Digital Product Designer

How Profitable Is A Digital Product Designer? (Updated for 2024)

Pat Walls

•

Updated: October 6th, 2024

How Profitable Is A Digital Product Designer? (Updated for 2024)

So you want to start a digital product designer?

And the first question that came to your mind was, “well, are digital product designers actually profitable?”

With a market size of $12.7B - there’s plenty of business to go around.

Especially considering:

You could start a digital product designer with as low as $5
Based on our data, digital product designers generate an average of $1.07M per year

There’s money to be made. Don’t worry.

But, I don't want to spoil it all. Below we’ll cover everything you need to know when it comes to the profitability of a digital product designer.

Let’s dive in!

Is a digital product designer profitable?

Yes, a digital product designer is generally a profitable business. However, you still need to consider several factors since these things always impact the overall outcome.

For instance, since average revenue is $1.07M per year with an estimated gross margin of 93%, you could expect to recover your investment within 7 months or even less.

But of course, it all comes down to how much you earn compared to the potential revenues of your digital product designer.

To determine whether your business is profitable, you should earn more than your expenses in the beginning months. However, while you're in your first month, it can be challenging to know what to expect.

Therefore, you should maintain a record of your monthly expenses and income to determine whether you're meeting your goals. By doing this step, you can see how your digital product designer is doing and if any changes or adjustments need to be made to enhance or maintain your efforts.

Is a digital product designer worth it?

If you’re wondering if a digital product designer is worth it, the answer is a big YES. With digital product designers, you have the potential to earn $1.07M per year (this is based on data reported by real founders).

Further, you could have your initial investment back within months. Simply put, it’s a business worth a shot, especially if you have the resources and make the necessary efforts to achieve or surpass the target.

With a market size of $12.7B, it will be possible for you to build something that grows and turns into a flourishing business. As such, it’s the type of business you might want to consider starting.

Of course, you must learn and understand every aspect of running a digital product designer to ensure success. Still, as long as you have the initial investment and can endure a few months before your actual gains, this business could be worth it.

You might want to consider reading more specifics about successful digital product designers case studies.

Examples Of Profitable Digital Product Designers

Here are a few examples of profitable digital product designers, and a few more details about them:

1. VecRas Creations Pvt. Ltd. ($144K/year)

Spotting a gap in the booming gadget skin market, graphic designer Sunil Aggarwal launched VecRas in 2007 to supply essential digital templates, transforming a $1,000 per month start into a $20,000-$30,000 revenue stream with a nationwide customer base.

Is it profitable? Yes
How much money it makes: $144K/year
How much did it cost to start: $15K

How I Started A $12K/Month Business Designing Phone Skin Cut Files

Founder Sunil Aggarwal started VecRas in 2007, a digital design company that provides Vinyl Ready Vector cut file templates for skins and Smart PSD mockups for mobile devices, which initially did $1,000 per month and now expects $20,000 - $30,000 per month with customers growing nationwide.

Read this case study

Read by 9,947 founders

2. Huemor ($3M/year)

Example: Jeff, the co-founder of Huemor, started his journey as a graphic design student who freelanced to gain experience and earn money. After feeling unfulfilled in a corporate job, Jeff joined forces with a friend to build an internal agency for a media placement company. When the work environment turned toxic, they made a bold move to start their own agency, Huemor, and haven't looked back since. They've helped over 200 companies transform their digital presence and earned over 100 international awards, while maintaining a simple, customer-focused approach.

Is it profitable? Yes
How much money it makes: $3M/year
How much did it cost to start: $0

How We Started A $3M/Year Digital Marketing Agency In Just 90 Days

Huemor is a successful digital marketing agency with over 200 company transformations, over 100 international awards, and a team beyond 40 people, scaling YoY at 74%, with an average project value of $67,500 and 2.7 year average client relationship.

Read this case study

Read by 4,422 founders

Learn more about starting a digital product designer:

Where to start?

-> Digital product designer plan
-> How to finance a digital product designer?
-> How much does it cost to start a digital product designer?
-> Pros and cons of a digital product designer

Need inspiration?

-> Other digital product designer success stories
-> Marketing ideas for a digital product designer
-> Digital product designer slogans
-> Digital product designer names

Other resources

-> Digital product designer tips

How much can you make with a digital product designer?

With a digital product designer, you can make an average of $1.07M revenue per year (based on data reported by real businesses).

You can start with an initial investment as low as $5. Then, with proper knowledge and sustained effort, you could have an ROI (return of investment) within 7 months.

How much does a digital product designer make a week?

Based on our data, average weekly revenue for a digital product designer ranges around $22.3K. As such, you could see monthly revenues of $89.1K.

To know if your digital product designer achieves the weekly profit target, you need to keep track of the total earnings you get per day. Afterward, you'll want to consider subtracting the expenses you have daily.

Learning your weekly profit can also show whether you're hitting your target goal for your digital product designer.

How much do digital product designers owners make?

The income of a digital product designer owner can vary depending on various factors such as location, size, competition, and the owner's business skills.

But to give you some idea, the weekly revenue of an established digital product designer is about $22.3K. But this can be lower or higher depending on so many factors - it's almost impossible to say exactly.

While the potential for earning a good income as a digital product designer owner exists, success in this field requires a commitment to providing quality products and services and building a strong reputation within the community.

Digital Product Designer Profit Margins

Generally speaking, a digital product designer can expect profit margin of around 93%. Profit margins refer to the percentage of revenue that remains after deducting all expenses associated with running a business. In the case of a digital product designer, profit margins can vary depending on various factors, such as the type and quality of products sold, the size of the store, and the level of competition in the area.

However, these figures can vary depending on the pricing strategy, inventory management, and overall efficiency of the business. To maintain healthy profit margins, digital product designer owners must focus on managing costs, negotiating favorable supplier terms, and providing high-quality products and services to attract and retain customers. By doing so, digital product designer owners can ensure long-term sustainability and profitability for their business.

Digital product designer owner salary

The salary of a digital product designer owner is an unpredictable figure. It's significantly influenced by numerous factors, including the store's location, its size, and the degree of competition. An owner of a well-established digital product designer, in a prime position, might see an average weekly salary around the ballpark of $20.7K.

But it's worth noting, such numbers aren't always consistent. The earnings can vary wildly, potentially swinging by as much as 80% either way.

Achieving consistent success and maintaining a reliable income stream in this industry requires a deep commitment. It's imperative to offer high-quality products, deliver impeccable customer service, and nurture a trusted bond with the community you serve.

Conclusion

In a nutshell, based on many of our examples, a digital product designer may be a promising business to start - but the success of your digital product designer mostly depends on your effort and your approach.

If you focus on these, you'll have a much higher chance of a profitable digital product designer.

Part of

Becoming A Digital Product Designer: Everything You Need To Know

‹

›