Can you formulate an inspiring vision for your product?
Priorities and Values
- STAKEHOLDER MANAGEMENT*
Do you effectively engage the stakeholders of your product? Are your stakeholders aligned?
Do people support key product decisions? Do you select the most helpful decision-making approach for a given situation?
Can you effectively communicate product goals and progress? Do you actively listen with the intent to understand?
Product Lifecycle and Innovation
Solution Delivery life cycle
Do you know which innovation type your product represents, e.g., disruptive or sustaining?
- PRODUCT LIFE CYCLE*
Do you know the life cycle stage your product is in? Do you have data to back up your view?
- LIFE CYCLE STAGE*
Can you describe the impact of the life cycle on product goals, pricing, and marketing strategy?
- PRODUCT MARKET FIT*
Can you explain what it takes (or did take) for your product to achieve product-market fit?
- OKRs Team objective: article https://svpg.com/team-objectives-overview/
Benefits of Team OKR’s
-Move from the feature team model to the empowered product team model
-Stop doing manager objectives and individual objectives, and focus on team objectives
-Leaders need to step up and do their part to turn product strategy into action
1)We’ll discuss specifically how we empower teams through team objectives.
2)We’ll discuss how leaders manage a portfolio of risk by sharing with teams how ambitious they would like them to be as they pursue the problems they’ve been asked to solve.///sometimes it’s not about the level of ambition, but rather, we need to occasionally make what’s called a high-integrity commitment, and we need to discuss how these are made and managed.
3) we need to actively manage this work, always being mindful to manage by coaching and servant leadership, and not to regress to command and control style management, and lose the benefits of empowerment.
4)along with empowerment comes accountability, and we need to discuss what this means in practice.
- KEY PERFORMANCE INDICATORS (KPIS)* & METRICS
A KPI, or Key Performance Indicator, is also a measurement. Like metrics, KPIs must be very well defined and are also quantifiable. The difference is that KPIs relate to a specific strategic business goal and reflect how successful the business is in achieving that goal
Do you use the right KPIs to track the performance of your product?
User/traffic: how many users does the product have? How are they acquiring users?
Conversion: how effectively does the product convert a visitor to a user, a free user to a paid user, or a paid user to a more highly paying user?
Referral Rates: Do users refer other users? How often? Is the product viral?
Engagement: are users actively engaging with the product (posting, comment, playing …)? How often?
Retention: How often do users come back? How many users come back after a certain amount of time? For some products, visiting once a month is good.
Revenue: How does the product make money? How much money does it make?
Costs: Where does the product face costs? Does it require physical materials? What are its development costs? Does it face high support or sales costs?
In order to chose the KPIs you should look at product strategy and product road map goals
Example of business goals in the product strategy.
- Say I want to offer a product that reduces the blood sugar levels of individuals who have type-2 diabetes and that generates £50k of revenue within the first 12 months of launching the app. I would then ask myself how I can measure that the product creates the desired user and business value. To determine the former, I might choose user feedback, net promoter score (NPS), and referral rate as the key performance indicators. To understand the latter, I might select monthly recurring revenue (MRR).
Example of product goals I have captured on the product roadmap (a product goal is a specific and measurable benefit or outcome your product should achieve, typically in the next two to three months, every product goal should be aligned with the user and business goals in the product strategy)
- Say the goal of my initial product (MVP) is to allow the users to better understand their eating habits and acquire an initial user base. I would then look at the first part of this goal and ask myself if I need to introduce a new indicator. As I’ve already chosen user feedback, net promoter score, and referral rate, I would not add another metric at this stage. But the second part, acquire an initial user base, would require the introduction of a new KPI in order to understand if the acquisition goal has been met. To do so, I might measure market share, for instance, by tracking the product’s position in the appropriate app store.
KPIs for Saas Solutions
You should measure the change in a metric rather than the total value
User acquisition: how many users do we have? How (and why) has the user base grown overtime?
How many active users are there? How do we define what an active user is?
Where are users coming from? Are they referring their friends? Which channels are the most effective in getting users?
Activity: How many users are using feature X? What percentage have completed a particular work flow? What are people saying about the product? Do they love it? Can you measure that?
Conversion & retention: What is the conversion rate (free to paid, visiting to signing up, etc.)?
What is the churn rate (annual percentage rate at which customers stop subscribing to a service) ?
Money: What is the customer acquisition cost? How much does supporting a customer cost? How much money does each user bring in (average revenue per user)? What is the lifetime value of a customer? What is our revenue growth rate?
Gather data from:
- Usability testing: it won’t give you true metrics, but it can help you understand the why. Why are costumers leaving the website at certain point?
- Customer feedback: it will help to offer context to understand metrics more than giving numbers
- Traffic analysis: Google Analytics for example
- Internal logs: logging information can help a company understand how user behaviour at a deeper point.
- A/B testing: help in understanding the impact of a change (it can drive to misleading figures – apply it carefully)