Design as a Service vs. traditional design activity


Design as a Service (DaaS) has changed the way companies acquire and manage their design resources. It offers a flexible, cost-effective and scalable alternative to traditional hour-by-hour design services. This article compares DaaS to traditional design solutions and examines how DaaS is priced compared to traditional designs.

Basic principles of Design as a Service (DaaS).

Design as a Service (DaaS) is a modern and lean approach to providing design services, where companies pay a fixed monthly fee to receive a comprehensive range of design services. This model differs from traditional design activities, where clients are often charged an hourly rate or a project-specific fee. 

With DaaS, companies can solve their ongoing design needs without having to worry about project-specific prices, scopes or schedules. This model enables better budgeting and predictability, as all services are included in the monthly fee, with the exception of fixed entities offered as an exception.

Design as a Service vs. traditional design activity

Pricing

In traditional design activities, pricing is usually based on hours worked or project-specific costs. This can lead to unexpected additional costs and make it difficult to manage the budget. For example, the customer can pay separately for design hours, additional changes and other services that were not included in the original contract. However, the most difficult thing about the hourly model is that the designer is constantly at the negotiation table with the client instead of focusing on the design work itself. Few designers want to be a salesperson, so our model gives designers an even better opportunity to apply their own substantive knowledge.

The DaaS model offers a fixed monthly price that covers all design services, except for separately agreed working hours. This pricing model is based on the value produced.

Flexibility and scalability

Traditional design activities can be rigid and limited to project-specific contracts and deadlines. The DaaS model offers companies considerable flexibility and scalability. Companies can easily change their service packages according to their needs, add or reduce services and react to rapidly changing business needs without long-term commitment.

Resource management

In the traditional model, managing design resources can be challenging, especially when projects are separately priced and time-limited. In the DaaS model, companies constantly have access to a design team that can quickly react to the needs of different projects. This can reduce stress related to resourcing and improve project turnaround time.

Case examples of DaaS benefits

Startup company : For a small startup with limited resources, the DaaS model is the most affordable way to acquire senior-level design expertise. Often, the design needs of a small company are not full-time either, so a fixed monthly fee for the company is often a risk-free and more flexible option than hiring your own designer. The company can start with the BASIC package and add services as needed when the company grows.

Medium-sized company : Medium-sized companies that need a wider range of design services can take advantage of the PREMIUM package. This package offers the opportunity for more in-depth user studies and A/B testing, which can significantly improve the customer experience and, for example, online store conversions. Often this style of UX creation is quickly visible below the line, so it offers a good opportunity to also consider expanding your own design organization.

Large organization : Large organizations that need a comprehensive design strategy and internal training can choose the ENTERPRISE package. This option offers full-service design solutions, strategic support and training, which can be critical to an organization’s long-term success.

Summary

Design as a Service (DaaS) offers a modern and flexible alternative to traditional design operating models. A fixed monthly price, scalability and constant access to design experts make DaaS

an attractive choice for companies looking for an efficient and cost-effective way to manage their design resources. Compared to traditional models, DaaS offers clearer pricing, flexibility and better resource management, which can significantly improve a company’s design expertise and customer experience.



Janne Gylling
Creative Director • janne@jannegylling.fi