The CEO of IBM once said that good design is good business. However, until recently the task of measuring what is a good design and to what extent it influences a business was a difficult job. There was no tool with quantitative values to determine any sort of ranking. Hence, the design efforts of one party couldn’t be compared to the design activities of another.
Five years ago, in 2014, the Design Management Institute decided to change that. The institution published an assessment called the Design Value Index together with analysis. The presented results showed that design-driven companies outperformed the S&P by 228% over a period of 10 years. That is, between 2004 and 2014.
Since then the design industry received a lot of attention. However, do not limit it only to aspects such as product or graphic design. Even elements such as Design Thinking slowly started to become more appreciated. The trend is even visible in the educational system. More and more universities introduce design thinking degrees and courses.
Additionally, the connections between the product design, graphic design, and design thinking started to be not only a part of internal or external company analysis but also slowly became an important factor in the development of a corporate strategy. On top of it all, the topic of design reached headings of top business publications. Suddenly, the world started to talk about it extensively.
Perhaps this still sounds vague to a reader who isn’t familiar with the whole concept of design. After all, the word itself is pretty abstract. As an example, take a company such as Apple. Their success is beyond the beautiful products design and their functionality. Through incorporating design into various stages of the business process, Apple established itself in the modern customers’ lifestyle.
However, there is a word of precaution. The Design Management Institute states that having a design team in-house doesn’t directly lead to success. Sourcing great design is a challenging process and can take time to get it right. Only then, the response from the target audience will be positive and potentially lead to higher revenues.
In a short conclusion, the design industry has been growing rapidly and continues to develop every year. It is a perfect time to consider investing in the design industry as the potential returns can be very favorable.
Author Natalia Raben comes from a business and design background and takes care of marketing at DesignBro (https://designbro.com/brand-identity-design/)
We hope you enjoyed this article on the real reasons for investing in the design industry to get a strong return on investment.
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