Understanding The Financial Returns From Usability

(April 2005)
By Rich Buttiglieri, Usability Consultant
Measuring the return on investment (ROI) of user centered design activities has become a hotly debated topic, but one thing stands clear - a product that is designed around the user's needs and context of use will be more successful than one that is not. The question is, is the benefit worth the extra effort?

The simplest answer is: the financial return on investing in usability can be far reaching throughout a company.  For this reason, measuring true ROI may prove difficult. However, if any of the areas below are important to your business, then a user-centered design approach will benefit your organization. Here is how:

Reducing product development costs.  To a development team, this means:

  • maximizing development time by focusing on features that matter most to users
  • reducing maintenance costs by eliminating seldom-used features
  • decreasing customer support costs by making the product easier to understand
  • reducing redesign costs by making the best design decisions up-front, rather than fixing problems after the product is released

Increasing sales (transactions or purchases).  To sales and marketing teams, a more usable product can:

  • increase sales 
  • increase web traffic 
  • retain customers by building a strong brand loyalty 
  • attract more customers through positive press 
  • increase overall market share


Improving the product's effectiveness and efficiency.  To the end user, a more usable product will lead to:

  • increased productivity
  • increased satisfaction
  • reduced learning time
  • fewer errors
  • increased trust

These last aspects are particularly critical when you are designing a product that will be used internally.

In a nutshell, people prefer products that help them achieve their goals quickly and easily. If given a choice, they will choose the path of least resistance.

It is up to you to determine which of these criteria are most important to your company’s success.  Ask yourself: “Where are my company’s pain points?” Do they include unnecessary development or maintenance costs of seldom-used features? Declining market share? Declining customer satisfaction scores? Once you have identified these areas, you can estimate the savings to your organization. Then the true return on investment in user-centered design will become clear.