Good Design Is Good Business: The ROI of UX, UI, and Web Design

What Are UX and UI Design (And Why Should You Care)?

User Experience (UX) design is about crafting how people feel when interacting with your product or website. It’s the process of making a site or app useful, easy, and enjoyable for the user. This can include simplifying navigation, speeding up load times, clarifying content, and removing pain points so that customers can achieve their goals without frustration. User Interface (UI) design, on the other hand, focuses on the look and layout – the visuals, typography, buttons, and other elements that users actually see and click. UI is about making a product appealing and aligned with a brand’s style, while also being functional. In simple terms: UX is how it works, UI is how it looks – and together, good UX/UI design means an overall superior web design and experience for your customers.

Why should a business owner care? Because your website or app is often the first (and maybe only) touchpoint with potential customers. A confusing checkout process, for example, can lead users to abandon their shopping carts – meaning lost sales. A cluttered or slow website can drive visitors away to a competitor. On the flip side, a smooth and pleasing user experience will keep customers on your site longer, encourage them to buy or sign up, and leave them with a positive impression of your company. In essence, design directly impacts whether customers do business with you or not. As Steve Jobs famously said, “Design is not just what it looks like and feels like. Design is how it works.” A small investment in improving how your website works for users can translate into substantial gains for your business. Let’s look at the numbers to see how this plays out.

The ROI of Good Design: By the Numbers

It’s easy to say “better design = better business,” but what’s the evidence? In recent years, numerous studies in North America have quantified the return on investment of UX/UI and web design improvements. Here are some standout statistics that make the business case:

• Staggering ROI: According to Forrester Research, every $1 invested in UX can yield up to $100 in return​. This 100-to-1 payback ratio illustrates how impactful user-centered design can be on revenue. Very few investments promise a 9,900% ROI like UX does – it’s essentially turning a small design budget into big gains.

• Outperforming the Market: An analysis by the Design Management Institute found that design-driven companies outperformed the S&P 500 stock index by 219% over a 10-year period​. In other words, companies that deeply value design (think Apple, AirBnB, Nike, etc.) dramatically outpace their competitors in market value growth. McKinsey & Company likewise reported that top-quartile companies in design effectiveness achieved 32% higher revenue growth than their industry peers over a five-year span​. Good design isn’t just about aesthetics – it’s correlated with faster business growth and higher shareholder returns.

• Higher Conversions = More Sales: A well-designed interface makes it easier for customers to convert (buy a product, request a quote, sign up for a service). Studies indicate that a polished UI can boost website conversion rates by up to 200%​, and a better UX design can yield conversion rates up to 400% higher​. Essentially, if your website’s design guides users effortlessly to what they want, you could double or even quadruple your sales just by design improvements alone. For example, simplifying a signup form or making a “Buy Now” button more prominent can have a huge impact on how many people actually complete the process.

• Customer Willingness to Pay and Stay: Customer experience has a direct link to loyalty and spending. Salesforce surveys have found that 66% of customers are willing to pay more for a great experience​. People value ease and enjoyment, sometimes even over price. Additionally, companies that prioritize design report more loyal customers – 50% of design-led companies say they have more loyal customers as a result of good design practices​. Satisfied users tend to stick around: they come back for repeat purchases and refer others. (On the flip side, as we’ll see next, frustrated users leave and warn their friends.)

• Efficiency and Cost Savings: Investing in UX/UI can also save your company money by increasing efficiency. IBM found that adopting a structured design thinking approach (IBM’s framework for UX) reduced design time by 75% and cut time-to-market in half, leading to a 301% ROI on their design thinking program​. In practical terms, better up-front design and user research mean fewer costly mistakes and redevelopment down the line. One study estimates that fixing an error after development can cost 100× more than fixing it during the design phase​. By catching usability issues early with good UX practices, businesses avoid expensive rework and delays. In short, design investment can significantly lower support and development costs while accelerating revenue.

These numbers paint a clear picture: good design is a smart business investment. It drives more sales, fosters loyalty, and even streamlines operations in ways that boost the bottom line. To further illustrate the point, let’s consider what happens when design is not given enough attention.

The Cost of Ignoring UX/UI (Bad Design = Bad Business)

What if you choose to save money by skimping on design? Unfortunately, you may end up paying a bigger price in lost customers and opportunities. Poor UX or UI can actively hurt your business. Consider these findings:

• Lost Sales from Frustration: About 70% of online shoppers abandon their carts or leave a purchase due to bad user experience – confusing navigation, broken links, forms that are too long, etc.​. That’s seven out of ten potential sales gone because the website made it too hard for them. Even if a customer wants what you offer, they’ll give up if your site is a pain to use.

• No Second Chances: An overwhelming 88% of online consumers say they are less likely to return to a site after a bad experience​. In other words, nearly nine in ten people who struggle on your website won’t come back to try again. They’ll remember the annoyance and likely go to a competitor next time. This means a poorly designed website can poison your customer lifetime value; you don’t just lose one sale, you potentially lose all future sales from that person.

• Negative Word of Mouth: Users who have a bad experience tend to talk about it. 13% of people will tell 15 or more others about a negative UX encounter​. Thanks to social media and reviews, bad news travels fast. A clunky app or site might not only lose you one user, but also drive away dozens more who hear the complaints. No business wants to be known for having an unfriendly website.

• Higher Support Costs and Inefficiency: Bad design often means your staff has to pick up the slack. If customers can’t find answers on your site, they flood your call centers or support email. For example, before its redesign, Virgin America’s website design was contributing to customer confusion – after the redesign, the airline saw 20% fewer support calls because people could find info and book flights more easily on their own​. Internally, poor software UX slows down employees too, leading to productivity losses. Essentially, investing in UX can reduce the “hidden” costs of customer service and inefficient workflows.

• Business Failure Rates: Perhaps most striking, one analysis claims that up to 70% of online businesses fail because of bad usability and user experience​. While multiple factors determine a business’s success, ignoring UX is a common denominator for failure in the digital age. A website that frustrates users is an uphill battle no amount of marketing can fix.

In short, skipping design is risky. You might think you’re saving money by not hiring that UX designer or delaying a site revamp, but the data suggests you could be losing far more in revenue and reputation. Now, let’s turn our attention to some positive examples – companies that invested in design and saw impressive returns.

Real-World Case Studies: Design Improvements That Drove ROI

Seeing is believing. The following case studies from North American companies (large and small, across different industries) demonstrate how improving UX/UI or doing a website redesign translated into measurable business gains. These success stories show that the ROI of design isn’t just theory – it’s happening in practice.

Conclusion: Investing in Design Is Investing in Your Business

The evidence is overwhelming: from mom-and-pop operations to Fortune 500 giants, companies that invest in UX/UI and web design outperform those that don’t. Good design directly influences customers’ behavior and perceptions. It can make the difference between a user happily completing a purchase – or giving up and leaving in frustration. It can turn one-time buyers into loyal repeat customers who refer others. It can even elevate a company above its competition, as we saw with design-driven firms beating the market by over 200%​.

Crucially, these benefits apply across all industries and business sizes. Whether you’re a local manufacturer or a global online platform, the principles hold. For example, even small U.S. manufacturers saw a 17.5% increase in sales on new or improved products when they invested in design​. And nearly 50% of design-focused projects recoup their investment within the first year, with 90% doing so by year three​. In other words, design pays for itself – often faster than other initiatives.

If you’ve been skeptical about spending on design, it’s time to reframe it as spending on growth. UX and UI improvements aren’t mere “makeovers” – they are strategic business moves that can lead to more revenue, lower costs, and happier customers. As the former IBM CEO Thomas Watson Jr. famously said, “Good design is good business”​. In 2025 and beyond, this statement rings truer than ever.

Investing in UX, UI, and web design is essentially investing in your customers’ happiness and your company’s success. It’s one of the highest-ROI decisions you can make. So, whether you’re updating your website, refining a mobile app, or rethinking your product interface, remember that design is not a cost – it’s an opportunity. Embrace good design, and you’ll likely see the returns in your bottom line and in the smiles of your users. After all, a great user experience isn’t just great for users – it’s great for business too.