[grantph]

I prefer a hybrid solution. 99designs to weed out a good designer. For me that tends to mean good comprehension, a knowledge of how to use their tools and their unique style (each designer tends to certain styles).

A contest on 99d is simply a precursor to further work. Once I find the designer they will earn a lot more than the prize on offer. I find this to be more effective than big agencies because they are hit and miss - but way more expensive when missed!

I have also used 99d to simply browse successful projects and approach designers directly without a contest. Sometimes they have a style I like, so I hire them.

With regard to "design" - I ALWAYS separate functional from aesthetics. Most "web designers" that I've encountered have no clue when it comes to function and process. Safer to give them a wire frame and let them make it pretty. If you can't come up with a sensible wire frame then your website has bigger problems than how nice it looks. I always think Hollywood for design: story, storyboard then production. A designer can't provide the story - you must do that!

[sgdesign]

Have you considered that maybe the reason the designers you encounter have no clue about function is precisely because you find them on 99Designs?