the roi of ux

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The ROI of UX

How to prove the value of investing in user experience Tom Voirol, Global Head of User Engagement!

User Experience Design defined!

“An approach to shaping the entirety of a user’s

experience with a product, service, or organisation

with the goal of making it intuitive, effective,

efficient, positive and meaningful.”

- me

What is ROI?!

ROI = Gains −CostCost

Why talk about ROI?!

Why talk about ROI?!

IBM: Cost-justifying Ease of Use!

“Every dollar invested in ease of

use returns $10 to $100”

What ROI?!

R O I Return Investment

Investment?

What constitutes UXD?!

For what outcome?!

Give people what they need Influence people’s behaviour

As opposed to what?!

Or even worse…!

How IT sees your users!

How you should see your users!

Where IT sees your users!

Where you should see your users!

Where you should see your users!

Return?

What ROI?!

R O I Revenue?

A story…!

Teehan & Lax UX Fund!

But maybe…!

…you’re not in the revenue business …you don’t have a revenue problem

What ROI?!

R O I Revenue Return

Non-revenue forms of return!

Save costs

Save time / increase productivity

Change behaviour

Share of voice

Cost of doing business

Save costs!

Reduced customer support costs Reduced internal support costs Reduced project costs

Reduced internal support costs!

”Hidden support costs for coworkers helping others is estimated to between $6,000 and $15,000 each year for every computer”

Bulkeley, W. M. “Study finds hidden costs of computing.”

The Wall Street Journal, 2 Nov. 1992

Reduced project costs!

=

=

Save time / increase productivity!

Your time Your users’ time GOMS model

GOMS!Goals, Operators, Methods, and Selection rules!

Change behaviour!

If it’s easier/smoother/more fun, they’re more likely to do it Gamification Website metrics (preferably goal conversion)

Gamification!

Gamification!

http://www.forrester.com/go?objectid=RES46499

How much will your website metrics improve?!

Share of voice!

Social media PR Leading to awareness, appreciation, advocacy and ultimately action à revenue

Zappos!

A service company that happens to sell shoes

•  Free shipping both ways

•  365-day return policy

•  Fast fulfilment, expedited delivery

•  24/7 1-800 number on every page

•  Fast, friendly & expert customer service

Success!

Year one turnover: A few thousand $

Year two: $1.6m

Year eight: $1,000m

Acquired by Amazon for $1.2bn

Cost of doing business!

Competitive pressure Customer expectations The ROI of common sense

Competitive pressure!

Customer expectations!

Basic attributes!

Users expect these. Singapore Airlines •  gets me where I want to go •  is on time •  doesn’t crash

Hygiene factors - leave it out and all other efforts will be in vain.

Performance attributes!

The more/better, the happier users will be. Singapore Airlines •  gives me more legroom •  provides better food •  has friendlier service You can improve satisfaction by investing in these.

Delight attributes!

Unexpected, over-delivering, out of the ordinary Singapore Airlines •  provides inflight Wi-Fi •  hands out noise-cancelling

headphones •  picks you up at home with a limo As they get copied by the competition, they become performance attributes, then basic attributes.

The ROI of common sense!

“What’s the ROI of putting your pants on in the morning?” “It’s hard to measure, but there are negative consequences for not doing it”

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