We've talked a lot about the art of team development, software development, and product life cycle. Today, let's talk about the pillar that supports them all: Product Strategy.
One of the smartest and most logical methods of understanding anything complex is to break it down into smaller, manageable components. This also happens to apply to product strategy and the way it is formulated.
Each company may have a different approach or perhaps explain it differently. However, one sensible prospect would be to start by simplifying your product idea.
At Cubix, defining a product essentially involves understanding user needs, target audience, and, of course, business goals. You need to take the big picture into account, along with knowing how you can best prioritize the small details.
As a product strategist, you have a broader perspective of your product, inasmuch as saying, ‘ok, this is what we are doing, and these are the little things we should do to get there.’
The client
To create that desired "wow" effect, you need to have handy knowledge about the client you partner with. For instance, observe their digital presence, their intrinsic and extrinsic values, goals, expertise, experience, motivation, pain points, and market position globally.
Let's take mobile app development as an example. First, you need to conduct rigorous research concerning your potential partner, including what development projects they have created so far; check and use their products, and see if they develop one product or have a plethora of them.
To learn more about a particular company, you can easily reach out to them, as each one’s contact information is on the internet. You can also analyze a company’s authenticity with online resources, such as Trustpilot, Crunchbase.com, Business Source Premier, and many others. You should double-check each bit of information before you make a decision.
The Market
Researching a target market comprises the industry and the country where you want to launch your product. Finding the ideal market requires you to consider both. Since we experience massive changes in trends, technologies, legislation, customer preferences, etc., researching your target market is necessary.
Obtain a quick analysis of a competitor that offers the same services that you do.
The Business Plan
Innovative business models have become a critical component for any product you create, whether you’re building a mobile application or a gaming product. A business model serves as a blueprint for how a firm might benefit from a specific product, such as a mobile application. It also serves as a roadmap for our product's future.
Your business model will provide you with an overview of several aspects, including:
Let's take Curious as an example of an app here to answer the above questions.
What product is an organization launching and why? It is launching Curious, which is a platform that offers users complete anonymity to express their thoughts freely.
How will the product be promoted? Through social media, advertising, content marketing, and even word-of-mouth marketing. Curious promotes its services through multiple marketing techniques.
How much will the product cost? The cost is reliant on the best features, but the cost also depends on maintenance, staff, and the other technology features.
How does the product become profitable? Curious is a social platform where people can share their reviews/feelings, and the more users are drawn, the more its value will grow.
Whenever you analyze a business model as a basis for your production cycle, you can further develop the model by first examining the actual conditions. For example, creating an innovative product that people will love is a result of in-depth examination and diagnosis.
Consequently, your selected business model is crucial for utilizing innovative technology, determining an effective cost structure, and explaining the overall product structure.
The Product:
As we took Curious, a mobile application, as an example for explaining a business plan, we can analyze the product itself too. It makes perfect sense to evaluate its performance if it's a live product, and Curious is just that. And so, developers also play their role, as they need to devote time and attention to product reviews concerning their live app.
With a product review, you will have handy information on what you can do to improve performance next and what you should avoid doing. With statistics pointing to the importance of app usage with the best ones taking the lead in their categories, it’s a serious matter.
By 2025, Statista's Digital Market Outlook predicts that revenue across most segments will reach $613 billion. To be a part of this, an app must always have the best hands-on it and must also have the best strategy in place to help it achieve desired popularity.
At the very crux of the matter is the ability of your app to help ease pain points. What will set you apart from your competitors will be your ability to convince your client to purchase your product, and this can be done by focusing on their pain points and giving them a solution. If you can do this and convey these solutions with a short product review/description for your mobile app, you will be able to attract clients.
Before writing a product review, research and check Facebook and App Store reviews to attract your partnering company. Think like a user to uncover unexpected points of interest to convince your audience.
To review your product in focus, remember these five points:
Get an in-depth look at the product:
Make sure you have all the necessary information before beginning. It is critical to test the actual product to have a complete picture of how it works.
Describe the product to the client:
If you believe that the client will ask for all details on his/her own, you are wrong; most clients will not listen to you for each piece. With so much competition, everyone is trying to win a client’s attention, so your target client may forget to contact you or share any comments.
So, what will you do then, wait? Like how long?
Let's face it; waiting isn't going to bring results if you don't do anything in the meantime. We don't want to waste our clients' money or time or our own. So, go ahead and produce the details by yourself.
Explain Things in Simple Words:
While we all have the superpower to develop the most outstanding statements with fancy verbiage, we must also consider how clients and users understand the product. So, when describing things, keep the word usage simple and use examples to help the user understand things easily.
Nothing is set in stone, especially in the app development world:
All products must be adaptable so that they remain relevant in this fast-paced world. From features to content, products and websites are constantly changing and growing in different ways. As a result, we cannot speculate over what the future holds for our products while writing a product review. However, we may concentrate on aspects of the product that are now in use.
Provide Valuable Ideas:
Analyzing the various components of your product is critical for creating the best impression. To make your product effective, persuade the client concerning the assistance they require and that you are the best person to contact. Each piece that has to be modified or replaced (with good reason stated) provides a meaningful solution to the problem.
The User:
Now we come to the final and the most critical aspect of determining what good a product serves for its users. When you have enough information about the product itself, identify people who are either using the same/similar product or are searching for something fresh that you are developing.
These user groups can make your product successful and give you unexpected results with high revenue each day. Unfortunately, 84% of new digital products and transformations fail for lack of market and user demand. Not all popular application products are successful overnight; success may involve years of grinding to develop a precise understanding.
Try to broaden your horizons beyond your products.
When writing about your customers, the market, and audience, don't limit yourself. Instead, make sure you have a clear picture of how your endeavors are doing and figure out what solution you can devise.
Read this article to understand how full-cycle product development spans from prototyping to production.
Understand the External and Internal Business Environment
It's critical to discern your product's exterior and internal business environment to have a clear grasp of it. First, look into the current business environment your clients are operating in.
A Business Model Canvas (BMC) is one of the most effective tools for developing a complete blueprint that guides you through all the essential stages of product development. In addition, it defines the business idea and communicates the concept. Take a look at the following table for an overview.
Business Models Canvas | |||||
Key Partners | Key Activities | Value Propositions | Customer Relationships | Customer Segments | |
Key Resources | Channels | ||||
Cost Structure | Revenue Streams | ||||
Business Model Canvas: Make Things Easier for Yourself
A business model canvas addresses external (channels, customer relationships, customer segments, revenue streams) and internal factors (essential resources, activities, partnerships, and cost structure). However, the value proposition incorporates internal and external factors, which exchange value between the brand and the product.
Various organizations are using Business Model Canvases. Why?
There are several reasons for using a BMC: to understand more about the product and the relationship between the product and the user. In addition, the estimated cost and revenue streams illustrate how an idea for a particular product will turn into profit.
The gap between Problem and Product:
Don't find customers for your products; seek products for your customers - Seth Godin.
Having a product is essential, but figuring out what problem you're attempting to handle with it is even more critical. Clients don't only want the solution; they also want to know what unique features and functionalities you have incorporated into your product. So let us run a simple ‘5 Why’ strategy for clarity. While answering the five whys of a product, you must know that the product is the solution.
These are five reasons why an approach is beneficial for continuous improvement regardless of the organization's level.
Even the big names like Tesla and Netflix didn't apply Michael Porter's five forces to comprehend their products. Neither did Stewart Butterfield hire McKinsey to tell them what to do to design Slack. Instead, these big players realized that the product had become the critical competitive differentiator for every brand and how they could set ourselves apart from the competition.
The idea is to incorporate behavioral science into the decision-making process, and so, each of these big names holds themselves accountable for their results. Finally, they test the method rapidly and double down on the performance.
Improve Your Digital Presence to Thrive
Knowing the business value of the product will enable you to consult with the client. So, the next time you start a project, keep these handy tips and tricks in mind. You will end up with an impressive outcome. It will change how you interact with your clients and let you experience how audiences love your product and how it will transform your overall product into a successful one.
Cubix' software technicians stay up-to-date with the industry trends and market insights that enable them to create products that are sure to expand your audience. Drop us a call or email us if you have an idea to discuss.
