Tahi Studio
The True ROI of Productised Design
Discover the real ROI of productised design. See how fixed pricing and clear deliverables can boost your revenue and streamline your creative projects.
The way we think about design services is changing. The old agency model, with its custom quotes and unpredictable timelines, is giving way to something more streamlined and transparent. This new approach is called a productised service, and it is reshaping the creative industry by offering clear, upfront value. At Tahi Studio, we have seen first hand how this model can transform a business. It is not just a trend. It is a strategic shift towards greater efficiency and a better, more honest client experience.
What Are Productised Design Services?
So, what exactly is a productised design service? In simple terms, it is about turning a service into a product. Instead of creating a custom quote for every project, a productised service offers a set package with a fixed price and clearly defined deliverables. Think of it like a subscription. You know exactly what you are getting, how much it will cost, and when it will be delivered. This shift is driven by a growing demand for transparency and predictability. This model takes complex design projects and breaks them down into repeatable, manageable processes. For a Webflow agency like ours, this means offering standardised packages for website design, development, and maintenance that we can deliver efficiently and consistently. This approach removes the guesswork for clients and creates a predictable revenue stream for us, allowing for more strategic business planning.
The Impact on Revenue and Growth
The financial benefits of productised services are significant. According to a report by McKinsey, companies that focus on design generate 32% more revenue and 56% more total return to shareholders than their competitors. When you combine this with a productised model, the results are even more impressive. The subscription-based approach, in particular, has shown remarkable growth potential. It builds a stable foundation of Monthly Recurring Revenue (MRR), which makes it easier to forecast income and make informed business decisions. This stability allows us to invest in our team and resources, ensuring we can continue to deliver high quality work for our clients for years to come.
Boosting Efficiency and Profit Margins
One of the biggest advantages of productised services is the improvement in operational efficiency. While you might wonder why our profit margins matter to you, it is simple. A healthy, efficient agency is a stable and reliable partner. Traditional services often have gross profit margins of around 40%. With a well designed productised service, those margins can jump to between 60% and 90%. This is because standardising processes with reusable templates and workflows reduces the time spent on each project. The sales process is also much simpler. With fixed pricing, there is no need for lengthy proposals, which can shorten the sales cycle by as much as 75%. This efficiency means we can serve more clients without compromising quality, which translates directly into a sustainable business you can depend on. A study by the Nielsen Norman Group found that design systems can reduce project delivery time by 33%, freeing up valuable resources.
Improving Client Retention and Value
Productised services also have a positive impact on client relationships. Subscription based models, in particular, have been shown to increase client retention by 21% compared to project based work. This is because they provide ongoing value and build stronger, more collaborative partnerships through regular contact. Instead of a one off project, we become a long term partner in our clients' success. This significantly increases the Customer Lifetime Value (CLV). A single project might bring in between $5,000 and $15,000, but a subscription can generate $25,000 to $100,000 or more over several years. This creates a more sustainable business model for us and ensures our clients always have the dedicated design support they need to grow.
Why This Matters for Your Business
The move towards productised design services is more than just an operational tweak. It is a strategic decision that offers a clear return on investment. Forrester Research has found that for every $1 invested in user experience design, the return can be as high as $100. By adopting a productised model, businesses can unlock even greater value. It leads to predictable revenue, higher profit margins, and stronger client relationships. For any business looking to grow and thrive in today's competitive market, embracing a productised approach is a smart move. It is a model that delivers real, measurable results for both the service provider and the client, creating a true win win situation.
Ready to experience the power of productised design? Learn more about how this shift is transforming agencies or explore our transparent pricing model to see how predictable, high-quality design services can accelerate your business growth.