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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 − Cost
Cost
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”
The ROI of UX

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