Ian David started his career managing brick-and-mortar retail stores before expanding into eCommerce and digital marketing. A self-taught SEO and content marketing expert, he frequently writes about digital marketing strategies, focusing recently on influencer and affiliate marketing to boost conversions.
In this article, Ian explores how to create a product strategy and highlights the essential aspects to consider. While the term “product strategy” is often used in meetings and seminars, its meaning can be elusive. A successful product strategy is crucial for any business selling products. This guide will explain what a product strategy is and offer nine strategies to set your strategic vision for your product offerings.
What is a Product Strategy?
A product strategy envisions the best version of your product and serves as the end goal. It’s akin to a business plan where the business outlines where it wants to be in the future. With a clear roadmap, setting goals that lead to this end goal becomes more manageable.
Key Considerations When Creating a Product Strategy
When developing your product strategy, keep the following in mind:
– Who is your target market?
– What are you selling?
– What value do you offer your customers?
– How will you price your product?
– What will your distribution channels be?
Nine Strategies to Set Your Strategic Vision
1. Aim High with Your Strategy
Dream big with your product’s mission and vision. Ambitious goals can inspire better efforts and lead to a superior product. Don’t hesitate to include launch tools to aid the process.
2. Research Customer Needs and Market Evolution
To craft an effective product strategy, thorough research is essential. Understand your market and what customers expect. Investing in a saturated market requires significant capital, which may not be feasible for small businesses. Instead, focus on identifying and catering to unmet customer needs.
3. Understand Your Product’s Place in the Value Chain
With 30,000 new products launching annually, understanding your product’s purpose and value to users is crucial. Evaluate your product’s effectiveness and the scale of the problem it solves.
4. Learn from Other Businesses
Analyzing similar businesses can provide valuable insights. Review their ad campaigns, missions, and mistakes to avoid similar pitfalls and replicate successful strategies.
5. Adapt and Innovate with the Market
The business landscape is constantly changing. Staying adaptable is vital for success and longevity. Companies like Xiaomi, which disrupted the smartphone market with feature-packed yet affordable devices, exemplify this principle.
6. Develop and Regularly Review KPIs
Setting and monitoring clear KPIs is essential. Five crucial KPIs are client retention, revenue growth, profit margin, revenue per client, and customer satisfaction. Regularly reviewing these metrics ensures you stay on the right track.
7. Clearly Communicate Your Vision and Strategy
Before pitching to stakeholders, test your strategy with your team to ensure everyone understands the product’s purpose. Clear communication of your mission and vision is crucial.
8. Keep Your Teams Aligned
Ensure all teams are on the same page with clear and attainable goals. Use tools like Monday, ClickUp, or ProofHub to facilitate easy communication and task management, allowing for continuous refinement of your product.
9. Monitor Progress and Adjust Accordingly
Ground your data in real-world customer feedback. Tools like Hotjar, Surveymonkey, and Salesforce can help collect and analyze important data. Real-time feedback ensures your product strategy remains relevant and effective.
Develop Your Product Strategy Today
With these nine strategies, you’re ready to launch your product. Ensure your product serves a clear purpose and meets customer needs while remaining adaptable to market changes.