Imagine navigating a ship without a map. That’s what it feels like to design a product without a clear understanding of its strategic direction and grand vision. Good communication with product managers, developers, marketers and other stakeholders early in the process is essential—ensuring that every design decision aligns with the product’s goals and market needs. Without this alignment, even the most beautiful designs can fall flat, risking the entire product's success.
In the strategy phase, we need to familiarize ourselves with four core components of a products strategy—customers, competition, business, and the macro environment.
Customers
According to CB Insights, the most common reason for startup's failure is the lack of market need. In fact, 42% of businesses fail for this very reason. In this stage, the designer's role is to deepen their understanding of the problem they are trying to solve. The best way to achieve this is by talking to customers. Without customers, there is no business. You need to find out who the potential customers are and what they need. The more knowledge we gather, the better we can adapt to their needs and keep them satisfied.
We can as well create personas and customer journeys which will help us understand customer needs and pinpoint pain points.
Competition
We also need to be aware of the competition. Is someone already solving the same problem? Find out if their customers are dissatisfied, underserved, or if their solutions fall short in addressing key problems. We need to take note of what they are doing right as well, so we can identify the minimum requirements to compete in that market.
Overall, understanding the competition helps us position our product effectively in the market.
Business
The third important component of a good strategy is understanding the business and its goals. Knowing this will help us align our solutions to achieve these business goals.
By aligning design with business objectives, we can directly influence key metrics such as user retention, conversion rates, and brand loyalty.
For example, a mobile app that remembers a customer’s preferences and provides personalized product recommendations can make the shopping experience more enjoyable. This kind of thoughtful design encourages customers to return to the app repeatedly, building brand loyalty over time.
Macro Environment
What is the big picture? What are the external influences that can affect the path of your product? These could include technological advancements, emerging markets, or increased competition, to name a few.
As designers, it’s crucial to take an active role in the strategic phases of product development. Prioritize clear communication with the stakeholders from the get go. By doing so, you’ll ensure that every design decision forward contributes to the product’s success, ultimately leading to satisfied customers.
Let’s strive to design with purpose and direction, shaping products that not only meet but exceed the needs of the market.