Featured Image
UX Design

From usability to profitability: the power of UX design

Imagine your digital product as a thriving ecosystem where every element works in harmony to create a seamless experience. UX design is the process of designing a person’s overall experience when using a website, app, or other digital interface.

We can think of UX design as the master planner that ensures every interaction contributes to your business growth. It is a critical contributor in the success of a digital product, strategically nurturing revenue growth through thoughtful user interactions. 

UX design focuses on creating products that provide meaningful and relevant experiences to users. This involves the entire process of acquiring and integrating the product, including aspects of branding, design, usability, and function.

This article explores the direct correlation between UX investment and revenue growth, using real-world examples and key metrics to illustrate the profound impact.

The Business Value of UX Design

UX design places the needs, preferences, and limitations of end-users at the forefront of the product-building process, allowing digital products to cultivate true empathy. A well-defined design process roadmap includes conducting thorough research to truly understand user behavior, motivations, and pain points. Moreover, the iterative process of prototyping, testing, and refining ensures that designs continually evolve to meet the ever-changing needs of users.

Focus on the user and all else will follow.

Rule #1, Google’s “Ten Things” Philosophy

Hence, a well-designed UX can make a strong first impression, increasing the likelihood of user retention. It enhances overall user satisfaction by making interactions smooth and enjoyable, ultimately differentiating your product in a crowded market by providing a superior experience.

Understanding UX driven ROI

Investing in UX design isn’t just about making things look pretty.  UX is critical across all stages of a product’s lifecycle. Whether you are a new business building a minimum viable product (MVP) or an established company branching into new regions or adding new features, UX always affects the performance of your product and ultimately the bottom line derived from that performance. For new products and MVPs, good UX design can make or break adoption and success. 

Hence user experience it is a strategic investment that offers measurable returns. A good UX can significantly boost key performance indicators (KPIs) such as conversion rates, customer retention, and overall customer satisfaction.

Quantifying the return on investment (ROI) from UX design is crucial for making informed business decisions. Improved UX can significantly boost conversion rates – a well-designed user interface has been known to increase conversions by upto 200-400%.

Positive user experiences also lead to higher customer loyalty and repeat business, while investing in UX early in the product development cycle can reduce costs associated with redesigns and customer support.

The numbers speak for themselves: Forrester Research (paid report) found that for every $1 invested in UX, businesses can expect a return of $100, indicating a 9,900% ROI.

How UX Design Disrupts and Redefines Industries

Design-driven companies across industries are reshaping conventions and solidifying their market leadership by relentlessly putting the customer at the forefront. The difference between design-driven companies and others is putting the customer-first theory into practice: design leaders don’t make assumptions about the customer, but instead learn what the customer wants.

E-commerce

Even industry titans are not immune to the disruptive power of design-thinking. Walmart found itself grappling with stagnating online sales and recognized the need for a user-centric digital transformation. In 2018, they unveiled a comprehensive redesign of their e-commerce platform, the result of extensive user research and a razor-sharp focus on enhancing the online shopping experience.

The reimagined website prioritized intuitive navigation, seamless browsing across devices, and a cohesive brand experience. This design overhaul, driven by a deep understanding of customer expectations, catalyzed an astonishing 43% year-over-year growth in Walmart’s e-commerce sales. 

Happy users are ultimately happy and returning customers.

Clive K. Lavery, senior UX person and co-organizer of UX Camp Europe

Healthcare

In niche yet crucial industries like healthcare and banking, companies that prioritize design are setting new standards and pulling ahead of the competition. Take Cerner, a leading provider of healthcare information technology solutions. They recognized that clunky electronic medical record (EMR) systems frustrated healthcare professionals and invested heavily in redesigning their EMR platform with an intuitive, user-centric experience. The streamlined UX allowed doctors and nurses to access patient data quickly and accurately, reducing errors and optimizing care. 

In 2021, Oracle Corporation announced an agreement to buy Cerner for approximately $28.3 billion

Banking and Financial Services

In the banking world, Bank of America exemplifies design-driven transformation. Bank of America’s journey with design thinking began in 2004 when they partnered with IDEO to attract new customers, especially boomer-age women with children. Through ethnographic research, they discovered an insightful user behavior – single mothers rounding up expenses in checkbook registries to help with simple savings.

This human-centered insight led to the wildly successful “Keep the Change” program, which rounds up debit card purchases and transfers the difference to savings accounts. Launched in 2005 after extensive testing, it gained 2 million new customers within a year and has helped over 12 million save collectively over $2 billion to date.

However, Bank of America didn’t stop there. Over a decade later in 2016, they undertook another major digital overhaul driven by UX research and design principles. This time, they conducted a staggering 110,000 customer interviews to deeply understand user pain points with digital banking.

The resulting redesign prioritized simplicity and intuitive experiences across online and mobile channels. Features like predictive search, personalization, and seamless integration vastly improved usability. Within a year, mobile banking usage surged. Online appointments rose by 40%, and call volumes to the call-center significantly dropped.

Investing in UX for business growth 

To truly harness the power of UX design and drive revenue growth, businesses must adopt a proactive design strategy that focuses on reducing customer support needs, fostering collaborative approaches, and developing a unified UX strategy.

One of the most compelling reasons to invest in UX design is its potential to significantly reduce customer support costs. By prioritizing user-centered design and self-service tools, businesses can minimize the number of support inquiries and empower users to resolve issues independently.

User-Centered Design

Prioritizing user-centered design isn’t just good for user satisfaction – it’s good for business. Products with better usability and lower friction lead to higher retention rates and more recurring revenue over time. Investing in UX upfront pays dividends by maximizing the value of each customer you acquire over their entire lifetime using your product.


Source

When users have a positive, frustration-free experience with your product, they are much more likely to continue using it long-term. User-centered design leads to better customer lifetime value (LTV) and reduced churn. Delightful user experiences foster brand loyalty and affinity, encouraging customers to stick around instead of churning to a competitor’s product.

A user-centered design approach focuses on understanding the needs, behaviors, and pain points of your target users. By deeply empathizing with users, you can design experiences that feel seamless and intuitive from their perspective. This reduces friction and makes it easier for users to achieve their goals when using your product.

Self-Service Tools

Incorporating robust FAQs, intelligent chatbots, and comprehensive help sections is a game-changer for reducing support inquiries. By providing users with the resources and guidance to troubleshoot and solve problems on their own, businesses can significantly lighten the load on customer support teams. This not only cuts costs but also improves user satisfaction by providing instant, 24/7 support. When users can effortlessly find what they need and complete tasks without assistance, the demand for customer support naturally decreases.

Feedback Loops

Continuously gathering and acting upon user feedback is a proactive approach to ensuring your product’s success. 

This feedback-driven process allows you to truly understand how customers are using and experiencing your product in the real world. Rather than operating based on assumptions, you gain a direct window into the challenges, desired enhancements, and emerging use cases from those closest to your product – the end users themselves.

Implementing mechanisms to capture user feedback, whether through surveys, user testing, analytics, or other channels, enables your business to always keep a pulse on shifting customer needs. You can then apply those learnings to drive your product roadmap, prioritizing high-impact improvements that delight customers and open new market opportunities.

Collaborative Approach 

Investing in a collaborative, stakeholder-driven UX process promotes better cross-functional alignment and breaks down silos. It results in user experiences that provide value to customers while harmoniously advancing the various objectives of the wider business.

When UX design is treated as a separate silo, disconnected from the rest of the organization, it risks taking a myopic view that fails to account for the bigger picture. True strategic UX design requires a cross-functional, collaborative approach that incorporates the requirements and perspectives of all key stakeholders.

By actively involving representatives from various departments like marketing, development, customer service, and more, businesses can create holistic user experiences that satisfy customer needs while supporting broader organizational objectives. Each group offers unique domain expertise that enriches the UX strategy:

  • Marketing provides customer insights, user personas, brand guidelines, and acquisition strategies
  • Development assesses technical feasibility and guides on platform capabilities
  • Customer service highlights common user pain points from the frontlines
  • Product management aligns UX to longterm product vision and roadmap
  • Executives ensure UX investments ladder up to business goals

This cross-pollination of perspectives prevents UX design from happening in a vacuum. It allows for the seamless integration of user experience considerations with other critical priorities like brand consistency, technical constraints, business strategies, and more. 

Iterative Design Processes

Implementing iterative design processes allows for continuous improvement and quick adaptation based on cross-functional team insights. By working in short cycles and regularly seeking feedback from diverse stakeholders, UX teams can rapidly prototype, test, and refine designs.

This collaborative, iterative approach ensures that the UX remains aligned with evolving business needs and user expectations. Instead of attempting to create the “perfect” user experience in one monolithic design phase, an iterative process promotes regular rounds of user testing, stakeholder input, and incremental optimization. Designs are continuously put in front of customers, analyzed, and enhanced based on real-world data and feedback from all relevant parties.

This iterative cycle acts as an ongoing “optimization engine” – each revision helps shape and mold the UX into one that holistically balances usability, technical realities, business requirements, and more.

Leveraging UX strategy and design for your business

A unified, holistic UX strategy forms the bedrock for delivering cohesive and consistent experiences across every digital touchpoint. It involves meticulously establishing a coherent design language, seamlessly integrating user journeys, making data-backed decisions, and defining clear performance metrics.

By prioritizing strategic UX design and partnering with an industry leader like Aubergine Solutions, you unlock the power to craft exceptional digital experiences that captivate users and propel your business toward remarkable growth.


Source

Our comprehensive UX design process begins by establishing a strong information architecture – meticulously mapping the interrelationships and hierarchies of content/features within your product ecosystem. This lays the foundation for an intuitive experience.

We then dive deep into user journey mapping, dissecting every potential use case and edge scenario for each product feature. By charting intricate user paths, we anticipate needs and design experiences that proactively guide users toward their goals.

Our designs take shape through iterative wireframing and prototyping cycles. These tangible artifacts allow stakeholders to envision the final experience and provide invaluable feedback to refine solutions before development starts.

When it’s time for engineering implementation, Aubergine’s UX team doesn’t simply toss designs over the wall. Our designers deeply understand development constraints and requirements. We provide comprehensive documentation and specifications to facilitate a seamless design-to-development handoff.

This end-to-end UX process, honed over years of experience, blends strategic rigor with human-centered creativity. We infuse rich user research and data-driven decisions at every stage to optimize for product usability and business impact.

With Aubergine as your UX partner, you gain access to cross-functional expertise that holistically accounts for user needs, brand standards, technical viability, and overarching business goals. Making strategic UX a priority with our guidance positions your offerings for sustained success.

author
Avantika Mishra
Content scavenger. Love tech, innovative solutions for a better world, and I think AI could save the world.