Growth Product Management is all about promoting an existing product and creating a huge market for it. It means enhancing the customer base and value of an existing product. Growth Product Management ardently focuses on customer-oriented and product-related metrics like boosting revenue, acquiring new consumers, encouraging existing users to refer newcomers, increasing customer retention rates, etc.
Growth Product Managers do not typically depend on intuition and assumptions, but they rely hugely on data-driven essentials, testing, and experimentation.
Does an organization need Growth Product Management?
It is a fantastic question, and you will be astonished to know; Yes!, Growth Product Management is not only essential, but it is also crucial for the holistic wellbeing of the product and the enterprise.
As rightly quoted by Bruno Estrella, who currently leads growth at Webflow, “Growth product management is an area within growth that is responsible for getting users to experience the core product value as often as possible.”
Let us take a quick recap of the pirate metrics of Growth Product Management.
- Awareness is educating customers about the brand-building and providing appropriate resolutions
- The acquisition is the procedure of acquiring new prospects and generating leads
- Activation is a technique of Growth Product Marketing that promotes people to effectively and quickly use the purchased service or product
- Retention means retaining the customers and keeping them satisfied
- Referral means to incentivize customers who are satisfied with your services or products, and they further promote it to other consumers.
- Revenue within Growth Product Management means to address money-making metrics, which can involve pricing strategies and how they can be attractively displayed.
In modern times, it is critical for enterprises to invest their time, effort, and finances in Growth product Management to:
- Grow sustainably and empower their consumers to attain product desirability and utility much more quickly.
- Reduce barriers to value, which means that they empower users to quickly find value within the core product.
- Resolve issues by removing friction.
- Work across various product functionalities to optimize and focus on the key metric.
- Drive more value from our existing products
The need for Growth Product Management.
You need to recruit an efficient and creative growth product manager when you launch a quality product in the market. This will help you augment your business, expand your client base, experiment on new areas, and increase revenues.
The growth product manager will further help in retaining customers, increase the user percentage of the product, encourage free users to upgrade to premium services, and increase the lifetime value of consumers.
The core responsibilities of a Growth Product Manager:
- To conduct research and run experiments to test the impact of each in the market and on customers.
- To procure and work on data regarding customer engagement with the product, marketing of the product, the loyalty of the customers, and expansion of the business.
- To experiment with different approaches and to monitor results to see which is the most lucrative solution and implement it iteratively.
- To prioritize high impact initiatives.
- To develop customer retention, which means that customers should continue to use and pay for a business’ product or service.
- To strengthen relationships with customers and increase customer revenue.
- To effectively categorize and segment customers and coordinate communications to drive growth.
- To apply behavioral psychology to elements of the customer funnel
- To test different approaches using A or B testing to promote customers more effectively along the funnel.
- To help consumers gain a better value from the product.
- To encourage customers to engage more deeply with the product.
- To investigate add-ons that add value for the user and derive profit for the business.
Skill Sets required for effective Growth Product Management
Growth Product Management is all about focussing on numbers, identifying the “what” and not the “why,” and comprehending the mentality of the customers when they try to use your product’s functionality.
You need this constellation of skillsets for effective Growth Product Management:
1. Quantitative Analytics and Experimentation Chops
The most important skill set is to have a strong and scientific focus on numbers. You need to prove and monitor results efficiently to prove that your initiatives are enhancing growth and making a lasting impact. You need to be aware of your pirate metrics, know exactly how your experiments are faring and how to achieve benchmarks related to industries, competitors, products, and customers.
2. Logical Reasoning
Growth Product Management is about a strong scientific and analytical mindset, one that is constantly driven by the urge to understand issues, adopt a data-driven, hands-on approach to probe them, and find a better way to resolve them.
It is the core ability to hack your way to growth, no matter what it takes. You may have to try and experiment with a variety of approaches and processes. You may have to suffer failure or work on relatively uncertain or considerably uncomfortable experiments, but you must be open to trying everything at your disposal to get where you want to go.
4. Strong Communication
Successful growth product managers need great interpersonal skills. You should have the potential and expertise to communicate frequently and effectively so that everyone’s working towards the same goal. You may have to resolve conflicts, build a clear case, guide people towards well-defined objectives, counsel and mentor individuals, conduct brainstorming sessions and status meetings.
Growth product Management already has a few experiments in place, like starting new campaigns, A/B testing layout, and other experiments that have already been tried and tested. A growth product manager will help you create new product functionality, which is critical to driving business growth and to discover novel ways to increase your metrics.
6. Customer Obsession
With Growth Product Management, you will be growing your customer base or enriching engagement with customers. An efficient growth product manager understands potential users, motivates them to form a deeper relationship with the product, and is squarely customer focussed
7. Product Education
The objective of growth product management is to drive profitability and growth, which depends largely on product education. It is about raising awareness about the product through focussed marketing, making them aware of additional benefits, getting users to their wow moment through great user onboarding, and motivating users to strengthen their relationship with the product.
8. Marketing Savvy
You need to be strong and stringent at understanding customer psychology, user research, sales, and marketing to promote growth product management in your organization. You should be efficient enough to analyze what customers want to use and what stops them from getting value from inviting others to use the product.
9. Collaboration, Humility, and Communication
To apply conducive Growth product management, you must be highly collaborative, have the expertise to convince others, create a positive impact, have a great rapport with their core product manager counterparts, and trust the core product team. You need to work in good faith and good stewardship.
Growth Product Management ensures that your products are being used and promoted effectively. It is about enabling customers to get more value, optimize existing product functionality, growing customer bases, and increasing lifetime value. If you are passionate about moving the numbers upwards, then growth product management is the best for you.
You may also like: Top Business Growth and Development Tactics