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It's crazy. The most crucial product funnel, Awareness + AARRR, is often divided between two silos: Product and Marketing.
And Revenue isn't addressed at all.
This often results in a lack of a holistic view of growth and bureaucracy. Making simple decisions takes weeks or even months.
How to fix that?
People discuss merging PMM and PM roles, but there's an alternative. The most successful product companies, like Meta, LinkedIn, Dropbox, and Uber, have implemented Growth Teams that focus on the entire funnel.
Where do you begin?
1. Start with just a one team
Make it an experiment. Over time, you might end up with more teams dedicated to specific product areas or products or even teams exploring growth opportunities outside what the company is currently doing.
A good example is Facebook's Growth Team, that many years ago recommended acquiring a small, promising company. Instagram.
2. Identify a Growth Leader
You need one person with the ultimate decision-making authority, typically a Product Growth Manager with a deep understanding of data. The Growth Leader is responsible for leading the team.
3. Make the team cross-functional
The Growth Team will typically include:
- Product Manager
- Product Marketing Manager
- Data Scientists
- Product Designers \ CX
- Engineers
4. Report directly to executives
The Growth Team will take risks, experiment, and possibly disrupt the status quo.
Hence, they need to report directly to one or more executives, for example:
- PM reports to the Head of Product
- PMM reports to the Head of Marketing
- Product Designers report to the Head of Design
This will allow the team to experiment and take calculated risks while aligning with the overall strategic direction.
5. Determine Your North Star Metric
Once the team is in place, it's time to identify your North Star Metric (NSM). It's a single metric that aligns everyone in the company with the core value that your product delivers to customers.
Free PDF guide (no paywall): https://t.co/aiYRyWbHRk
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The team identifies smaller, manageable objectives and works in iterations to:
- Synthesize knowledge and identify growth opportunities
- Brainstorm ideas and design growth experiments (e.g., A/B tests)
- Run promising experiments and monitor them to catch any unexpected issues early
- Analyze data with reference to the original hypothesis and success metrics, and interpret the results
- Implement the idea if the experiment was successful
- Share learnings with the wider organization
- Iterate again, armed with knowledge from the previous experiment
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Hope that helps.
Have you already implemented this approach?
What are your thoughts?
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This post was inspired by Hacking Growth by @SeanEllis and Morgan Brown. I highly recommend that you read it if you haven't already.
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P.S. If you liked this post, you might enjoy my newsletter. Join 26K+ subscribers and get 1 actionable tip for PMs every Saturday. The link is under my profile: @PawelHuryn
Product Management is easy!
All we need to do:
Is create good products for users.
And launch it on time
And make it sustainable for the business
And make engineers understand the solution
And then verify if they've built the right solution
And convince 100 people to help with the launch
And say NO to the Sales team's "innovative ideas"
And convert CEO's vague ideas to concrete features
And know what users actually want vs what they say
And write 1000 emails explaining the roadmap again
And make 100 decks, same message, different charts
And write 20 emails about the 20sec outage last night
And predict the probability of outage happening again
And add gazillion new metrics to the health dashboard
And know it all about the market, competition, industry
So, yeah—that is product management, the super easy job that involves just a few small tasks.
How easy has it been for you so far?
UX tip:
Work hard on error messages.
They help users recover from their lowest point.
Bad errors:
• pass the blame
• use inappropriate tone
• are generic
• use technical jargon
Good errors:
• are clear
• explain why
• help users fix it
• provide reassurance
Every artefact and deliverable a product manager creates is an opportunity to tell a story to drive alignment, direction and progress.
https://t.co/2Dj2O6FTV4
Every PM should save these 2 screenshots to their desktop.
@bhorowitz
's Good Product Manager / Bad Product Manager:
(15 years old and still ridiculously relevant.)
Outcomes are measures of behavior. Here's the difference between a business outcome and a user outcome and why it matters.
What's the difference between a user outcome and a business outcome? https://t.co/gjAqc6u5KB