USA Today

Since the rapid digitization of the industrial design industry has occurred, product visualization and conceptualization have transformed significantly. Without the need to painstakingly develop designs on paper, more industrial design firms have been created. As a result, the market has become more competitive and demanding for newcomers entering the sector. For industrial designer Bryan Fox, founder of Tangent Design Group Inc., designing great products isn’t enough anymore. To survive this landscape, companies must foster unique and innovative offerings that differentiate them from the masses. Without this edge, industrial design firms will struggle to sustain company growth and expand into new markets.

In 2018, 1.2 million industrial design business applications were filed worldwide. This staggering number has increased over the years, especially in Asia where industrial design costs are often cheaper than in the US. After seeing this trend, industrial design firms must be agile in developing new growth streams for their company. Bryan has strategically protected Tangent’s position in the US market by focusing on larger, more expensive products that can’t be easily shipped from overseas.

Bryan’s interest in digital innovation first started when he worked as a design consultant in a local organization. He noticed the rise of tablets being used by other designers and decided to build his own industrial design company that adapts to the changing era of digital design. Bryan founded Tangent in 2003 and started working as a freelancer, collaborating with other talented designers. Tangent’s main focus is industrial and transportation design. The company has designed products in the industries of automotive and recreational vehicles, marine vessels, agriculture equipment, and consumer products.

Taking further steps to safeguard Tangent’s future, Bryan ventured into new markets. Aside from its industrial and transportation designs for clients, the firm also creates and manufactures original products and licenses out their designs, enabling alternative revenue streams for the firm. Bryan coined these alternative revenue streams as ‘Alt Revs’. The Alt Revs strategy has opened up a whole new dimension for the firm’s growth. It has provided access to new partnerships and licensing opportunities, enabled the creation of innovative products, and leveraged ancillary services such as 3D printing, laser scanning, virtual reality, and AI.

From Bryan’s standpoint, acting on these opportunities in the marketplace can greatly help industrial design firms sustain current operations and make plans for future growth. While Alt Revs may not provide the same benefits to each firm, expanding specializations to newer, more in-demand services will greatly increase the company’s likelihood of weathering marketplace difficulties.

Bryan’s passion for design enabled him to see a gap in the industrial design market very early in his career. Despite the benefits of a flexible design process, many firms held their teams to restrictive models of creation. This hampered innovation because many designers entered this field to bring exciting ideas to life. Tangent offers a creative space for designers and clients to develop products freely. Bryan notes that the company’s unique knowledge of the manufacturing process ensures designers develop products that are as cutting-edge as they are feasible.

Since Bryan has prioritized Tangent’s work with Alt Revs, the company has seen significant changes in cash flow and overall performance. Over the last five years, the Alt Rev streams’ revenue alone has surpassed Tangent’s combined core design services. This enabled Tangent to receive stable and linear revenue compared to the intermittent support traditional industrial design projects would provide.

“In addition to providing high-quality industrial design services, all firms in this space must begin examining where they’re falling short,” Bryan says. “With so many new companies entering the sector and a growing number of offshore competitors, a firm can only thrive if they are constantly looking for ways to improve. “Tangent has already strengthened its market position by expanding into Alt Revs, but we remain open to exploring additional opportunities to ensure the company’s long-term sustainability. I recommend that other firms adopt a similar strategy to safeguard their future,” states Bryan.

Emerging technologies are drastically changing how every industry operates, and industrial design is no exception. Whether integrating AI or other digital technologies, it’s essential for organizations to consider how future trends and increasing competition may impact long-term success. As Tangent founder Bryan Fox suggests, exploring new markets and increasing the consistency of cash flow is an easy way to sustain current operations and make way for complex future growth.