Design competition

The design industry is getting incredibly competitive. From a strategy standpoint, designers need to do what any other business would do in such circumstances - find a unique customer value that competitors cannot easily provide. 

Here's why. 

Design has a low barrier to entry. Anyone can throw their hat into the ring. It doesn't take much to get started, and there are plenty of existing channels, like crowdSpring to help facilitate entry into the market. Design requires a low capital investment and there is no licensing or certification required. Also, the value of design is subjective, which means that “good” and “bad” design are based almost entirely on the tastes of the customer. 

Which means… 

Design is intensely competitive. 

Which means… 

Customers have many design options. They can go online or to places like Office Max, or quick print shops to get their business print and Web needs addressed. Crowdsoucing firms allow the customer to pick from multiple options and offer low costs and quick turnarounds among their customer benefits. 

Which means… 

Customers can bargain on price. When the market is flooded, firms are forced to compete on price. Additionally business people do not invest in things that do not provide a return. For most small businesses design is not a priority. Because of these factors they are apt to value design based on price. 

So how do you survive professionally in this environment? The question design professionals must ask is, "What unique customer value can we offer, that our competition cannot?" 

To a great degree I think the answer lies in the ability for designers to do two things - 1) work collaboratively and 2) be accountable for their design decisions. 

Collaboration brings the client into the process, creates buy-in and support, and provides more meaningful design decisions. Collaborative design exercises, discussions and workshops allow the client to participate in developing solutions. Through collaboration trust and loyalty are created, which are key components of strong working relationships. It is also much harder to collaborate virtually than face-to-face, so there is a competitive advantage to working this way. 

Accountability requires designers to put more of an emphasis on upfront design research and testing. This means that designers need to shift their focus from aesthetics and start thinking about results. Creating success metrics for design outcomes positions the designer as strategist, as opposed to tactician or craftsperson. 

Like every other industry, design needs to innovate or be left in the dust. I’m reminded of a quote – “change is not mandatory, but neither is survival.” 

* This is a response to the discussion "What do you think about the commoditization of design through crowd sourcing sites that set the value of creative work by only paying the person who's work is selected?" on the AIGA discussion board

http://bit.ly/aeeCLe