Many online companies are underestimating the value of product management. This is an absolutely vital part of the overall business strategy. It is also seen as an indispensable piece in terms of successful e-commerce operations.
What are the goals of product management?
Here are 5 issues that product management must effectively address:
- Conceive a product management plan
- Develop that product management plan
- Test the product management plan
- Launch the product
- Deliver the products into chosen markets
Other product management responsibilities are to decide if a certain product is to be:
- Retired completely from the portfolio on offer
- Discontinue promotion and sale of products based on increasing costs, or because of low customer satisfaction
Helping to achieve company objectives:
Product management offers the opportunity for those companies working in the e-commerce space to utilise a system which is not only usable and manageable, but is effective in terms of achieving company objectives.
Best user experience:
It is a given that the better user experience offered by a company the more interest their products and services will attain. To do this the product management piece of the jigsaw has to integrate the most effective technology to ensure that business value is maximised.
Difference between marketing and product management:
Successful E-commerce operations now make a clear differential between marketing and product management. They focus marketing in terms of owning the brand and achieving customer acquisition while the product management piece is responsible for product development and the value those products and services can give.
Advantages of effective product management:
There are still companies out there that believe product management is not an important, specific role. They also believe it will do little to increase their customer base and associated sales. Some do not focus on this important business angle because they think it will complicate rather than enhance what is already a complex business process.
For those with this way of thinking here are 3 very strong advantages of implementing and monitoring effective product management:
Effective market approach:
Product management should be market driven. Consumer insights into creating the most effective interface to guide a user through the informational, selection and purchasing processes must be understood.
Effective product management will achieve this by obtaining in-depth knowledge and accurate research of target markets.
Timing is of the essence:
Everyday crucial business decisions are made, and product management is no different. Ensuring maximum exposure of products is all about timing. Decisions need to be made on time and at the right time.
Effective product management will prioritise the value of each idea and step in the process to decide the impact they have on a project schedule.
Quality of the product or service offered:
It is the role of product management to make continuous in-depth studies of the systems being used for each step of the production process. This will be gleaned by data taken from what existing and potential customers are looking for.
This process should begin with the launch of a product and needs to be maintained through such stages as improving the product right up to its ultimate withdrawal from the market.
This overall strategy can only be effective if statistics and metrics are comprehensively employed and once understood are used to improve and maximise the customer experience.
In the E-commerce world customer abandonment is a significant reality. Any company wishing to reduce such a negative experience within their online store needs to continuously develop and improve their e-commerce site.
Achieve this and you are enhancing a natural process by providing the best shopping experience for your customers. This will result in:
- Increased sales
- Maximisation of sales revenues
- Increased market share
- Increased profit margins
Above all, effective product management and the use of tools that will allow accurate, easy analysis of the particular product or service being offered must be implemented to ensure maximum customer benefit.
It cannot be stressed strongly enough how important it is to ensure a good customer experience for those visiting your site. Give them what they want and deliver this how they want it.
In return, you will receive their commitment and loyalty to your brand, to your existing products and for all future launches.
Cut out the guess work:
The guessing game will not give accurate statistics. It will not show you what trends customers are following or the needs they have.
By effectively employing product management you are cutting out the guesswork and providing a service that is based on real needs.