Art meets commerce (Part one) – Overcapitalisation

This year I’m undertaking the mammoth task of renovating an old weatherboard cottage in beautiful Coffs Harbour. The property is in desperate need of attention and is, almost literally, falling apart.

Being a creative director, my imagination tends to run wild when it comes to the many things I’d love to do to the house. Where others see a crumbling heap of mouldy boards and rusty nails, I see a crumbling heap of mouldy boards and rusty nails – but also loads of potential. As I gather ideas and mull over concepts for ‘the master plan’, the renovation process has certainly begun.

Friends who have done quite well for themselves in property development have warned me against what they call overcapitalisation. This would mean the unfortunate result of spending too much money and/or time on the project and not getting the funds back in increased property value and rental return.

But how much is too much?

Doing your research and knowing your market is crucial.

It’s not dissimilar in the world of custom publishing. Here, there are five key points to consider if you’re to achieve maximum engagement and not overcapitalise on the design aspect of your projects.

Revenue. How much will be brought to the agency/business? Does the level of design reflect this? Ensure you set a realistic budget, considering the scope of the project.

Resources. How long will it take to design, who will be designing it (how much do they charge) and when will you need it?

Realism. ‘Keep it simple, stupid’ is a solid design principle, worth its weight in gold. If design doesn’t need to be complicated, don’t let it become that way. Be realistic about the ways in which your content is presented, and always consider your target audience.

Research. This is a crucial part of any new design project, but only do as much as your budget allows for – time, after all, is money.

Reiteration. If a ‘refresh’ of your content is needed, ensure a clear design brief is created and signed off by all parties. This way, everyone is on the same page with respect to costs, expectations and deliverables.

So, just as I do with content that has the potential to be ‘pimped out’ but needs to stay within budget, I think I’ll go back to the drawing board with my renovation plans. Perhaps a simple flat-pack kitchen, a fresh coat of paint and some inexpensive but inoffensive white tiles will suffice.

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