How We Started (and Grew) Our Firm: 4 Designers Tell What They Didn't Learn In School
 


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by Linda Cooper Bowen

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Guest contributor, Linda Cooper Bowen, is a business consultant specialising in design marketing, an author and a teacher. Her articles have been published in Graphis, Communication Arts, I.D., HOW, Print, the AIGA Journal, the SEGD Journal and the Icograda website.

Although design school students devote much of their senior year preparing portfolios to launch their careers, few art schools also offer professional practice or marketing. Schools tend to produce employees, "hands-for-hire", leaving young designers totally ignorant about the realities of running a design business. In good economic times as well as bad, not all graduates will find jobs. After months of freelancing, some will be "kicked into business", starting their own offices with little more than talent, personality and an appetite for risk.

The following four firms in Toronto, San Diego, New Jersey and Seattle range from a relatively new 3 1/2 -year old practice to a 20-year-old company. These designers all share important traits that have made them successful businesspeople as well as creative communicators. They are smart enough to know when and where to find help and information about things they admit not to know. Each one is confident and optimistic, this allows them to persevere through the dry spells, to market themselves aggressively, and manage their finances wisely. Two of the four offices selected are husband and wife teams, UP Design, Montclair, New Jersey and Phinney/Bischoff, in Seattle, Washington. Bennett Peji of Peji Design in San Diego does not have a partner, and in Toronto, Vanessa Ekstein of Bløk Design, says she is quite content in her solo practice. What is memorable about everyone here is the passion and energy they express about their relationship to their business.

Designers who want the security of a regular paycheck and have no entrepreneurial urge to run their own office, are happier working for a large design firm or a corporate in-house department. Unlike school, where projects are simply assigned, if a design firm wants work it has to go out and get it. Many young designers totally underestimate the effort it takes to get and keep clients. This process will continue throughout the life of the company even though there will likely be repeat business from existing clients. Marketing and self-promotion consist of more than sending out Christmas cards and creating a web site, this is an ongoing, time-consuming strategic program. Designers who see this as an enjoyable game, as well as an opportunity to demonstrate an ability to think beyond solving two or three-dimensional design situations market their services with great success.

Bløk Design, Toronto

Vanessa Eckstein started Bløk Design 3 1/2 years ago after moving to Toronto from Los Angeles. "I opened the studio alone and although it is a lot of work and responsibility, the business has had a simple, uncomplicated growth," she explains. "Perhaps I have missed the intellectual rapport one may find in a partner, but I have many business friends to share ideas with. Our first job, an identity for Industry Films, a film production company, was through a referral. This was a great project, memorable not only because it was the first, but challenging and fun in every aspect. We were involved in the entire process from naming to working with an interior designer to ensure consistency between the identity and the space. The experience definitely shaped the direction of our studio and we continue to invite such collaboration with architects, product designers and filmmakers."

The concept of collaboration extends to the open layout of the studio that invites an exchange of ideas and debate with clients. Designs are pinned on the walls for everyone to interact with and this input may redefine the project. Eckstein believes that "Questioning lies at the root of our sensibility, and this is the primary impetus of our design."

The key to a good client relationship, according to Eckstein, is building a bridge of common interest through mutual respect, careful listening and the demand for quality. "We don't take on clients when we know that the experience will not be rewarding or interesting. Although we believe that design is the result of constraints and possibilities, we don't like work that is highly specified at the outset. Our team thrives when there is room for interpretation. Most of our clients are the result of word-of-mouth. We started to market ourselves when we realized that although our work was visible, nobody knew Bløk designed it. We created a small promotion piece featuring a single project, the identity and packaging for Caban, Club Monaco's new home store. The copy expressed our approach, our vision, and our personality as a company. Our idea was to make people wonder about us, it was an invitation. The mailing was sent to prospects that interested us. Either those similar to Club Monaco, companies we felt appreciated good design, or simply those whose products or services we admired. The response was amazing, and resulted in new clients and a great project."

So far the studio has not done a formal marketing plan it is more intuitive. Since Eckstein has established standards, she continuously contacts new prospects and has developed an active presence in the design and business communities of Toronto. "If you ask me what really sells us is the passion we have for our work. Our team shares a commitment to enjoy the process, explore, push the boundaries and rethink our preconceptions. We are fundamentally idealistic which is a wonderful excuse to take risks."

Because Eckstein has takes great care to choose those who fit her profile, the strategy of staying small and very selective works. To young designers intent on opening their own shop she says, "Believe in what you do and how you do it, even if it is not the conventional way. Present yourself honestly, it's a rare quality. Talk about what you know, ask when you don't, keep an open mind."

About the business, "Be smart about how you structure your company. Build a well-organized, smooth-running business. Grow slowly and personally keep small. Don't force yourself to have to accept jobs just to cover the overhead. Don't borrow money. Save money when you are prospering. Free yourself from economic pressures that can affect your decisions, always remember why you started your business in the first place." As we go to press, Eckstein has announced that she is opening an office in Mexico City. A former Canadian client who recently relocated to Mexico has hired Bløk Design/Mexico for their first project, the identity of Centropa, a new film company. "Design should be crossing not only markets but cultures," she says.

UP Design, Montclair, NJ

UP Design is the partnership of Wendy Peters-Underhill and husband Gary Underhill. Although the firm started with jobs from their previous employers; an insurance company and a medical publisher, their first new client, The New Jersey Symphony, was the result of cold calling and sending out samples of their work. "Those first few jobs were an education in production. Finding the right vendors is critical to making the job go smoothly." says Peters-Underhill. "We also learned that just because a client initially appeared to be creative and open to new ideas, this was not necessarily true. Today our ideal client is organized knows what they want and demands high standards. They are also personable, appreciative, encourage and relish teamwork, and recognize our expertise and how it can benefit them." It has taken years of experience for UP to identify these qualities that make a good match, a balance between an enjoyable working relationship and a respectful professional alliance.

From their start eleven years ago, UP demonstrated a youthful enthusiasm for marketing on a shoestring budget with playful, often handmade mailings. They still send out memorable promotions at least twice a year that allow them to express their creative thinking. "When we get frustrated with our present client roster, or lack of, we refocus, identify new prospects and start making calls." Like most design firms their marketing plans have been loose. Peters-Underhill explains, "When we were a smaller firm it was easy to just talk about marketing ourselves and we would all sort of live it. As we grow, we find that it is important to have a marketing plan as well as a business plan. They are the foundation of our business. Even if we don't follow our plans exactly, they help us to define where we are headed and how to get there."

The partners have found that one was better at account management and selling, the other better at running the office. Gary is the primary client contact; Wendy is responsible for developing the strategic process for the business. "A major disadvantage to our partnership is that we both have an art school background. The business stuff we learned as we went along, and of course we made mistakes. We have learned a lot from business-oriented publications, and rely on advice from our accountant, financial planner and lawyer."

At the beginning of 2002 they hired Paul Wry who had 15 years of agency experience in sales and marketing at Bozell Jacobs. "We were very lucky to find Paul. His background is just what we need to help us grow the business and provide a broader range of client services."

UP considers itself to be more of an 'agency' than strictly a graphic design firm. They now offer strategic planning as well as collaborating with clients on broader business issues. They aren't specialists or generalists, but recently have identified 3-4 project categories to focus on. This helps in their hiring practices and marketing as well as long term planning.

To differentiate their services, UP has developed a working partnership model called The UP Process. This is designed to focus team thinking, research and design to achieve a mutually successful outcome. They encourage client feedback with debriefing sessions at the end of projects. "By involving clients in the process, we know our results are not accidental. When we began our office we picked companies we wanted to work for and went after them. Now we market our business around the way we work rather than the work we do," says Underhill.

Should design schools offer marketing and professional practice courses? Absolutely! Both partners agree that anyone graduating today must have a basic understanding of how a business operates, how to deal with vendors, basic sales and marketing skills and knowledge of simple accounting practices. Peters-Underhill offers this advice, "Before you go out on your own, work for a few offices first. Read as much about business as you do about design and make sure you have the confidence to sell yourself and survive rejection."

Bennett Peji Design, San Diego, California

Bennett Peji landed his first client 15 years ago while still in his senior year at San Diego State University. A rep mentioned that her company was reviewing agencies for a new corporate identity program. Peji made an appointment to meet with them and spent $50 on his first briefcase. "I wore my only sport jacket and pitched my heart out about the process of design. Although I was competing against 2 established firms, I got the job. Since I had never even free-lanced before, I needed help on pricing and contracts so I referred to the handbooks published by the AIGA and Graphic Artist's Guild.This first client became an account that lasted 7 years."

What Peji lacked in experience he made up for in energy and resourcefulness. "I told the client it would take 2-4 months for the first designs, because I needed that much time to learn how to do it. I checked out every book on CI in the campus library and spent the client's 50% deposit on more design books. With these 30 books, I gave myself a crash course on identity design. Even though I was completely inexperienced, I was not going to let the client down, I'd become expert and do it right. I was also blessed to belong to an association of professional designers, (AIGA) who provided me with invaluable advice."

Peji has become a specialist in brand strategy and development. He thrives on the process of discovering the essence of a client's brand and developing this into a cogent message. For him the ideal client must be as interested in the design process as in the solution, and together they define the parameters of the project. Analysis and research streamline the creative process; "We don't waste time pursuing inappropriate directions. In fact, if the analysis is comprehensive, the perfect solution may emerge by itself."

It takes courage to meet a prospective client and not show a portfolio, but typically this is what Peji does, "If I show a portfolio for their 'review', I have just surrendered the power of aesthetic judgement and they don't yet understand the marketing context of the work." By positioning Bennett Peji Design as an 'expert partner' and explaining what design can contribute to their business, he engages the client in a dialogue about the value of the company's marketing message.

Confident about expressing himself verbally as well as visually, Peji has chosen not to mail out self-promotions. His marketing plan is primarily based on relationship building and high visibility; existing clients have referred most new clients. He is an active board member of organizations including the Public Arts Committee of the City of San Diego Commission for Arts and Culture, CityMoves and the Baja California Missions Foundation. Peji is a consultant to the San Diego Performing Arts League, Business Volunteers of America and the American Express National Arts Marketing Project.

A former president of the San Diego chapter of AIGA, Peji and has served on its board for 10 years. He teaches advanced graphic design at San Diego State and Baja California, where he counsels his students on how to take control of their careers. "Be involved in your design community, you must know what's going on. And become active in your community at large. Great designers live fully realized lives with a genuine understanding of their world. This is reflected in the authenticity of their work. Learn what major changes are shaping the design industry and position yourself to participate. Think outside the 'design box'. Simple mindshifts can lead to innovative ideas. Envision an important goal and do whatever it takes to get there."

He also believes that design schools should offer courses in marketing or professional practice. "A designer needs to be able to speak about design and business in the client's language to communicate effectively." Other than graphic design talent, what else does a designer need to be successful? "Psychology, sociology and management are useful subjects as well as business courses," he says, "but the most important is an ability to discover why your client is passionate about what he does."

Phinney/Bischoff Design House, Seattle, Washington

The choice of the name "Design House" gives a decidedly pragmatic, family business feeling to this company. As a husband and wife professional partnership they are able to capitalize on each other's strengths and weaknesses. "There are many advantages in this arrangement," says Leslie Phinney who heads the 20 year-old firm with Karl Bischoff, "It is invaluable."

But the pair has been realistic about their shortcomings. "As creatives, we felt that we needed a true business person as a partner to assure the future viability of the business," Karl adds, "So we have now added a third partner, Director of Operations, Daniel Thompson to create the necessary balance. It is a serious responsibility to keep folks employed. Not only do we have to keep work coming in, we have to consider our staff's mortgages, day care costs and car payments. One partner manages print and brand design, one manages interactive communications and the other takes care of all administrative responsibilities. Future succession plan levels include Partners, Principals, Associates and Staff, with defined steps that can take a person to a higher level."

Phinney/Bischoff appreciates clients who already understand the power of design. Phinney explains their targeting formula, "FOP: Fun, Opportunity, Profit. We look for nice people, great creative opportunities and profitable accounts. 2 out of 3 of these is acceptable, but all three is ideal." "In our marketing outreach," Bischoff adds, "We are looking for best-of-class clients. We don't go after 50 insurance companies, for example, but the one that we can partner with to make the biggest creative contribution possible. This stimulates our designers and strategists and keeps our approach fresh."

The firm's sales promotion and marketing efforts to keep themselves among the considered set of candidates includes periodic mailings, press releases, and speaking engagements. They believe that client-focused communication is important and make telephone and personal visits to maintain the relationship. There is a structured, but no formal marketing plan. "Basically it is a matter of keeping a marketing mindset," Bischoff says. "We focus on who we are; our skills, capacity and organization, and our competition. Our cultural and creative goals express who we want to be without losing sight of what our clients' immediate and future needs may be." "Success comes from doing your best work and building lasting relationships," Phinney advises young start-up firms. "And differentiate yourself from your competition on all levels. Learn the language of your clients." Bischoff adds, "Don't be afraid to pipe up about ideas you may have to help the client. Yes, at first you will probably start out as 'hands' for them, but you can move into a thinking role in the relationship and retain them as long-standing clients."

On a hopeful note, Bischoff says that he sees more design schools offering courses in marketing and business practices. "When I got out of school they told me that there was always room at the top. Unfortunately, thousands of others were being told the same thing. It's unfair to put young people in the real world without survival skills." Bischoff is committed to making a positive contribution to the design business community, and in June he was elected President of the Association of Professional Design Firms. "As a group, APDF has been putting together a curriculum and lecturing at the art schools on this subject. The more students are prepared to serve clients, the better chances they will have to survive as professionals." Phinney believes that although student designers must start by learning their craft, there is much more to learn to bridge the gap between design and strategy. "What is the message the client needs to communicate? What is the Big Idea?"

Even if a young designer has had the benefit of an education that included business and marketing, chances are much of what you have learned will be changed or obsolete within 5 years. It is necessary to stay informed about the changes in technology and production as well as the latest economic and design trends, so you must continue to update and fine tune your system as sort of a fitness program for design firms. There is no single formula for success. Each company is a unique combination of vision, personality and talent.


Linda Cooper Bowen, copyright 2002. Reprinted here with the permission of the author.

About the Author
Linda Cooper Bowen is a New York-based marketing consultant who writes about design business issues. A frequent guest speaker and workshop leader, she is the author of "The Graphic Designer's Guide to Creative Marketing: Finding and Keeping Your Best Clients" John Wiley and Sons, New York 1999. To learn about her consultant services, visit her at http://www.lindabiz.com


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Feedback by Jay Wing  Tuesday, 29 March 2005
"Thanks for an awesome website. I have been a Graphic Designer for a number of years, but nearly always suffer when it comes to the business aspects. The information provided will be an invaluable resource in the careers class I'm teaching my ROP (Regional Occupation Program) students who are interested in a career in Graphic Design."
 


Feedback by Debbie  Tuesday, 8 February 2005
"As I sit here, researching "Marketing Reports" because as a second year Graphic Design student, was assigned this project alot with a previous one of corporate Identity. Our client..hmmm it's our own graphic design program...frustrated beyond belief that we are having to do this in 2 weeks, even more frustrating, because we are not given any vital information on marketing to begin with. I am totally in agreement, that to become a "designer" out there in the real world, we need desperatly to know more about the "business" sides to graphic design...Very interesting reports!"
 


Feedback by Debbie  Tuesday, 8 February 2005
"As I sit here, researching "Marketing Reports" because as a second year Graphic Design student, was assigned this project alot with a previous one of corporate Identity. Our client..hmmm it's our own graphic design program...frustrated beyond belief that we are having to do this in 2 weeks, even more frustrating, because we are not given any vital information on marketing to begin with. I am totally in agreement, that to become a "designer" out there in the real world, we need desperatly to know more about the "business" sides to graphic design...Very interesting reports!"
 


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You can't be totally computer illiterate as you got into this website, found the article and typed a reply!! Best of luck with your work and 42 is still young!
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"The information contained herein is so informative to me. I am a South African artist, with extensive community work experience. For the past fifteen years I have ply my skills as an artist. However, I am still computer illiterate. I got such valuable insight from stories of the individual artistsgrahic practitioners, who shared their experience. In all honest, I was looking for a course to do overseas to improve my lot. At forty two, I don't think I am growing any younger. But, your stories are quite briliant, it was as if, I was interfacing with the individuals concern. Please keep up the good work you are doing. Such stuff is inspiring especially for individuals, such as myself, who are still living in the dark ages - becuase they are comuter illiterate. Hopefully some day like some of your contributors, I would be able to share my experiences. I am presently working in the area of AIDS using my work to mobilise particularly the youth. My ferverent wish is to run my own company, specialising in graphic design. I thank you, and wish you lots of success.

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Feedback by Marc  Tuesday, 10 February 2004
"While there definitely needs to be an element of business strategy taught in any vocational course, we need to be careful not to place too much emphasis on this area of training; not because it isn't important, but simply because, as it is now, less and less emphasis is being put into enrolling applicants who show genuine practical talent in design - the focus being more on harnessing skills in use of software applications.

With course terms being quite long these days, I don't see that introducing more extensive training in business skills is going to occur without the course duration being extended or, more likely, another element of the curriculum being cut back - and it certainly wouldn't be the software training that suffers."

 


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