This post was originally created while working at ProduxLabs with Melissa Perri and has been updated and republished here because it is so foundational in much of the strategy work I do with my coaching clients.
Throughout my time as CPO in Residence at Insight Partners we were often brought in to work with product leaders on their roadmaps for growth. What often surprised me was how often the path they had chosen was the first or second option which had been discussed, or worse was simply what the CEO said to do.
During one of my sessions with Kevin Broom while he was CPO at Bynder, we started chatting about the various strategic paths available to move a company forward... we came up with 6 or so options. Then I had internal conversations with Walker Szurek and we realized that there were in fact 16 strategies out there. Together we also decided to classify them into the three main business goals: Revenue Growth, Revenue Retention, and Cost Saving. We further sub-classified over time and improved the details around each of the strategies.
As a product leader, you have the responsibility to plan strategically for your company to grow its customer base and revenue. Thanks to years of other people growing companies, there are standard playbooks for how to accelerate your company’s trajectory which are most often geared towards sales and marketing. We created one for product leaders. Don't be afraid that other people have taken these steps before and therefore you won't be original. In fact, as I learned from Nicolaj Siggelkow "Strategic decisions are those which leverage your competitive advantages and unique strengths." Therefore, what you choose to do and how you execute on it should always be unique to your situation.
We created list of 16 Strategies for growth with two purposes in mind. The first is for leaders who are thinking about what the next big strategic step should be and to be sure you’ve entertained all the options. Additionally, it's a great way to teach up and coming product leaders about creating strong strategies by exposing them to the full gamut of paths. It’s very easy to fall in love with the first idea you have without exploring alternative routes. You may have a little Robert Frost in you, and it’s worth exploring the roads less traveled, it might just make all the difference.
Each of the 16 options, can be used to accomplish at least one of the three primary business objectives:
Increase Revenue. (growing your total addressable market or serviceable one)
Protect Revenue (improving retention, increasing lifetime value or money per logo)
Reduce or Avoid Costs (reducing customer acquisition cost or operating expenses)
It’s important to note that for each goal, there are many strategies which can assist in accomplishing it. Per what is mentioned above, not all strategies are correct for each company, and the best strategy will leverage your strengths.
Below is a deck which outlines some well known companies who have utilized each strategy successfully, the conditions when it is a favorable option, and tips for how to have positive results if that particular path is chosen. Also worth noting is that within a portfolio of products, you should explore the full list for each of your products as their situation and strengths are probably unique. Different options will be applicable to each one depending on the current situation it is facing.
If you'd like to discuss a strategy question you're working through as a company or organization, I'm happy to chat and now have a no long term commitment hour long session available for anyone who wants to pay as they go.
If you enjoyed this post, I am available for product leadership coaching or team training. Learn more about my services and upcoming children’s book.