Why nobody can overtake a pioneer and innovator company even they try to copy it?
Those who innovate doesn’t get the opportunity of being a Pioneer and conquer the market by chance. This is not a one-time occasion whereupon folowers and copier competitors can take the lead of the market any time by their bigger and cheaper manufacturing and marketing capacity.
Innovation becomes part of the corporate culture so they repeat that huge amount of innovation by every new product cycle. They create again and again a brand new cathegory of experiences generation by generation of their products. Therefore it becomes impossible to catch up an Innovator. Apple has grown to be the most valuable company of the planet (in less than 30 years from its establishment) thanks to this innovator culture and not because of its manufacturing capacity or the amount of their commercials. Capacity follows Innovation and not inversely! Continue reading
Welcome back! Here we are with #3 in this series on my “List of 3 special design force″ — the 3 main design tools of what I would consider the best “forces” to grow a business.
Assuming you have, then great – let’s dig in.
Design Force #3: Liberation from price competition
The priceless thing that design can give your business is that it makes your products free from price competition once and for all!
Can you imagine? It means that you will never ever have to compete again with prices, you will never have to care about competitors prices and people still want to buy from you and they will adore your product. You can impose the prices of your product that really meets its Value and you can make the profit that you really deserves.
Most of the companies simply cannot imagine their business without price competition. The reason behind is that they have never aproached this issue from a Design perspective.
The problem is that discounted prices don’t message anything but how much should you pay in reality for it. When a company gives a discount they take away the focus from the value of their product and move it right on its price.
In order to keep your prices high you need to be able to sell the Value of your product. You need to constantly point your prospects focus on the Value of your product not on the price.
When a company begins or participates in a price competition they strive to sell that product as cheap as possible increasingly lowering their profit. Doing all this instead of striving to sell it on its original or even higher price and giving higher value and quality: definitely higher than competitors. The goal is to constantly point your prospective customers’ attention on that you give them a better product than the competitors.
Even the tiniest discount has a harmful influence on the integrity of your prices because next time it can make quite difficult to achieve at that same customer not to focus on the price but to concentrate on the value.
So, why can great design make you free from price competition? Continue reading
Welcome back to Part 2 of our quest to discover “why design is the most powerful force to grow a business”. If you haven’t already read the previous article, you should definitely go here and read Article #1 now. In that article, I explained the first benefit that design can give a business: how can achive great product design to predictably win the prospect’s buying decision in the big moment.
Today I want to continue this conversation and explore the next set of design tools that definitely will bootstrap your business!
Predictable and constant income is often the difference between owning a growing, thriving business or having one that is constant struggling to maintain.
Therefore in fact the most important sales that you make is not the first, but the second one – in other words when your prospects come back and buy again your product.
It is much harder and more expensive to win completely virgin prospects’ trust and convince them to buy your product, than selling to customers who has bought from you before and they not only already have trust in you but keen on buying your next product.
Imagen how much lower can be your marketing and sales costs and how more predictable your income if there is a magic that provides that your customers will buy from you for the second, third and fourth time.
Well, design is exactly that magic. It helps to win that magical second buying descision.
Design helps to evolve product and brand loyalty through user experience no matter how small your business or what kind of product is it about.
When your prospects buy from you for the second time, they don’t do it because of being persuaded by the first impression but because of having a convincingly positive experience during using the product.
There is a common misbelief between business owners that only big companies can evolve brand loyalty and build a fan base for a product and it needs a marketing campaign with huge budget.
The truth is that yes, a huge marketing campaign do helps to make the public aware of your product on a wide level, BUT does not guarantee that people will be willing to pay for it!
So how can design build product and brand loyalty? How can design achieve that people go crazy for Your Products whoever is your target market: young/old people, bankers, factory managers, suppliers etc. Continue reading
Why it occurs even with the most professional products that they don’t bring the expected sales numbers even they get an intense advertising campaign?
In the last 8 years of design praxis I experienced that most often those companies who needs design most for their business growth are the ones who don’t see the value in design.
The main reason behind is that the CEOs and Business Developement Managers of these companies usually can’t see what design can add to their business exactly and why it worth to invest in a serious product design development project.
This might be because most designers usually gives too abstract or too mystic answers to this question.
From an Entreprenurial Perspective the first key benefit that design gives:
Design can win the prospect’s Buying Decision precisely at the decision making moment! Why?
Humans are quasi-rational beings. This means that whatever product is it about whatever smart and conciuos consumers are we, at that very moment of buying decision making we allways have a little irrationality. Design is the one thing that is infulencing on that tiny irrational part of our mind like a mystical magnetic power.
If a company wants to survive in these days’ crazy and intense competition, it’s way not enough to develope a better solution than the competitors but the product also has to give the impression of being the Best on Earth. It has to be perceived as the most professional solution on the market. It has to be enough breathtaking for the prospects to make them talking about it.
This is also true in such industries where due to common belief only technical requirements and capacity matter – such as at industrial machinery and equipment or medical devices. However, at these products whoever is deciding about the acquisition, it will be a Human. A quasi-rational human… Continue reading
A design of a product can be evaluated from several perspective. So varied that a whole industry is based on judging it: design magazines, design contests, design festivals of big cities etc. Thousands of exhibitons, critics and jurnalists are specialized on judging wether that certain design is enough innovative, modernistic, exciting, valiant, aesthetic or enthralling. Most of the times they devote all the priotity to these kind of aspects.
We belive at IgenDesign, if a design – or any kind of artwork – is ’good’, the proof is that people pay for it, and not the „wow, how amazing is this” reaction. I understand if it seems prety unromantic from a design studio, but wach how much people are willing to pay for a Picasso and how much for a portrait drawer on the street. Or how much have been payed to Michelangello for painting the Sistine Chapel.
People proove with their money how much value does it mean for them. So it means that everything that is sellable is valuable for the society! Continue reading