Roman’s Product Strategy Model
Making Strategic Decisions for Product Success
Crafting the right strategic decisions is vital for a product’s success. If it’s unclear what the product’s value proposition and standout features are, it becomes challenging to create the desired business value. Many product teams lack a systematic approach to develop and refine a product strategy. This article explains the model I’ve developed to address this issue.
The Model
An effective product strategy is essential to create, enhance, and manage a product successfully. Without a solid strategy, worrying about product details and writing user stories is futile. But what exactly is a product strategy? How does it differ from a product roadmap, and how do they relate to the product vision and product backlog? My model, illustrated in Figure 1, answers these questions.
Four Key Components
At the core of this model are four elements: the product vision, product strategy, product roadmap, and product backlog.
– Product Vision: This describes the product’s purpose, the reason for its creation, and the positive change it aims to bring. Think of the vision as the guiding star that aligns everyone involved, from stakeholders to development teams. For example, a vision could be “help people eat healthily,” aimed at improving eating habits.
– Product Strategy: This outlines the approach to realize the vision and make the product successful. Crafting a strategy involves making four critical choices:
– Identifying the needs the product should address, such as reducing the risk of type-2 diabetes.
– Determining the market or segment, like targeting “middle-aged men with unhealthy eating habits.”
– Selecting standout features that differentiate the product, such as measuring sugar levels in food.
– Setting realistic business goals, including revenue targets and brand development.
Making strategic choices means saying no to some ideas. For instance, you might choose not to target teenagers with eating disorders right now. A well-defined strategy must be validated iteratively to ensure its effectiveness, as shown in Figure 2.
– Product Roadmap: With a validated strategy, you can create an actionable product roadmap for the next six to twelve months. This roadmap outlines the specific benefits the product will achieve and guides stakeholders and development teams.
An effective product roadmap, based on product goals, serves as a great foundation for a product backlog. Product goals lead to targeted backlog items, which include epics, user stories, sketches, and more.
– Product Backlog: The backlog is a detailed list of tasks and requirements derived from the product goals. As you move from vision to the backlog, decisions become more specific and timeframes shorter.
Two Useful Templates
The model also includes two templates I’ve created: the product vision board and the GO product roadmap. These tools help capture the vision, strategy, and roadmap goals effectively.
A Cyclic Process
The model suggests that product planning starts with the vision, but it’s a bidirectional process. Changes in the product backlog can trigger modifications in the roadmap, which might lead to strategic changes. If a validated strategy can’t be found, the vision might need altering.
Figure 3 illustrates this cyclic process, showing the connection between strategy and execution. A validated strategy informs the roadmap, which in turn directs the backlog. Incremental product development, based on user feedback, allows for progress tracking and performance measurement.
Team Collaboration
A sound product strategy and roadmap mean nothing if stakeholders and development teams don’t buy into them. Effective product strategizing requires collaboration through workshops held at least quarterly. These workshops, led by the product manager and facilitated by a Scrum Master or agile coach, ensure that the right decisions are made collectively.
Learn More
For further details on my product strategy model, consider joining one of my training courses or reading my book, “Strategize, 2nd Edition.” You can also explore more articles and videos on my website.