What Makes a Product Successful – 3 Must-Have Factors

“According to Harvard Business School professor Clayton Christensen, each year more than 30,000 new consumer products are launched and 80% of them fail.”

Building a product involves a lot of factors. We get into so many things that we create webs of complexity for ourselves. Thus, we may get trapped in things that are not important for the success of the product. 

It’s better to have a simple framework in mind that reminds us what makes a product successful. A framework that includes the must-have factors for any product in any market to be a success. 

In this article, we will present a simple product success formula. That covers 3 must-have factors that are core to any product success. If you cover these 3 key factors well then you are on the path to product success. 

Here are the 3 must-have factors for a successful product 

1 – PRODUCT VALUE

A successful product is a product that exists in the market for a long time. That is possible if the product adds value to the user.  

For a product to be successful it should solve a user need. Users should get significant value out of the product. 

Either you could be solving a user need for which a solution already exists but you have a better solution, or you have found a new user need. 

The value a product delivers can be in different forms. It could be efficiency or productivity. It could be convenience or comfort. There is a huge list of values that a product can offer. A successful product should be providing the right value that is relevant and required by the user. 

For eg – In the B2C space, Swiggy’s core value is convenience i.e. delivering goods at your doorstep. Uber’s core value is efficiency i.e. better way of commuting. In the B2B space, Salesforce’s core value is productivity i.e. making the sales team more productive. 

Be aware of the core value that your product offers. 

There are 2 key criteria that the value your product provide should cover,

• A huge volume of users should have the need you are solving
• These users should be willing to pay for the value your product offers

Following are the key questions a product owner should have answers to, to validate the product value,

• Is it solving the right problem for the consumer?
• Is your solution truly solving the problem?
• Are there enough users who are facing the problem?
• Are these users ready to pay for the solution?

To explore user needs, do a user research activity or know the future business trends. You can apply the Dual Alignment Value Framework to get clarity on the value you deliver.

A successful product should add value to a group of users and there should be enough of such users. 

2 – MESSAGING

The second important thing is whether users are able to understand that the product adds value to them.

The target users should resonate with product messaging. The messaging should express that the product is solving the user’s problem. It should make them believe that they have a need for the product. 

The target users should understand and relate to the value offering.

If the target users do not understand the value offering then it will be difficult to penetrate the market. The messaging should be relatable. Speak the tone and language of the target user. 

There are times when a well-built product fails because it’s not able to relate or connect with its users. 

One of the best case studies is Apple iPod and Microsoft Zune. In 2009, Microsoft launched a very powerful audio player called Zune. Experts said it is as good as the Apple iPod. However, the product failed. One of the top reasons was the product messaging. Apple’s communication was bang on – 1000s of songs in your pocket. However, Microsoft Zune was positioned just as a high tech media player. Apple’s messaging built that connection with the consumer and made it one of the most popular products of that era. 

To illustrate further, if your product is a powerful smartphone with the best performing camera then talk the language of amateur photographers. Don’t use professional photographer’s jargons like macro and camera tech specs. Just say how your users can click great photos and become amazing photographers. 

If your product is a software product targeting marketers then speak the language of marketers. Use the terminologies that marketers use at their workplace.

There is no use in solving a user problem if they are not able to realise that through your messaging.

3 – PRODUCT EXPERIENCE 

Product value and messaging if done right will get users to the product, but product experience decides product’s long term success. 

A few stats on importance of product experience,

“$1.6 trillion is lost each year due to poor customer service.”

“Customer-centric companies are 60% more profitable than companies that aren’t.”

To build a successful product, the final piece of the puzzle is to offer a great product experience. 

If the users are not satisfied with the product then they will stop using the product and create a negative image in the market. 

For a sustainable product, it is important to focus on the product experience and make it your priority. 

Delight your users. As they get delighted, they will become loyal customers and advocates thus getting more users and revenue. 

A lot of companies get so involved in customer acquisition that they ignore what happens post customer is on board and thus start to witness the loss of customers. 

Your target group is limited, make sure you are able to retain the users you acquire.

The product experience goal and strategy is designed depending on the type of the product.

For social media product, the goal can be the DAU. For e-commerce, it could be the monthly retention rate. Based on the type of the product, design a product experience goal. Then define the product experience strategy and plan.

Product experience KPIs should be as important as acquisition KPIs. 

Following are a few elements of product experience plan,

1. Onboarding Process and Experience 
2. Customer Support Process
3. Product Development 
4. Online Reputation Management 

A product that delivers great experience consistently builds a base of loyal users. These loyal users become the product advocates for increasing product referrals and organic growth. 

In the end, a successful product is one that solves the user’s problem or enhances a user’s life. it’s easy and intuitive for a user to use and should connect the right cords to connect with the user.

Product Success Formula =

Product Value + Product Messaging + Product Experience

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