A business case is essential to demonstrate the value of every proposed investment in a clear, logical manner. This webinar will walk through the steps necessary to identify the marketing requirements, competitive space and make a compelling business case. Jerry Rackley and John Follet of Demand Metric are joined by Cindy F. Solomon of Global Product Management Talk on this AIPMM Webcast AIPMM Membership benefits include the national Product Management Educational Conference, regional conferences, the Career Center, peer Forums, tools, templates, publications and eligibility to enroll in the Certification Programs. The Agile Certified Product Manager® (ACPM), Certified Product Manager® (CPM), Certified Product Marketing Manager® (CPMM), Certified Brand Manager® (CBM), and Certified Innovation Leader (CIL) programs allow individual members to demonstrate their level of expertise and provide corporate members an assurance that their product professionals are operating at peak performance. http://www.AIPMM.com Subscribe: http://www.aipmm.com/subscribe LinkedIn: http://www.linkedin.com/company/aipmm Membership: http://www.aipmm.com/join.php Certification: http://aipmm.com/html/certification Webinar Series: http://aipmm.com/aipmm_webinars/ Articles: http://www.aipmm.com/html/newsletter/article.php Moderated by Cindy F. Solomon, CPM, CPMM Founder, Global Product Management Talk @ProdMgmtTalk http://www.prodmgmttalk.com http://bit.ly/nbw9Yr

1. TODAY’S AGENDA
 Purpose & Need

Developing a Compelling Value of the Product Business Case
 How Product Managers are involved
Product Business Case  The ideal Product Business Case
 Plan Elements
A Demand  Using the Product Business Case
Metric & AIPMM  Summary
Webinar
Presenter: Jerry Rackley, Chief Analyst
jerry@demandmetric.com
© 2012 Demand Metric Research Corporation. All Rights Reserved.

2. Win!
Participate, ask questions and stay until the end to be entered into a drawing to win
one AIPMM Premium Membership (worth $175/year) that includes;
 DemandMetric premium level membership for 1 year (includes access to AIPMM ProdBOK
Productivity Tools)
 Eligibility for AIPMM Certification Exams
 Discounts from AIPMM partners
 Access to private AIPMM LinkedIn® group
 Eligibility to participate in Mentor Matching
 AIPMM Ambassador Council
 and more
© 2012 Demand Metric Research Corporation. All Rights

3. Today’s Speakers
 Moderator:
» Cindy F. Solomon, CPM, CPMM
» Global Product Management Talk , Startup Product Talks, Startup Product
Summit
» Twitter: @cindyfsolomon @prodmgmttalk @startupproduct
 Presenters:
» Jerry Rackley, Chief Analyst, Demand Metric
» John Follett, Chief Marketing Officer, Demand Metric
@AIPMM © 2012 Demand Metric Research Corporation. All Rights
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4. Featured Presentation
@AIPMM © 2012 Demand Metric Research Corporation. All Rights
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5. The Product Business Case
An objective, fact-based document that justifies a new product development effort.
 Provides the basis for investment.
 Articulates findings of market research.
 Quantifies the risks.
 Provides a financial model.
© 2012 Demand Metric Research Corporation. All Rights

6. Why do I need a Product Business Plan?
To achieve the preferred future for a product.
 It is a map that keeps you from straying.
 There are limited resources and it is an internal competition for them – the best plan wins!
© 2012 Demand Metric Research Corporation. All Rights

7. The value of a Product Business Plan
Minimizes risk.
A well-researched and documented Product Business Plan will:
 Force you to see any critical flaws in your product idea.
 Expose the plan to extensive internal review, creating confidence and buy-in
for the idea.
© 2012 Demand Metric Research Corporation. All Rights

8. How Product Managers are involved
 Authors
 Contributors
 Editors
 Researchers
 Critics
© 2012 Demand Metric Research Corporation. All Rights

9. The ideal Product Business Case
 Addresses upside & downside
 Is conservative
 Is clear & concise
 Is well-researched
 Is a “living” document
© 2012 Demand Metric Research Corporation. All Rights

10. Questions your plan should answer
1. Which needs are we solving?
2. Who are the potential customers that need it?
3. Why should we do this now?
4. What alternatives are available?
5. Why will they buy it from you?
6. How will we measure success?
7. How will you reach these potential customers?
8. Where will you get the financial resources you need for success?
9. What is the recommendation?
© 2012 Demand Metric Research Corporation. All Rights

11. Product Business Case elements
 Executive Summary
 Market Need & Solution
 Product
 Business Objective
 Market
 Customer
 Program
 Financial Analysis
 Recommendations & Conclusion
© 2012 Demand Metric Research Corporation. All Rights

12. Executive Summary
What problem does this business case solve?
Discuss:
 Cost-savings
 Revenue growth
Write this section last – after all
 Increased customer satisfaction other sections are complete.
 Better product management
 Higher retention, employee growth & development
 Pain points for your organization
© 2012 Demand Metric Research Corporation. All Rights

13. Market need & solution
Refer to your MRD, if available, for this section.
Discuss:
 Market opportunity
 Key Success Factors
» Budget
» Resources
» Skills
» Time
» Sponsorship
© 2012 Demand Metric Research Corporation. All Rights

14. Product
Refer to your PRD, if available, for this section.
State the positioning for this product and address each of these elements:
 Place
 Promotion
 Price
 People
 Process
 Physical evidence
Your product position should recognize and exploit your differentiation.
© 2012 Demand Metric Research Corporation. All Rights

15. Business objectives
What will the product achieve when launched?
Identify objectives for the product that are:
 Consistent with corporate
strategy & vision.
 Appropriate for where the product
is in its lifecycle.
 Complementary to the product
positioning.
http://www.businessmodelgeneration.com/canvas
© 2012 Demand Metric Research Corporation. All Rights

16. Market
Critical Success Factors: competition and market position.
 What’s the competitive landscape?
» Competitors
» Competing products
 How does the proposed positioning
exploit the product’s strengths and
competitive weaknesses?
 Use the Demand Metric Competitive
Analysis tool.
© 2012 Demand Metric Research Corporation. All Rights

17. Customer
Know thy customer.
 Segment – who are the ideal customers?
 Profile – what do they look like?
 Use the Demand Metric:
» Market Segmentation & Analysis tool.
» Customer Profile template.
© 2012 Demand Metric Research Corporation. All Rights

18. Program
Risks & contingency plans.
 Project scope.
 Project schedule.
 Key activities.
 Key resources.
 Project development cost & benefit
analysis.
 Use the Demand Metric Product
Development Charter template.
© 2012 Demand Metric Research Corporation. All Rights

19. Financial Analysis
Potential & financial viability timetable.
 Profit & Loss projection.
 Risk assessment.
 Use the Demand Metric:
» Break Even Analysis tool
» Risk Assessment tool
© 2012 Demand Metric Research Corporation. All Rights

20. Using the Product Business Case
 Pre-product development:
» Use it to gain commitment to the project.
» Use it to secure necessary resources.
 After development begins:
» Use it to stay on course.
» Keep it updated with current market data, financials, projections and competitive information.
» Refer to the plan when distractions or temptations arise to pull you off course.
© 2012 Demand Metric Research Corporation. All Rights

21. Summary
 A well-researched Product Business Case is the catalyst to successful product development.
 Product managers are heavily involved in all phases of developing a Product Business Case.
 Use the Product Business Case template and associated tools to simplify the task of creating one.
Questions?
© 2012 Demand Metric Research Corporation. All Rights

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23. The end 
© 2012 Demand Metric Research Corporation. All Rights