Four tips for innovative product development success

Product leaders focused on getting the most out of product innovation strategies must touch on a plethora of points while also moving quickly. To maintain the bottom line while also satisfying stakeholders we think product leaders should concentrate on the following four points.

1. Focus on new technologies that offer the most impact

In leading with product development, product leaders should try and make the maximum impact on the market, disruptive technology is often the best instrument to do so. Whether it is artificial intelligence (AI) enhanced software product or an application that relies on the internet of things (IoT), products based on new technologies can provide a jump start.

Product managers must look past the noise and identify technologies that can provide a return in the real world. A technical feasibility study is essential because it helps weed out tech that won’t make it in the wild, instead helping product leaders to invest in product lines that stand a high chance of success.

2. Concentrate on what the user wants

Product line profitability is an important metric, but no product will succeed in the long run if it does not satisfy user demands. Innovating to meet user needs can set a new product apart from its competitors.

How can product leaders gain an understanding of customer requirements? Your data is the answer. Data analysis can help product teams redefine, reposition, improve and grow existing products. Real-time, responsive user analytics allows giving customers a contextualised product experience.

Again, technology innovation can become a gamechanger here. From augmented reality through to blockchain-based applications, innovation adoption allows product leaders to distinguish their product lines. For instance, with AI, being considered the most disruptive technology, according to Gartner’s 2019 CIO Survey, AI-enhanced products and natural language processing can create user experiences and services that are truly game-changing.

3. Use data to manage profit and loss

Pricing a product is one of the biggest challenges product leaders face. It is not merely a matter of making a product price-competitive, but also about maximising the profit, a product line delivers to the bottom line.

Understanding customer buying behaviour in detail can assist product leaders in designing pricing strategies that overdeliver. Using data science, a product leader can match the understanding of customer’s behaviour with a detailed analysis of the costs of delivering a product. This analysis can enable tailored offerings that maximise the profits derived from a product throughout its revenue-producing lifetime.