiries have rocketed so much the school may accommodate 50% more students next year.

37signals

Treat your customers as your community

The web-based software products company remains relentlessly respectful of its customers’ desire to get things done. 37signals makes “elegant products that do what you need – and nothing that you don’t”. Its simple solutions make light work of managing projects.

37signals is open about its methods. Any lessons it learns are shared online and in print. In turn, customers become its community, while mere subscribers become loyal devotees. Recognising that customers already evangelise on its behalf, the company invites subscribers to become ‘affiliates’ who receive commission if they persuade others to sign up.

 

Rachel Abrams is a writer and designer and creative director of Turnstone

 


Article first published in Design Council Magazine, Issue 5, Winter 2008

Ten ways you can profit from design

Why design matters

Ministers, academics and business leaders share their views on the economic importance of design

 

Tim Bradshaw

Tim Bradshaw

Head of innovation for the CBI

 

Businesses are paying more attention to design. There’s a growing awareness that other key elements, such as training, software and marketing, all have to come into play. It’s about designing your whole process. You don’t create a product or service and then think about design – you have to incorporate it from day one. If you get the design right up front, you’ll make the right investments, and when you hit the market you’ll meet customer demand.

 

Bettina von Stamm

Dr Bettina von Stamm

Director of the Innovation Leadership Forum

 

Slowly but surely, it is sinking into managers’ consciousness that innovation is important. Success is slow because the prevailing culture has been shaped by cost-cutting and efficiency drives. People who succeeded in reducing costs and improving efficiency are now expected to make decisions about creative, imaginative and unproven concepts. Change of culture takes time, but it is happening.

 

Jeremy Myerson

Jeremy Myerson

Professor of design studies at the Royal College of Art

 

Design can communicate propositions about products and services in a direct, compelling way. Many firms deploy design thinking at the front end of innovation, at the discovery and understanding phases. That’s as well as at the development and delivery phases, where product design was traditionally sited. IDEO’s work with Procter & Gamble in the USA is a good example of this trend.

 

Nick Ramshaw

Nick Ramshaw

President of the Design Business Association

 

Design can directly improve profitability. Brands need to differentiate themselves in competitive markets. We have worked with McCain to integrate the ‘it’s all good’ brand essence into their business, from their own wind-generated power source to HR processes, packaging and website design. And guess what – it’s working. Sales are up in key areas. Not bad for a frozen-chip maker!

 

Ian Pearson

Ian Pearson

Minister for science and innovation

 

Investment in design is a necessity, not a luxury, for start-ups, firms seeking to grow, SMEs and multinationals. Companies that invest in design out-perform their peers in practically every performance measure – be it market share, growth, productivity, share price or profitability. And yet nearly 45% of UK companies are failing to invest in design.