ProductManagementFastTrack:Market-FacingSkillsforProductManagersandProductOwners

RichMironov14Dec2016

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• Veteranproductmanager/softwareexec• “Whatdocustomerswant(topayfor)?”• Organizingagile/leanproductorganizations• SmokejumperVPProducts

• 6startups,includingasCEO/founder• “TheArtofProductManagement”

AboutRichMironov

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• WhatdoesaProductManagerdo?• SellingversusLearning• Tellingbothsidesoftheeconomicstory• UnderstandingSalesandMarketing

Agenda

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• Drivesdelivery,marketacceptance,revenue• Targetsmarketsegments,notindividualcustomers• “Whatdoesthissegmentneed/whatwillitpayfor?”• Resolvesinevitablecompetingpriorities• Motivatesfunctionalgroupsbeyonddevelopment(marketing,sales,support,partners,finance…)

WhatDoesaProductManagerDo?

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Conversations,marketinformation,priorities,requirements,

roadmaps,epics,userstories,backlogs,personas…

productbits

strategy,forecasts,commitments,roadmaps,competitiveintelligence

budgets,staff,targets

Fieldinput,Marketfeedback

Segmentation,messages,benefits/features,pricing,qualification,demos…

Markets&CustomersDevelopment

Marketing&Sales

Executives

ProductManagement

WhatDoesaProductManagerDo?

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CommercialSoftwareFailureModes

Undifferentiatedorpoorlypositioned

Marketing/Sales/Channelfailures

LateDeliveryPoorQuality

Wrongproblem,wrongsolutionorproduct

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There’snothingmorewastefulthanbrilliantlyengineeringaproductthatdoesn’tsell,oraprojectthatdoesn’tmatter.

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Mostofthesuccess/failureofaproductisdeterminedbeforewepickourfirstdeveloperorfilloutourfirststorycard.

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• WhatdoesaProductManagerdo?• SellingversusLearning• Tellingbothsidesoftheeconomicstory• UnderstandingSalesandMarketing

Agenda

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• Youarenotyouruser• Marketsarecomplexandsurprising.Youlearnaboutthemfromcustomersandprospects• “What’sthepattern?”• “Whoaretheoutliers?”• “Howwouldacustomerfitusin?”

• Rich’sruleofthumb:youneed8to20in-depthinterviewstospotpatternsandwrongassumptions

Discoveryvs.Theories

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• Can’tsellandlistenatthesametime• Sellingturnsoffprospects• Assoonasyoupitchyourproduct,open-endeddiscussionstops

• Canyoulisten(=shutup)for20minutes?

Sellingvs.Listening

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• Youaresellingwhenyou…• Domostofthetalking• Anticipateobjections,planarguments• Understand thematerial• Wantto“close”

• Youarelisteningwhenyou…• Askopen-endedquestions• Takenotes,repeatforclarification• Usesilence• Expecttobesurprised

AreYouSellingorListening?

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• WhatdoesaProductManagerdo?• SellingversusLearning• Tellingbothsidesoftheeconomicstory• UnderstandingSalesandMarketing

Agenda

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• Weshouldbuildthisproductbecauseitwillmakeuslotsofmoney• Howwesellourmanagementonfundingthings• ROI,hockeysticksalesprojections,TAM/SAM,imaginedpricepoints

• Customersshouldbuythisproductbecause…• JobsToBeDone• Realvalueascustomers/prospectsexpressit• #1competitorofeveryproductis“donothing,buynothing”

BothSidesofEconomicStory

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• Customersbuymostproductstomakemoneyorsavemoney• Howdotheydescribevalue?

• Quantifyitforthem• Theywon’tspendtimetofullyanalyzeyourproduct

• Assumeyoucancapturesomevalue• B2B:often5%to15%• Consumerslessanalytics

StartwithCustomerView

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• Oursuper-specialcreditscoringapplicationwillreducethenumberofcreditchecksyourun.

• Youcurrentlydo{insertnumber}creditchecksperyearat{insertprice}. We’llreducethatby {insertpercentage}forasavingsof{computed}.

• Wewillonlychargeyou{insertprice}foranetsavingsof{computed} andROIof{percent}.

AGenericB2BValueStory

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“Byusingourtechsupportknowledgeautomator,youcanreduceyoursupporttimepercallby25%.”

HardCostSavingsExample

Your support calls/year 22,000 Average minutes/call 16

Total annual support hours 5,867 Current support team FTE 3

Average salary $85,000 Annual staff cost $255,000

Proposed savings 25%Your savings $63,750

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• WhatdoesaProductManagerdo?• SellingversusLearning• Tellingbothsidesoftheeconomicstory• UnderstandingSalesandMarketing

Agenda

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• Howdowehire,reward,promotedevelopers?

• Howdowehire,reward,promotesalespeople?

• Whatdodevelopersthinkaboutsalespeople?

• Describeenterprisesellingprocess

SellingisDifferentfromEngineering

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• Strategicmarketing• Identifying/validatingtargetaudience• Understandingawareness/trial/adoption/repeatpurchasecycle• Valuestoriesbasedonrealusers/buyers• Measuringoutreach,PR,contentmarketing,emailsubjectlines,…

• Weallwanttoskiptologos,trinkets,eventsandFBads

MarketingisMorethanArts&Crafts

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Marketing/SalesFunnel

Targetaudience

Aware

Interested

Evaluating

Buyer

RepeatBuyer

Enterprise:• Mighttakeyearswith

dozensoftouches• Messageandproduct

mostlystablethroughout

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ProductManagerswhofocusonlyonEngineeringareignoringhalfoftheirjob.

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• Productmanagersownoutcomes• Learningisn’tselling(andisrequired)• Needbothcustomervalueandcompanyeconomics

• SellingandMarketingarehard(butnothowEngineeringishard)

Takeaways

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CONTACT

RichMironov,CEOMironovConsulting233FranklinSt,Suite#308SanFrancisco,CA94102

RichMironov

@RichMironov

Rich@Mironov.com

+1-650-315-7394

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