As a product manager, deciding which features to prioritise when developing a new product can be challenging.
With limited resources and time, it's essential to make informed decisions to ensure that the product meets the needs of the target audience.
Let's take a deep dive into techniques for prioritising product features with informed decision-making.
What Exactly Are Informed Decisions?
Making informed decisions in prioritising product features is a crucial step in product development.
About 66% of decision-makers are engaged in roles related to products, and over 80% of decisions made at least once a month are connected to product-related issues.
Product managers must conduct a comprehensive evaluation of information, including customer feedback, market trends, and financial data, to make informed decisions.
Those decisions above must meet customer needs and maximise profitability. To do so, they should gather feedback, conduct market research, analyse data in product management, and collaborate with cross-functional teams.
This approach ultimately leads to a successful product launch and a satisfied customer base.
Benefits of Informed Decisions
One study reveals that most retailers and respondents from other industries believe that using information and data analytics helps them stay competitive.
Here are the key points about the benefits of making informed decisions in product development:
- Creating successful products
- Saving time and money
- Building trust with customers by taking the time to understand their needs and make thoughtful decisions
Product managers can use a variety of methods to make informed decisions about which features to prioritise.
When it comes to making informed decisions about prioritising product features, many product managers wonder what technique is best. There are five techniques available that can be used.
Techniques for Enhanced Informed Decision Making
1. User Feedback
One of the best ways to prioritise product features is to gather feedback from users.
One of the benefits of involving users in the development process will help create a sense of ownership and engagement, as they will feel that their opinions and ideas are valued and that they have played a role in shaping the product's development.
Here's how to conduct this technique:
- Get feedback through surveys, interviews, or focus groups to understand their needs and preferences. Conduct user surveys, interviews, or focus groups to understand their needs and preferences. Their feedback can provide valuable insights that you may not have considered before.
- Ensure that the feedback you receive is representative of your target audience.
- Prioritise critical features based on the gathered feedback to provide the most value to users.
Once you have gathered feedback, use this information to prioritise the most critical features to provide users with the most value.
This process will help you ensure that your product meets their needs and preferences, which increases user satisfaction and loyalty.
2. RICE Scoring Model
Roadmunk states that the RICE Scoring Model is useful for product managers to prioritise features or project ideas by quantifying their estimated value. This simplifies sorting by determining the order of importance for each feature or idea.
The RICE Scoring Model evaluates the potential impact of each product feature based on four key metrics: Reach, Impact, Confidence, and Effort. Here’s the RICE formula:
When using this model, it is important to keep in mind the following considerations:
- Prioritise features that have a high impact but require low effort to implement.
- Identifying low-impact features does not mean that they are unimportant. Sometimes, when combined with other features, they can provide significant value.
- Consider feature interaction before development. It's worth noting that while low-impact features may not seem important on their own, they can hold significant value when combined with other features. For this reason, it's crucial to consider how different features interact with each other before deciding on their development.
- Optimise processes to boost team efficiency and identify areas for improvement
Prioritising features can boost team efficiency and pinpoint areas for improvement, leading to quicker development and better products.
To achieve success, it's essential to prioritise based on impact and effort, take feature interplay into account, and optimise processes.
3. MoSCoW Method
The MoSCoW method is a widely-used approach for sorting features during product development. The method divides features into four categories, each with its degree of importance.
The MUST-have category comprises features that are necessary for the product to work, while the SHOULD-have category consists of features that are important but not necessarily required.
The COULD-have category contains features that would be desirable but are not essential, and the WON'T-have category includes features that are not worth developing.
Using this method, product development teams can prioritise which features to include based on their level of importance, ensuring that they focus their efforts on the most critical aspects of the product.
Moreover, it facilitates the handling of stakeholder expectations by providing a clear understanding of what features will and will not be included, which can prevent misunderstandings and disagreements in the future.
4. Cross-Functional Collaboration
Collaboration is crucial for successful product management. It is important to involve various teams, including engineering, design, and marketing, to ensure that well-informed decisions are made.
Each team brings unique perspectives and expertise that can generate fresh ideas and solutions. To promote cross-functional collaboration, it is essential to schedule regular meetings, share information, and involve different teams in the decision-making process.
This technique enables a broader range of perspectives and expertise to be considered, resulting in better decision-making and a successful product launch.
By working together, you can harness your team's strengths and make your product market successful.
5. Kano Model
Dr. Noriaki Kano developed a model to help companies understand customer preferences and prioritise feature development. The model categorises features into three types: Basic, Performance, and Excitement.
Here's how to conduct the Kano Model:
- Categories features as Basic, Performance, or Excitement. Basic features are necessary and expected by customers, while performance features give a competitive edge. Performance features are important to customers. Meeting or exceeding their expectations can provide a competitive advantage. Excitement features are unexpected and can delight customers, providing a significant competitive advantage.
- Use customer feedback to prioritise and enhance features.
- Continuously improve products and services to align with evolving customer preferences
You should know what customers like can change, so you must keep improving your products and services.
Wrapping Up
Prioritising product features is a critical aspect of product management.
Remember to involve users in the process, focus on high-impact features, and align the product features with the business goals.
It ensures that the product meets the needs of the target audience and achieves its objectives.
Our team can definitely assist you with your product development project. Don't hesitate to contact us!
