For 15 years we've helped designers explain their value to clients. We've written articles, developed frameworks, and run workshops teaching value-based pricing. We believed - passionately - that if designers could just articulate their value better, clients would pay more appropriate fees.
But we were wrong. Or at least, partially wrong.
Our latest global research shows the most successful design firms aren't talking about value at all. They've shifted to something far more powerful, and the results are transforming their businesses.
How global firms measure success
Global research shows successful design firms price based on impact, not just value.
Learning about impact-based pricing transformed our client conversations overnight. The next day I used this approach and tripled our project budget. It wasn't about charging more - it was about understanding and articulating the real business impact of our work. Sarah Gross, Strategy Director Storyfolk.
The problem with value-based pricing
Value is subjective - what designers value often differs from what clients value. But impact can be measured. When you focus on impact, conversations shift from cost to return on investment.
Measuring design impact
Impact shows up like this:
increased sales
reduced costs
improved efficiency
better customer retention
higher employee satisfaction
shaping public awareness and behaviour
accessible and inclusive stakeholder communication
workplace culture and internal communication.
The evidence
Our research shows studios that focus on impact rather than value:
command higher project fees
build stronger client partnerships
win more strategic work
maintain better profit margins
report greater job satisfaction.
So what
We were wrong about value. Or rather, we were only half right. Value matters, but impact matters more.
Want to learn how to identify, measure and communicate design impact? We've developed a workshop to share practical tools from our global research. More here or just call or email and we'll talk about your specific challenges.
What do you think?
What have I got wrong?
As always, happy to discuss further, just email Carol
Carol Mackay
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The Design Business Review is Australia’s only online design management magazine. It’s professional development information written specifically for Australian designers by Australian designers. Best of all, it’s free.
