How UX Creates Measurable Business Value

ROI (Return on Investment) measures how much return you get from the money you invest. In UX, it simply asks:

What does the company gain in return for the time, money, and resources spent on improving user experience?

The benefits can include:

• Higher conversion rates

• Reduced customer support costs

• Faster development cycles

• More loyal customers

How Do You Calculate ROI?

The simplest formula looks like this:

(Return – Investment) / Investment × 100%

Why multiply by 100?

Leaving out the ×100 gives you a decimal. For example:

If you invest €10,000 and get €12,000 back:

ROI = (12,000 – 10,000) / 10,000 = 0.2

0.2 × 100 = 20%

(The percentage format makes it clearer — you gained 20% over your investment. Technically, 0.2 is correct, but percentages are more intuitive in business contexts.)

As Nielsen Norman Group reminds us, perfect accuracy isn’t the point. What matters is the direction:

UX improves business outcomes, and its value can be estimated well enough to support decision-making.

How UX Delivers Business Value

Better Conversions

A clear, intuitive UI guides users toward their goals — whether it’s purchasing, registering, or contacting you. This directly impacts revenue.

More Efficient Development

Good UX reduces rework and errors, saving time and money. Every unresolved UX issue compounds later, becoming more costly to fix.

Lower Support Costs

An intuitive product needs less documentation and customer support — especially valuable for complex B2B systems.

Higher Customer Retention

Happy users don’t churn. This boosts lifetime value and creates upsell opportunities.

Faster Adoption

Great UX reduces training needs and helps teams onboard faster. It cuts hidden costs that are often underestimated.

What If You Don’t Invest in UX?

• Customers leave for competitors

• Support costs spiral

• Development slows into endless iteration

• Internal efficiency suffers

  
  

Neglecting UX can cost more than improving it.

Conclusion

UX is an investment — not an expense.

Its return can show up in revenue, efficiency, and customer satisfaction.

Even when ROI is hard to calculate precisely, its business impact is undeniable.

UX is no longer a luxury — it’s a necessity. But great UX? That’s what sets you apart.

Sources:

• Moran, K. (2020, September 6). Three Myths About Calculating the ROI of UX. Nielsen Norman Group.

  https://www.nngroup.com/articles/three-myths-roi-ux

• Nielsen, J. (2025, March 20). Declining ROI From UX Design Work. Substack.com.

  https://jakobnielsenphd.substack.com/p/low-ux-roi