TOP 5 important points about the product manager you need to know
The product management today is no longer in doubt. It is crucial for every business niche whether it is e-commerce or any B2B/B2C services. But still, product management is most in-demand in the IT field, and digital product managers are one of the most desirable specialists in the labor market.
40,5% of Product Managers work in Software and we want to shed a light on the most common questions about these experts.
What is the product manager?
The product manager description says this specialist is responsible for the development of new products, entering the market, monetization schemes and pricing, the target audience, KPIs, and other characteristics.
Thus, the digital product manager is a multifaceted person who collaborates closely with the sales department, marketing and PR, technical support, and directly with the developers.
Since the PM is responsible for the product and its development, his job is associated with many different activities.
What is the main goal of a product manager?
A product manager has two main goals:
- to bring to the market a product that fully meets all the needs of consumers
- to achieve all the financial goals of the manufacturing company
It is important to remember that a qualified digital product manager always takes a strategic position that allows him to anticipate and prevent many unwanted turns, as well as to choose the optimal tactics for creating, releasing, and promoting a digital solution.
Of course, this is not the whole range of responsibilities for this specialist.
What does a product manager do?
A digital product manager job description is probably one of the longest as his duties vary a lot.
Modern business requires a product manager to have deep knowledge in completely different areas.
Here are some of them:
1. Deep learning of the market and the chosen industry
To bring a product to the market and achieve success, it is important to know to study possible competitors, analyze their achievements and mistakes, and also understand the needs and requirements of the chosen niche.
All these will give the right start to the product management strategy.
2. Techniques for developing IT products
A product manager does not need to have development experience, however, a basic knowledge of techniques or coding will significantly increase the authority in the team and help convey their ideas to the direct executors.
3. User data metrics and analytics
Analyzing the required metrics is a powerful tool to help product managers make decisions. Experienced PMs always have clear metrics that truly reflect success.
The obtained analytic results help to make decisions and make the changes necessary for success promptly.
4. Business planning and finance
To implement a business idea, a product manager must be able to look at it from a financial point of view. Moreover, both from the position of investments and possible income. This greatly facilitates the work on the creation of the product, as well as its introduction to the wide market.
5. Team management and communication
Product managers provide cross-functional leadership and day-by-day have a lot of communication. With team members, investors, and users. He often has to prove his point of view, so one of the main tasks of the product manager is to create a product vision, the ability to set realistic goals, and convey the features and benefits of the brand to each person involved in the process.
A product manager’s role and responsibilities cover all stages of creating a digital solution – from the generating idea and testing it on the target audience up to launch and subsequent promotion.
That is why the range of product manager activity is so wide.
Who needs to hire a product manager?
Today there are quite a few IT companies that create products for the market. However, not all of them have product managers on their staff. Sometimes they don’t even have the activities to manage product strategy and development.
Often in these companies, all product decisions are made by one or more top managers.
This entails unwanted consequences:
- the process of making these decisions slows down
- the formulation and testing of product hypotheses is often rejected
Such companies should use product manager services, as in this case the decision-making process will be significantly accelerated, and the top management will be relieved of responsibility for every little detail. Instead, they can concentrate on their direct responsibilities, e.g., on a general development strategy for the company.
What is a digital product manager’s salary?
So, you practically decided to hire a product manager for your in-house work team or entrust your it to outstaffing. An important part of this decision, of course, is the salary you pay for such a specialist.
The Product Management Trends and Benchmarks Report shows the salaries for product managers from $79,000 to $140,000 per year as for 2020 on the example of countries such as Singapore, Netherlands, UK, Australia, and the USA.
The situation in Europe doesn’t differ much. According to Glassdoor, the average salary of a product manager ranges from $71K to $146K.
When you consider hiring a PM remember that his/her salary depends a lot on the qualification level, experience, and also on a specialist’s location.
As far as we described the product manager’s role and responsibilities and showed how important his involvement is for any digital solution launching, the decision to hire PM will be easier to take.
In the next articles, we’ll pay attention to the skillset and tools that the product manager should have to bring your digital product to great success in the market.