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It must have mattered. Look how bad it was. Not only were the pages just ugly, they were peppered with database errors and CSS blowups

. It doesn’t prove design doesn’t matter, but it does suggest design may not be the deciding factor.

Can you see at what point in time we changed design?  No?  Must not have made a difference. Let’s look at time-on-site:

Nothing. But this is all superficial — what Really Matters is the Conversion Rate: are more or fewer people signing up each week:

Hmm. Looks like everything objective is saying “it doesn’t matter.” But as much as I respect and follow Lean Startup theory, objective measurements aren’t the only things that matter. Those customer emails matter too.

The other day we landed a large customer who said they could tell from our website that among our competitors we’re more mature and ready to handle a bigger customer like them. I can tell you — objectively — that we’re among the youngest of our competitors, and although I have a list of reasons why “we’re better,” the truth is that particular customer would probably be served just fine by several of those competitors. Was it the design that gave us that edge? Could be. Didn’t hurt, anyway.

Still, the more I look at the importance of design in the startups in my little career, the less it seems to matter.

Modern Lean Startup theory blares out from the red-tiled rooftops of Stanford: Seek the Data and Ye Shall Find! First the bounce-rate. If our website design was repulsive — literally — the bounce rate should now diminish. Here’s the data:

An even more extreme example comes from my second company ITWatchDogs. I displayed its old homepage at the magnificent Webstock design conference in Wellington earlier this year; the crowd whooped at our violent assault on the visual arts, complete with calliope menubar colors, two broken images tag above the fold, and a layout model that could be seen as a “grid” only after consuming a pillowcase of mushrooms:

But you’re anticipating the punch-line — ITWatchDogs grew every month, made millions of dollars, stole business from competitors with billion-dollar market caps (and professional-looking websites), and had a successful exit.

Of course it’s only fair to also point out some of the many instructive counter-examples: Hipmunk is the same thing as Orbitz or Travelocity — the only difference is amazing design, not just because it looks good but because it’s so useable. In the words of Joel Spoksly — the design “affords usability.” (P.S. Early Hipmunk team member Alexis Ohanian is so cool and smart and rich and funny and successful and good-looking that really he doesn’t deserve to be alive. (P.P.S. Hey flamers, for God’s sake it’s a joke! Don’t you realize I’m just sore from losing the Pecha Kucha competition to him?)) I always use and recommend Amy Hoy’s time zone tool only because it’s just nice to use and look at. (P.S. she also authors a terrific blog aimed at the solo entrepreneur.) Many people credit Mint’s smash success with their terrific design. Considering how many features were broken for how long, it’s hard to argue. 37signals documented — with data — how design changes results directly in more credit-card-swiping customers. It doesn’t get more “business value” than that. So where does that leave us in the “matters / doesn’t matter” question of design?

I think you can go either way, but you must decide whether or not you’re going to value design as core to your startup’s identity, and then act consistently. Here’s what I mean.

It’s clear from the outset that design is the only competitive advantage Hipmunk has over its competition. Specifically, by making the flight-search problem pleasurable and useable instead of feeling like you’re navigating pivot tables from Excel ’98.

They don’t have better data, better branding, better name, better SEO, or more money. Just better design, and not just easily-copyable incremental improvement, but a quantum leap better.

When design is that fundamental to the business — how it acquires and retains customers, garners attention and referrals, and distinguishes itself in the market — obviously design can be the most important thing.

Conversely, at ITWatchDogs the company’s internal and external culture was that we’re low-cost, friendly, approachable, regular guys, who understand exactly what you worry about, exactly what your budget is, and we nail it. The site might have looked bad, but our message couldn’t have been clearer.

But it is useful to decide where you come down on the question of design in your startup, because if it’s important you’d better work on that right now and develop a consistent culture of valuing design through-and-through, and if it’s not important you’d better decide what is important and nail those things all the harder, because you’ll be competing with people who are using superior design to cover up their lack of competency in those same areas.

Internal communication and collaboration within intranets has documented solid ROI’s encouraging companies to look to it more and more for increased innovation and decreased costs. While many organizations have achieved these positive ROI’s, the process to realizing them is often challenged. Activating the community, and getting users to interact with each other becomes a difficult behavioral change, but one that is invaluable to the company as a whole and its employees

No one is participating because companies are simply using a different communication medium for the same old message. The voice of a community should reign relevant to the workers, not the executives, a common mistake we see with many failed internal community and intranet projects.  The fastest way to make a community relevant and to gain participation is to make it human and to upgrade the messaging to fit the distribution tool.

Identify ambassadors/ Experts: Don’t ignore those able to deliver genuine knowledge, identify them, embrace them, and give them room to speak in a HUMAN voice. Engagement breeds engagement. People who are most likely to contribute include natural leaders, employee’s active on other social networks, and members who had a say in the initial community planning stages,

Recognize these experts: Thank users who do participate. Many companies build communities prompting “Find an Expert” “Ask a Question” but the true value of the question and answer feature is getting people to answer those questions.

Invest in Information Architecture and User Experience: We’ve seen several communities that are lacking engagement because it is unclear to users HOW to engage.  Investments in information architecture are often over looked, even though they are vitally important. 

Businesses can build stronger relationships with their stakeholders through their charitable endeavors. Helping others while helping themselves can lead businesses to bigger profits.

on’t forget your employees

Clarify your business’ values

Find out where your stakeholders are donating

First Steps

Picking a Charity

Determine the criteria for the potential charity

arrow it down: Search for charities that meet your criteria. Here is the tedious part. Giving USA cites there were more than 1 million charities in the United States in 2009. You may want to enlist another person or a committee to help with the selection process. GuideStar.org has a wonderful search function that allows you to pick through its database by criteria

Compare mission statements

Make sure organizations are registered

Transparency and accountability

Trustworthy non-profits will discuss their programs and finances

Give your partnership a trial run. Test your partnership by donating to a small project before doing a large campaign.

Charities are a fulfilling way to further the mission of your organization while helping the community in which you live and work. Keep these tips in mind the next time you conduct your next cause marketing or charitable campaign, and your organization will be sure to come out ahead.

So if brands aren’t necessarily going by their EA network score to judge their return on investment, how do they know if their time is well spent? Robert Scoble thinks it’s too early to say whether brands will see a major return on their EA investment. “It’s something fun to play around with, but that’s all I’d be doing right now if I were a company,” Scoble said. “That said, you could get a lot of PR by playing around with services in early stages of the game. Everyone remembers [the companies that were early to] blogging and Twitter. No one cares about the 3,000th one there.”

Intel is seeing results from being an early adopter. “As one of the first Fortune 50 brands on EA, we got first-mover credit,” explained Rhoads. “People noticed we were participating and were able to interact directly through the game with a very active, pre-existing community. It’s very satisfying to invest in that community and I think gratifying and perhaps surprising when a brand re-invests back in you. As far as results are concerned, it’s hard to tell.”

While larger companies are always among first adopters for new social networking sites because they have more resources and staff, the true test will be if smaller companies will flock to EA as they have to Facebook and Twitter. Most companies will likely need harder evidence of return on investment in order to justify getting into the game

4. Optional: Determine which outlet gets the scoop In today’s media landscape, a story covered 15 minutes ago by another blog can already be considered old news. Therefore depending on the type of news and the market you’re in it might be wise to give one specific media channel the scoop.

5. Send personalized emails to journalists, under embargo If you decided not to give the scoop to a certain blog you can still let journalists know about your announcement before you actually make it public.

6. Write draft emails In the previous step you have probably only sent out the news to a handful of contacts on your contact list.

7. Make the announcement When the day finally comes, you can publish your press release (or have it published automatically if you’re using the schedule option).

8. Distribute your press release In a previous step you set up draft emails for all your PR contacts, now is the time to send them.

9. Thank the people that covered your story Congratulations! Now that your press release is out in the open you should see some coverage happening. Be sure to enjoy all the free publicity your company receives and thank the people that cover your story via a personal email so you can start building a relationship with them for your future press releases.

The other option, and probably most common, is to have someone or several folks dedicated to “product management.”  That probably makes sense in larger organizations or as companies grow,

However, I personally think that this is very dangerous for an early company, and I’d go so far as to say it’s a major red flag.  Here’s an example of what you want to avoid

it’s a good sign and highly preferable if the founders focus and own the product process.  Ideally they’re also able to “go deep” and be involved in the entire product management process, writing the specs for engineering teams, managing the priorities, etc…

I think the founders of a startup need to be very cognizant and controlling of the product management process, at least until you become a larger organization, and avoid the temptation to hire “someone dedicated to product.”  In my experience, the more people/layers you add to the process and the further the founders step away from the product management the process, the worse the outcome.

smaller nonprofit organizations have the same needs that the larger ones have

virtual volunteers.-Volunteermatch.org -Networkforgood.org -Charityguide.org -icouldbe.org -Onlinevolunteering.org -Serviceleader.org -WorldVolunteerWeb.org -Youthxchange.net

For example, if you are in need of a graphic designer you might be able to find a virtual volunteer half-way across the country willing to design your fundraising promotional materials.