Have you ever wondered what precedes the launch of a really cool product? Maybe it's the budget? However, some projects like Airbnb were created with a minimum initial investment. Perhaps this is an experienced development team? But this is also not enough! What, then, is the secret of success? We believe that product thinking plays one of the key roles in this. Let’s talk about what it is and how to implement it in practice below.
Product Thinking: What Is It?
So what is product thinking? In a nutshell, this is what helps the team determine what makes a particular product loved by its end users. Also, we can define it as an approach to the implementation of a product aimed at maximizing its value for its target audience.
Usually, the work of those who are engaged in product thinking (or in product mindset) begins with the analysis of existing solutions similar to the one on which they are just about to start working. For example, when it comes to social networks, product thinkers analyze world-famous projects such as Instagram, Facebook, Tiktok, etc., define their win-win features, and based on this information, start building a solution that is in no way inferior to them.
In practice, the main task of product thinkers looks like the definition of an algorithm of actions that makes the new product popular and in demand among the general public. This is accompanied by the search for answers to questions such as: “How can our product stand out from the background of such leaders as X, Y, and Z?”, and “Why users can choose our product for many years despite the appearance of possible competitors?”, and etc. It can also be more precise questions like: “Won’t regular push notifications annoy our users?” or “Does it make sense to implement feature X, or will it not be useful to the vast majority of end users?”
As a result, after answering these questions, teams can create truly user-centric products that are viable and competitive for many years to come.
How Is It Different from Design Thinking?
Let’s define the difference between these two concepts: product thinking vs design thinking.
While design thinking focuses on solving particular problems that end users face, product thinking identifies these problems and prioritizes their solution (and answers the question of whether they need to be solved at all). That is, the whole product thinking actually determines the scope of work that is then carried out with the help of design thinking.
In general, you should understand that product thinking solves problems and is not intended for finding a win-win solution for specific tasks. Another thing is that for problems, there are no algorithms that guarantee a solution. There is only a huge set of heuristics, and which one to choose is up to you.
Therefore, the more experience you have in product thinking, the better. The fact is that choosing the right technique is creative work because each technique, when applied to a specific case, can both help and harm, but in most cases, it will not work at all. This is something that is not yet subject to artificial intelligence and is unlikely to be subject to ever. That's why this type of thinking is essentially a prism of the existing experience of a particular specialist, which can be applied from different angles to each new product they work on.
Why Does Product Thinking Matter?
In reality, the product mindset is responsible for the ability to quickly collect information from various sources, analyze it, make the best decision based on it, and bear responsibility for it. Thus, product thinking is aimed at exploring and understanding the goals and needs of end users, analyzing the advantages and disadvantages of competitors, the formation and creation of hypotheses and solutions aimed at providing real value to the product, as well as applying existing expertise in new products.
The result of effective product thinking is a successful product that is loved by its target audience and has outstanding features that competitors will strive to copy. From a business point of view, meeting these goals ensures the viability of the product for many years to come and guarantees (almost always) its high profitability for its owners.
Three Main Tasks Product Thinking Covers
What are the three main tasks of product thinking? Let's consider each of them right now.
Defining the customer and their problem to be solved
One of the main tasks of product thinking is to determine the main characteristics (demographic and behavioral) of the target audience and identify typical problems for them that you are going to solve with your product. However, to provide maximum value, it is important that your product does it faster and more efficiently than competing solutions.
Uncovering the tasks the product is used to
Another task that product thinking solves is the definition of the highest priority tasks that the product should solve. For example, if we are talking about a social network, it can be communication with other users, publishing users’ own authored content, as well as promoting user accounts due to other users’ reactions.
Identifying the desired outcomes
Finally, product thinking determines the final goals you want to achieve by launching your product. This may be a certain level of income, entering the international market, obtaining investments for further development, etc.
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The Product Thinking Process
And now, let's move on to practice and find out how our experts implement the process of product design thinking.
Identifying the problem
The first step to implementing product thinking is identifying the problem your product is supposed to solve. This problem must be considered from the point of view of the end user and not from the point of view of its owner. For example, your target audience is people who regularly go over their monthly budget and therefore have some debts and, even more so, cannot start saving money.
Looking for ways to solve the problem
Now you will need to think about what ways you can solve your target audience’s problem. Based on the above example, you can offer them a solution that would allow them to plan their budget, taking into account the necessary regular or already planned purchases, as well as the possibility of reserving a fixed amount for savings. Note that this is often not the only solution you need to come up with, and the more specific the problem, the more specific solutions you have to generate. In general, brainstorming works very well at this stage, especially when you have a team with whom you can discuss ideas without any judgment.
Choosing the best solution
Finally, from all the generated ideas, you must choose the most viable ones. In the first stages, ideas are screened out by voting. Then, you have to determine their viability and feasibility, taking into account the existing time, financial, and human resource constraints. After you have a few (2-3) ideas left that at first glance seem feasible, you can formulate ready-made hypotheses based on them, which will later be used for marketing research and, in particular, testing on representatives of your target audience. All in all, design thinking is about product development, which means that you can use your experience for the benefit of a successful implementation of any business idea you have.
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Conclusion
Now you know what product thinking is and can try to improve your skills in this specific direction to create solutions that will be valuable for their target audiences. If you are looking for an already experienced specialist who will embody their skills when building a product to achieve your business goals, please, contact us. We will provide you with an expert in the field of product thinking to do their best for your project and make it popular as fast as possible.
FAQ
What is product thinking?
Product thinking is an approach to product implementation that focuses on maximizing a product's value for its target audience by analyzing existing solutions, defining an algorithm of actions that makes the new product popular and in demand among the general public, and creating truly user-centric products that are viable and competitive for many years to come.
How is product thinking different from design thinking?
While design thinking focuses on solving particular problems that end users face, product thinking identifies these problems and prioritizes their solution (and answers the question of whether they need to be solved at all). That is, the whole product thinking actually determines the scope of work that is then carried out with the help of design thinking.
Why does product thinking matter?
Product thinking is important because it is responsible for exploring and understanding the goals and needs of end users, analyzing the advantages and disadvantages of competitors, forming and creating hypotheses and solutions aimed at providing real value to the product, as well as applying existing expertise in new products. The result of effective product thinking is a successful product that is loved by its target audience and has outstanding features that competitors will strive to copy, ensuring the viability of the product for many years to come and guaranteeing its high profitability for its owners.
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