Mastering product lifecycle management – for product managers
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TLDR

Product lifecycle management is key to successful product development and innovation. This article explores the stages of a product’s life, from launch to retirement, and how they differ across industries and product types. Here are the main takeaways:

• 
  
• The classic product lifecycle stages are introduction, growth, maturity, decline, and retirement.
  
• For software and SaaS products, development and lifecycle management often overlap.
  
• Ongoing customer feedback is vital throughout the product’s life.
  
• Teamwork across different departments is crucial for effective lifecycle management.
  
• Strategies need to be adapted for different types of products and industries.
  
• Innovation is key to extending and improving the product lifecycle.
  

Understanding these ideas and using them well can help product managers handle the complexities of product lifecycle management and drive innovation in their companies.

Introduction

In today’s fast-moving business world, product lifecycle management is a must-have tool for product managers and innovators. As markets change and customer needs shift, knowing how to guide a product through its various life stages is crucial for staying competitive and growing. Today we’re with John Rovnan, who takes us through the details of product lifecycle management, explaining strategies and best practices to help product managers excel.

Understanding the Product Lifecycle

The product lifecycle is a core concept in product management and innovation strategies. It covers a product’s entire journey from idea to market retirement. Let’s break down the traditional stages of the product lifecycle:

Stage
What Happens

Introduction
The product is launched and introduced to customers

Growth
Sales and market share grow quickly

Maturity
Sales growth slows down, competition increases

Decline
Sales decrease as newer products enter the market

Retirement
The product is taken off the market

It’s important to note that the product lifecycle can look very different depending on the type of product and its industry. For example, a software product’s lifecycle might be quite different from a medical device’s lifecycle.

In regulated industries like healthcare, the product lifecycle often faces more constraints due to rules and regulations. This can affect how quickly changes can be made to a product and what strategies can be used throughout its life.

When Product Development and Lifecycle Management Overlap

One key insight from the podcast is that product development and lifecycle management are increasingly overlapping, especially in software and SaaS industries.

This blending of stages offers both opportunities and challenges for product managers. On one hand, it allows for more flexible and responsive product development, with the ability to quickly make changes based on customer feedback. On the other hand, it can make it harder to clearly separate different stages of the product lifecycle.

For software products, the traditional “big bang” launch is often replaced by a more gradual rollout, with features being introduced bit by bit. This approach allows product managers to:

• 
  
• Use the software itself as part of the research process
  
• Try techniques like “concierge MVPs” and “fake doors” to gauge interest
  
• Continuously gather and use customer feedback
  

However, this blurring of development and lifecycle management can also create challenges. For example, product managers can get mired in the backlog and not have enough time to talk to customers.

Customer Feedback Throughout the Lifecycle

One of the most important aspects of effective product lifecycle management is continuously gathering and using customer feedback. This feedback is crucial not just during initial development, but throughout the entire life of the product.

The podcast emphasizes the importance of dedicating time to customer engagement, with some experts suggesting that product managers should spend about 30% of their time interacting with customers. However, the reality is often quite different, with many product managers struggling to find time for customer interactions among their other responsibilities.

To address this challenge, product managers can use several strategies:

1. 
   
2. Use existing resources: Get feedback from sales teams, customer service reps, and other customer-facing roles.
   
3. Conduct formal Voice of Customer (VOC) sessions: Schedule dedicated time for in-depth customer interviews and feedback sessions.
   
4. Use multiple channels: Incorporate feedback from various sources, including sales calls, customer support interactions, and user research.
   
5. Involve team members from different departments: Invite colleagues from various teams to participate in customer interactions and share insights.
   

It’s crucial to balance customer requests with the overall product vision.

Navigating Different Lifecycle Stages

Each stage of the product lifecycle presents unique challenges and opportunities. Let’s explore some strategies for effectively managing the growth, maturity, and decline stages.

Growth Stage

During the growth stage, product managers should focus on:

• 
  
• Quickly increasing market share
  
• Scaling operations to meet growing demand
  
• Monitoring and responding to emerging competitors
  
• Continuously improving the product based on early customer feedback
  

Maturity Stage

As the product enters maturity, competition typically increases, and sales growth may slow. Key strategies for this stage include:

• 
  
• Re-evaluating product positioning to stay relevant
  
• Enhancing product features to stand out from competitors
  
• Building and maintaining customer loyalty
  
• Optimizing pricing strategies
  

Rovnan emphasizes the importance of maintaining strong relationships with customers during this stage, particularly in industries like healthcare where loyalty plays a significant role. Understanding emotional aspects can help in building products that truly resonate with users.

Decline Stage

When a product enters the decline stage, product managers must make tough decisions. Key considerations include:

• 
  
• Recognizing when it’s time to retire the product
  
• Planning for a smooth transition away from the declining product
  
• Communicating effectively with customers, sales teams, and other stakeholders
  
• Using lessons from the declining product to inform future product development
  

Teamwork in Lifecycle Management

Effective product lifecycle management requires strong collaboration across various departments within an organization.

Some strategies for fostering cross-functional collaboration include:

• 
  
• Involving team members from different departments in customer interactions
  
• Sharing insights and learnings across teams
  
• Ensuring consistency in messaging and value proposition across all customer touchpoints
  
• Leveraging the expertise of different team members throughout the product lifecycle
  

By fostering a collaborative environment, product managers can ensure that all aspects of the product lifecycle are effectively managed, from development and marketing to sales and support.

Adapting to Different Product Types and Industries

The approach to product lifecycle management can vary significantly depending on the type of product and its industry. For example:

Regulated Industries (e.g., Medical Devices)

• 
  
• Higher bar for making changes to products
  
• Longer development cycles
  
• More extensive documentation and testing requirements
  
• Greater emphasis on long-term reliability and support
  

Software and SaaS Products

• 
  
• More frequent updates and iterations
  
• Ability to quickly respond to customer feedback
  
• Continuous development and deployment
  
• Greater flexibility in feature rollouts
  

Product managers must be aware of these differences and adapt their strategies accordingly to ensure effective lifecycle management across different product types and industries.

Innovation in the Product Lifecycle

Innovation plays a crucial role in product lifecycle management, helping to extend the life of existing products and create new opportunities for growth.

Rovnan breaks down the innovation process into three key components:

1. 
   
2. Creativity: Coming up with new ideas, regardless of feasibility
   
3. Invention: Building something new and different
   
4. Innovation: Creating solutions that change behavior or enable new possibilities
   

Rovnan uses the example of the Segway to illustrate the difference between invention and innovation. While the Segway was a novel invention, it didn’t truly innovate because it failed to consider the broader context of urban living and user needs.

Product managers should strive to balance small improvements with more transformative innovations throughout the product lifecycle. This approach can help maintain competitiveness in mature markets while also exploring new opportunities for growth.

Key Skills for Effective Product Lifecycle Management

To excel in product lifecycle management, product managers should develop and hone several key skills:

• 
  
• Flexibility and adaptability: The ability to adjust strategies as market conditions change
  
• Cross-functional communication: Effective collaboration with various departments and stakeholders
  
• Customer-centric mindset: A focus on understanding and meeting customer needs throughout the product lifecycle
  
• Strategic thinking: The ability to balance short-term goals with long-term product vision
  
• Data analysis: Skill in interpreting market trends and customer feedback to inform decision-making
  

By developing these skills, product managers can navigate the complexities of product lifecycle management more effectively and drive innovation within their organizations.

Conclusion

Product lifecycle management is a critical skill for product managers and innovators in today’s fast-paced business environment. By understanding the various stages of the product lifecycle, adapting strategies to different product types and industries, and fostering teamwork across departments, product managers can more effectively navigate the challenges of bringing products to market and maintaining their success over time.

Useful link:

• 
  
• Connect with John on LinkedIn
  

Innovation Quote

“Innovation changes behavior.” – John Rovnan

Application Questions

1. 
   
2. How does your company currently handle product lifecycle management? Are there areas where you see room for improvement?
   
3. What strategies have you found most effective for gathering and using customer feedback throughout the product lifecycle?
   
4. How do you balance the need for innovation with the constraints of your industry or product type?
   
5. In what ways has the blending of product development and lifecycle management affected your role as a product manager?
   
6. How do you encourage teamwork across different departments in your product lifecycle management efforts?
   

Bio

Today we are talking about life cycle management, which is a topic covered in the Innovation Management knowledge area. You’ll learn what the phases of a product life cycle are, how the life cycle is different for SaaS products vs products that involve hardware or take a physical form, and how you can better navigate the life cycles of your products.

Joining us is John Rovnan. He has an extensive background in new product development, that spans marketing, engineering, verification & validation, and regulatory compliance, with deep experience in medical technologies. He was most recently a Principal Product Manager at ISACA, a non-profit organization helping IT professionals grow their skills in digital trust and is starting a new role as we speak. John has also served in several roles for the Pittsburgh PDMA chapter, including Chapter President.

Thanks!

Thank you for taking the journey to product mastery and learning with me from the successes and failures of product innovators, managers, and developers. If you enjoyed the discussion, help out a fellow product manager by sharing it using the social media buttons you see below.