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Digital Strategy Webcast
Building a Products Portfolio for Real Business Results
Dan Tortorici
@dantortorici

Jeremy Anticouni
@JeremyAnticouni
Social Content Channels
YouTube

Slideshare

http://youtube.com/apigee

http://slideshare.com/apigee

© 2013 Apigee Corp. ...
I Love APIs Conference 2013

© 2013 Apigee Corp. All Rights Reserved

4
Building a Digital Product Portfolio
Introduction

5
d
Powered by Apigee

;

© 2013 Apigee Corp. All Rights Reserved
Agenda
•  Digital products
•  Business models and monetization
•  Digital product design and development
•  Final thoughts...
Digital Success Model
Digital Strategy
Initiative

Metrics

Digital Products
Insights

Apps

Business
Channel

Customer
An...
Digital products, what are they?
•  Media
•  Mobile Apps
•  Tablet Apps
•  Next generation devices
•  Any device specific ...
A new opportunity
•  Ability to repurpose and combine
existing assets in a new and compelling
way
–  Extending service
–  ...
Characteristics of digital products
•  For the App user
–  Easy to use as dictated by device form factor
–  Provide fast a...
The API: Key to unlocking digital business
A hotel guest needs access to
desired services

Seeks the help of a concierge t...
The API product and team
•  API product
–  Treat the same as you would any other software product
–  Design API products f...
Agenda
•  Digital products
•  Business models and monetization
•  Digital product design and development
•  Final thoughts...
Aligning business model with goals
•  Business and IT need to be in alignment with both business and
technical visions
•  ...
Business goals driving digital business
•  Customer investment
–  Increasing customer interaction with additional points o...
World Bank: Extending reach
•  Extending reach and impact through
mobile
•  Enabling external innovation with
Open API and...
OnStar: Increase services available to the customer

Needed to expand use of OnStar network for
greater value beyond exist...
Business models for API monetization
Free

Revenue Sharing

© 2013 Apigee Corp. All Rights Reserved

Fees

Charging

19
Business models for API monetization
Free

Fees

Revenue Sharing

Charging

Duration

One off

Fixed Revenue

Transaction ...
Best practices
•  Model and monetization are specific to each API product
•  Business model
–  Align with business goals w...
Agenda
•  Digital products
•  Business models and monetization
•  Digital product design and development
•  Final thoughts...
Who are the developers?
Who uses the API?

App Types

Internal Developers
(Internal API)

B2E, S2S
B2B, B2C,

Partner Deve...
Design: Data, transaction, access
•  Data is the link across all your touchpoints and should enable
consistent service and...
Design: Brand, metrics, marketing
•  Apps provide another channel to reinforce brand
•  Can help demonstrate the uniquenes...
Best practices for mobile app design
•  Wireframing & Prototyping
–  UX design and validation are critical to the success ...
Best practices for developers
•  External Developers
•  Streamline the process, if they can’t self-service register they w...
Agenda
•  Digital products
•  Business models and monetization
•  Digital product design and development
•  Final thoughts...
Final thoughts
•  Digital products enable business solutions for all the classic business
challenges

© 2013 Apigee Corp. ...
Final thoughts
•  Digital products enable business opportunity for all the classic
business challenges
•  Well designed pr...
Final thoughts
•  Digital products enable business opportunity for all the classic
business challenges
•  Well designed pr...
Final thoughts
•  Digital products enable business opportunity for all the classic
business challenges
•  Well designed pr...
I Love APIs Conference 2013

© 2013 Apigee Corp. All Rights Reserved

33
Questions

Dan Tortorici
@DanTortorici

Jeremy Anticouni
@JeremyAnticouni
Thank you
youtube.com/apigee!
slideshare.com/apigee!
linkedin.com/company/apigee!
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Building a Digital Products Portfolio for Real Business Results

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Today's enterprise strives to deliver exceptional customer experience, business process efficiency, and customer profitability. Given an enterprise's existing set of products, how do you define a portfolio of digital products to drive innovation and deliver real business results? How does business strategy shape a digital products portfolio? What technical and organizational processes & structures are common among successful digital products?

Join Michael Leppitsch and Dan Tortorici for a discussion of what a digital products portfolio looks like, how a portfolio is shaped by your business strategy and by your consumer, and how a robust digital products portfolio leads to customer adoption, satisfaction, and profitability.

Join to discuss:
- Digital products and how they shape customer experience and behavior
- Influences that inform and shape successful digital product portfolios
- Common traits and patterns in successful digital products

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Transcript of "Building a Digital Products Portfolio for Real Business Results"

  1. 1. Digital Strategy Webcast Building a Products Portfolio for Real Business Results
  2. 2. Dan Tortorici @dantortorici Jeremy Anticouni @JeremyAnticouni
  3. 3. Social Content Channels YouTube Slideshare http://youtube.com/apigee http://slideshare.com/apigee © 2013 Apigee Corp. All Rights Reserved 3
  4. 4. I Love APIs Conference 2013 © 2013 Apigee Corp. All Rights Reserved 4
  5. 5. Building a Digital Product Portfolio Introduction 5 d
  6. 6. Powered by Apigee ; © 2013 Apigee Corp. All Rights Reserved
  7. 7. Agenda •  Digital products •  Business models and monetization •  Digital product design and development •  Final thoughts © 2013 Apigee Corp. All Rights Reserved 7
  8. 8. Digital Success Model Digital Strategy Initiative Metrics Digital Products Insights Apps Business Channel Customer Analytics Digital Ecosystem Recruitment Support Ecosystem Analytics Transformations Platform Analytics Community Digital Platform Blueprint Service Level Management IT Architecture IT Resources © 2013 Apigee Corp. All Rights Reserved Security & Privacy Operations Model Operational Analytics 8
  9. 9. Digital products, what are they? •  Media •  Mobile Apps •  Tablet Apps •  Next generation devices •  Any device specific to your business –  Auto dash and telematics •  Devices and the IOT © 2013 Apigee Corp. All Rights Reserved 9
  10. 10. A new opportunity •  Ability to repurpose and combine existing assets in a new and compelling way –  Extending service –  Increasing customer interaction •  Increased synergy with partners to provide products and value beyond enterprise walls •  Crowd sourced innovation that can deliver products that were previously unimaginable © 2013 Apigee Corp. All Rights Reserved 10
  11. 11. Characteristics of digital products •  For the App user –  Easy to use as dictated by device form factor –  Provide fast access to useful information and services –  Provide value relevant to target device –  Consumer expectations raise the bar •  For the business –  Extend backoffice, frontoffice, transactional systems in new ways not previously possible –  Employ a business model aligned with business goals –  Achieve ‘impulse interaction’ with customer for greater mindshare © 2013 Apigee Corp. All Rights Reserved 11
  12. 12. The API: Key to unlocking digital business A hotel guest needs access to desired services Seeks the help of a concierge that simplifies access to services Which are available from Service Providers Dining Events Golf An App needs access to desired services Seeks the help of an API to simplify access to services, Which are available from all kinds of Service Providers managed by an API Platform © 2013 Apigee Corp. All Rights Reserved 12
  13. 13. The API product and team •  API product –  Treat the same as you would any other software product –  Design API products for the developers you need to target –  Design for an ‘Open API’ even though initial use may be internal •  API team –  Cross functional team that covers all aspects of product lifecycle –  Business, product management, marketing, IT operations, engineering etc. © 2013 Apigee Corp. All Rights Reserved 13
  14. 14. Agenda •  Digital products •  Business models and monetization •  Digital product design and development •  Final thoughts © 2013 Apigee Corp. All Rights Reserved 14
  15. 15. Aligning business model with goals •  Business and IT need to be in alignment with both business and technical visions •  Business objectives are powerful driver to business model •  Increasing revenue –  Through imagining existing product in digital world (locators, upsell, crosssell, distribution partners) –  New products that leverage existing ones and combine with compelling digital added value (partner synergy, social community) –  Extending reach to connect with new sources of prospects © 2013 Apigee Corp. All Rights Reserved 15
  16. 16. Business goals driving digital business •  Customer investment –  Increasing customer interaction with additional points of contact –  Increasing services available to the customer –  Loyalty programs that leverage social and mobile •  Internal efficiency and productivity –  Eliminating partner integrations –  Increasing enterprise agility and flexibility –  Enabling greater value of company information © 2013 Apigee Corp. All Rights Reserved 16
  17. 17. World Bank: Extending reach •  Extending reach and impact through mobile •  Enabling external innovation with Open API and contests © 2013 Apigee Corp. All Rights Reserved 17
  18. 18. OnStar: Increase services available to the customer Needed to expand use of OnStar network for greater value beyond existing services offered •  •  Partner API enabled RelayRides to offer unique car rental service Partner API also used with B2B Smart Grid electric companies for efficient Chevy Volt charging scheduling “We feel that opening up our proprietary API to developers will ensure that OnStar continues to keep customers connected in ways they never thought possible..” - Eric Litt, CIO © 2013 Apigee Corp. All Rights Reserved 18
  19. 19. Business models for API monetization Free Revenue Sharing © 2013 Apigee Corp. All Rights Reserved Fees Charging 19
  20. 20. Business models for API monetization Free Fees Revenue Sharing Charging Duration One off Fixed Revenue Transaction volume Quantity Recurring Share bands Custom attribute Product specific Flat rate Tax model Flexible banded Group /company Virtual currency Combination Group /company Product specific Bundled © 2013 Apigee Corp. All Rights Reserved 20
  21. 21. Best practices •  Model and monetization are specific to each API product •  Business model –  Align with business goals which will determine developer community –  If external developers are involved, keep a free API for fast learning –  Business models evolve: Netflix changed to a partner model which drove client availability •  Monetization –  Needs to be a win-win for you and your developers –  Often the best strategy is an extension of your current revenue strategy –  Monetizing the API itself not recommended, too much differentiation and value required © 2013 Apigee Corp. All Rights Reserved
  22. 22. Agenda •  Digital products •  Business models and monetization •  Digital product design and development •  Final thoughts © 2013 Apigee Corp. All Rights Reserved 22
  23. 23. Who are the developers? Who uses the API? App Types Internal Developers (Internal API) B2E, S2S B2B, B2C, Partner Developers (Partner API) B2C Developers Anywhere (Open API) B2C © 2013 Apigee Corp. All Rights Reserved Examples
  24. 24. Design: Data, transaction, access •  Data is the link across all your touchpoints and should enable consistent service and reflect customer relationship •  Transactions may be within the App for greater impulse purchases or the App may be used to driver greater sales through normal channels •  Easy access to service of value is an important hurdle to overcome to keep customers engaged © 2013 Apigee Corp. All Rights Reserved
  25. 25. Design: Brand, metrics, marketing •  Apps provide another channel to reinforce brand •  Can help demonstrate the uniqueness of your brand as well •  The digital economy provides many data points to measure: –  –  –  –  Awareness: Page views and general API traffic Registrations: Converting awareness to interest Downloads: Product trials and evaluations App purchases: Revenue associated with the digital channel •  API programs and Apps need marketing like any other product © 2013 Apigee Corp. All Rights Reserved
  26. 26. Best practices for mobile app design •  Wireframing & Prototyping –  UX design and validation are critical to the success of an app. –  Cutting corners here often leads to significantly longer development. •  Limited Real Estate –  Mobile devices have limited real estate. –  Ensure that your UI elements are properly sized and have a need to exist. •  Less Is More –  Complicated interfaces are easy. –  Crafting a beautiful UI that is intuitive and simple: far more challenging. © 2013 Apigee Corp. All Rights Reserved 26
  27. 27. Best practices for developers •  External Developers •  Streamline the process, if they can’t self-service register they will go elsewhere •  The ‘Time to First Response’ is critical! •  ‘Learn by trying’ environment simplifies learning •  ‘Free’ access encourages taking the next step •  Sample code makes it easy to experience success •  Example Apps show functionality in context •  Available docs answer any corner cases •  Access to support eliminates obstacles © 2013 Apigee Corp. All Rights Reserved 27
  28. 28. Agenda •  Digital products •  Business models and monetization •  Digital product design and development •  Final thoughts © 2013 Apigee Corp. All Rights Reserved 28
  29. 29. Final thoughts •  Digital products enable business solutions for all the classic business challenges © 2013 Apigee Corp. All Rights Reserved 29
  30. 30. Final thoughts •  Digital products enable business opportunity for all the classic business challenges •  Well designed products enable opportunities unique to the digital economy © 2013 Apigee Corp. All Rights Reserved 30
  31. 31. Final thoughts •  Digital products enable business opportunity for all the classic business challenges •  Well designed products enable opportunities unique to the digital economy •  Business models need to fit the characteristics and business goals of the API © 2013 Apigee Corp. All Rights Reserved 31
  32. 32. Final thoughts •  Digital products enable business opportunity for all the classic business challenges •  Well designed products enable opportunities unique to the digital economy •  Business models need to fit the characteristics and business goals of the API •  Design and development best practices provide the foundation for ease of use and customer satisfaction © 2013 Apigee Corp. All Rights Reserved 32
  33. 33. I Love APIs Conference 2013 © 2013 Apigee Corp. All Rights Reserved 33
  34. 34. Questions Dan Tortorici @DanTortorici Jeremy Anticouni @JeremyAnticouni
  35. 35. Thank you youtube.com/apigee! slideshare.com/apigee! linkedin.com/company/apigee!
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