40% of companies don’t “talk” with users

In a deep research of 100,000 design actions by 300 publicly listed companies, McKinsey found that design-centered companies outperform. Those which embraced design principles had a staggering 32% more revenue and 56% more total returns to shareholders. This clearly demonstrates the power of design and its ability to drive growth and profitability when applied effectively.

Though the report focuses on the business value, there are other interesting findings to highlight. These include the increasing implementation of Lean startup methodologies, which eases the uncertainty that management and teams do not deliver fast, and the growing emphasis on data collection and analysis, particularly with the rise of data lakes and conversational data.

Interaction design and multi-channel user journeys are no longer strange concepts in the business world, with organizations recognizing their importance in creating seamless, engaging experiences for users. However, despite these advancements, many companies still lag behind in adopting a truly user-centered approach.

Though what surprises is that: “What our research shows, however, is that many companies have been slow to catch up. Over 40 percent of the companies surveyed still aren’t talking to their end users during development.” Even though user research and good analysis reduce risk, increase focus, deepen requirement specifications, and create a common vision for faster implementation, there is immense potential left untapped. Especially if we consider the wording used in the report “talking”, we might assume that the number of companies with a strong user-centered product development process is even smaller. This is confirmed by the fact that only 8% start with the user, not the specifications, and only 10% have a “bold” user-centric strategy.

This means something big. We as innovators and designers risk losing even more connection with business reality. To counter this, we must be more practical, specialized, and humble in our approach. Integrating user insights, applying user research, and conducting ecosystem analysis is not a simple task; it requires deep empathy, critical thinking, and a high level of drive.

In the end, our job is about people—whether they are corporate stakeholders or users, it does not matter. By recognizing and embracing the importance of understanding and addressing the needs of all involved, we can create more successful, user-focused products and services that drive growth and innovation.