UI/UX Mistakes That Surprised Us with Their Costliness

In today's digital age, user experience (UX) and user interface (UI) have become essential elements that determine the success or failure of a product. Even the slightest mistake in UI/UX design can lead to catastrophic consequences that can cost companies millions of dollars. Let's take a look at some of the most expensive UI/UX mistakes that have surprised us.

• The $500 Million Button

In 2014, a Canadian provincial government website that was supposed to allow citizens to renew their driver's license online experienced a UI/UX mistake that cost the government a staggering $500 million. The mistake was a simple checkbox that was missed by the development team, which resulted in the government issuing duplicate driver's licenses. The mistake was only discovered after two years, resulting in millions of dollars in wasted resources.

• Apple's iOS 6 Maps

Apple's release of the iOS 6 Maps application in 2012 was a significant UX mistake that cost the company its reputation and millions of dollars. The application had inaccurate and incomplete mapping data that caused significant problems for users who relied on it for navigation. The mistake led to public backlash, a public apology from Apple's CEO, and the resignation of the software executive responsible for the app.

• The Obamacare Website

The launch of the Obamacare website in 2013 was marred by significant UX issues that resulted in a disastrous launch. The website had numerous UI/UX problems that caused significant delays, incorrect information, and user frustration. The mistake was a significant setback for the Obama administration, leading to a drop in public opinion and the need for an extensive redesign.

• The Pentium Floating-Point Unit

In 1994, Intel made a significant UI/UX mistake in the Pentium floating-point unit that resulted in significant financial losses for the company. The floating-point unit was a component in the Pentium processor that caused calculation errors. The mistake was only discovered after a few months, leading to a massive recall of the affected processors and costing Intel millions of dollars.

• User Registration Worth $300M

In 2009, a minor UX mistake caused a major e-commerce site to lose $300 million. The mistake was prompting users to sign up or sign in at checkout, leading to frustration and cart abandonment. Allowing guests to check out increased purchasing customers by 45%, generating $15 million in revenue the first month and $300 million over the year. Now, checking out as a guest is a common best practice. Bad UX can have significant consequences for entire industries, with the e-commerce industry losing $1.42 trillion from 2016 to 2020. Prioritizing UX design and avoiding mistakes is crucial for revenue and customer satisfaction.

• $51 Million For Too Simple In-App Purchases

In the early days of free games, children could make in-app purchases without their parents' knowledge, resulting in some kids spending hundreds of dollars before the transactions were discovered. This problem was found in Amazon, Apple, and Google app stores, and while Amazon argued they provided sufficient disclosures, this was not successful in court.

The solution was simple: implementing an additional layer of user authorization before in-app purchases could be made. The cost of this UX mistake was significant: Google refunded $19 million, Apple refunded $32.5 million, and Amazon's case was brought to court with the final settlement still unknown as of January 2021.

• Checkbox That Caused Shipwreck

A poorly designed checkbox in 2017 led to the John S McCain destroyer colliding with a Liberian tanker, resulting in the wreck of the destroyer and ten sailor deaths. The checkbox was used to adjust the speed of propellers, allowing the ship to be steered without using the rudder. However, it was usually kept checked, as the rudder was more convenient. The checkbox was likely accidentally unchecked, causing confusion and the crew's inability to steer the ship. Within four minutes, the situation worsened, leading to the disaster.

The author of the investigation, Adrian Hanft, proposed several solutions that could have prevented the accident, such as sliders uniting when the checkbox is checked, a warning when unchecked, or using a button instead of a checkbox. Unfortunately, no one proposed these suggestions before the accident. The cost of repairing the ship was estimated to be $223 million.

• $1.85 Billion Loss Due To The Wrong Question

In 2009, Walmart conducted a survey asking customers if they wanted the store to be less cluttered. However, the survey only had a closed yes or no response. As a result, Walmart removed 15% of its inventory, resulting in a $1.85 billion loss in sales and the team responsible for the decision being fired. If Walmart had used an open question instead, such as "What should be changed in Walmart?" the outcome may have been different. Open questions are now the standard in user interviews for design teams. In 2015, Walmart raised its employees' wages to increase sales, but our company's clients look for technological ways to increase profits.

• Poor Design That Allowed a $900M Transaction

Can a person still lose millions of dollars in 2021 due to poor design? Unfortunately, yes. Citibank, a global financial institution, experienced a costly mistake in August 2020. Three of their employees made a transaction to a creditor and instead of transferring $7.8M, they sent $900M. The software provided a warning, but it didn't include the transaction amount, and the employees didn't notice anything wrong when reviewing the transfer screen. Citibank demanded the recipient to return the money, but they refused. The matter went to court, and in February 2021, a federal judge ruled that the recipients are not obligated to return the funds, although Citibank plans to appeal.

• Even A Wrong Color Can Worth Too Much

The previous examples illustrate the costly consequences of UX/UI mistakes. However, small changes can also make a significant impact, even in terms of saving lives. For example,

1) A redesign of the Buy button on a mobile site led to a $500 million increase in annual revenue.

2) Another instance involved changing the color of links on Bing, which generated around $80 million more in advertising revenue.

3) Sadly, the complexity of software caused three experienced nurses to overlook an indication that a patient undergoing chemo required rehydration. As a result, the patient passed away after three days.

Bottom Line

UX/UI case studies often highlight major failures, such as Avon's $125 million loss due to a failed CRM implementation. Redesigning can be risky, as seen with Digg's 2010 shift to social networking, leading to a significant drop in user base and eventual sale for $0.5 million.

Similarly, Marks & Spenser's £150 million website redesign resulted in an 8.1% sales loss and £200 million loss due to technical glitches and a shift from e-commerce to entertainment.

Instead, an evolutionary design approach with iterative improvements can minimize risks and find effective design changes. As a design and prototype company, we offer plans designed for first-time clients to maximize the value of our services and evaluate our approaches.