API Product Management - Product Strategy for Business Ecosystems Andrea Zulian, Swisscom and author of “API Product Management”

1. API PRODUCT MANAGEMENT
Product Strategy for Business Ecosystems
Andrea Zulian
API Days - Zurich, 21th May 2019

2. ANDREA ZULIAN
Sr. Product Manager @Swisscom
https://www.linkedin.com/in/andreazulian
Co-Author of: API Product Management
www.apiproductmanagement.com

3. ”Innovation remains challenging. Creating new business and
operating models, building the right skills and competencies and
culture of innovation is a big step for most. Real innovation is
much more than just technology”
Gartner

4. THE API ECONOMY

5. make digital society and
digital business workAPIs

6. APIs open new business
opportunitiesWHY APIs

7. Each wave asks you to change the way you see the
world, from being very internally focused to being
part of a dynamic, evolving business ecosystem.
11 VALUE CHAINA focus on the Value Chain using APIs to
developing and optimizing internal processes
WAVES
of Business Innovation
Driven by APIs

8. Each wave asks you to change the way you see the
world, from being very internally focused to being
part of a dynamic, evolving business ecosystem.
2
1
2 PLATFORM-LED
1 VALUE CHAIN
A focus on creating new API-based products and
services and using platforms to deliver them
A focus on the Value Chain using APIs to
developing and optimizing internal processes
WAVES
of Business Innovation
Driven by APIs

9. Each wave asks you to change the way you see the
world, from being very internally focused to being
part of a dynamic, evolving business ecosystem.
3
2
1
3 DISTRIBUTEDFocus on playing a part in the ecosystem, influencing it with valuable
API-based/API-supported products and services (distributed)
2 PLATFORM-LED
1 VALUE CHAIN
Focus on creating new API-based products and services
and using platforms to deliver them (platform-led)
Focus on the Value Chain using APIs to developing
and optimizing internal processes (value chain)
WAVES
of Business Innovation
Driven by APIs

10. 3
2
1

11. 3
2
1

12. 3
2
1

13. 3
DIGITAL
TRANSFORMATION
2
DIGITALIZATION
1
DIGITIZATION

14. BUSINESS INNOVATION THROUGH APIs
Developing API Solutions that make
the value-chain more efficient
3
DIGITAL
TRANSFORMATION
2
DIGITALIZATION
1
DIGITIZATION

15. BUSINESS INNOVATION THROUGH APIs
Developing API Solutions that make
the value-chain more efficient
Offering API Products that make the
core products and services more valuable
3
DIGITAL
TRANSFORMATION
2
DIGITALIZATION
1
DIGITIZATION

16. BUSINESS INNOVATION THROUGH APIs
Offering API Products that make the Company
relevant or outstanding in the Digital Economy
Offering API Products that make the
core products and services more valuable
Developing API Solutions that make
the value-chain more efficient
3
DIGITAL
TRANSFORMATION
2
DIGITALIZATION
1
DIGITIZATION

17. 1. DIGITIZATION & DIGITALIZATION
B 2 X

18. The Brand-Centric Ecosystem

19. The Brand-Centric Ecosystem

20. The Brand-Centric Ecosystem

21. The Brand-Centric Ecosystem
Customer experience is directly shaped by the company’s products

22. The Brand-Centric Ecosystem
Companies compete for the market
share within their own Industry
Delivered features and services control
the customers’ experience
Successful companies are the ones
who transform customers in fans
APIs to optimize internal processes or
API Products generating new value

23. API GENERATING ADDITIONAL REVENUES
API
DATA
SOURCES
APPLICATIONS
VALUE CHAIN
PROCESSES
API

24. API GENERATING ADDITIONAL REVENUES
API
?
DATA
SOURCES
APPLICATIONS
VALUE CHAIN
PROCESSES
API

25. ”Taking advantage of innovations in digital technologies to
create new business models, services and experiences remains
a priority for many organizations”
Gartner

26. MONETIZATION OF DATA IS A MISLEADING UTOPY

27. The Art of
Solving Problems to
Customers and Partners
From INSIDE-OUT
to OUTSIDE-IN

28. INSIDE-OUT: API AS APPLICATION INTERFACE
API
?
DATA
SOURCES
APPLICATIONS
VALUE CHAIN
PROCESSES
API

29. FROM INSIDE-OUT TO OUTSIDE-IN
API
?
DATA
SOURCES
APPLICATIONS
VALUE CHAIN
PROCESSES
API

30. API
?
DATA
SOURCES
APPLICATIONS
VALUE CHAIN
PROCESSES
FROM INSIDE-OUT TO OUTSIDE-IN

31. API
DATA
SOURCES
APPLICATIONS
VALUE CHAIN
PROCESSES
FROM INSIDE-OUT TO OUTSIDE-IN

32. API
DATA
SOURCES
APPLICATIONS
VALUE CHAIN
PROCESSES
GAINS
PAINS
CUSTOMER’S
JOBS &
PROCESSES
FROM INSIDE-OUT TO OUTSIDE-IN

33. API
DATA
SOURCES
APPLICATIONS
VALUE CHAIN
PROCESSES
GAINS
PAINS
CUSTOMER’S
JOBS &
PROCESSES
GAIN CREATORS
PAIN RELIEVERS
DATA
SOURCES
APPLICATIONS
VALUE CHAIN
PROCESSES
FROM INSIDE-OUT TO OUTSIDE-IN
VALUEPROPOSITION

34. API
DATA
SOURCES
APPLICATIONS
VALUE CHAIN
PROCESSES
GAINS
PAINS
CUSTOMER’S
JOBS &
PROCESSES
VALUEPROPOSITION
GAIN CREATORS
PAIN RELIEVERS
DATA
SOURCES
APPLICATIONS
VALUE CHAIN
PROCESSES
PROBLEM-SOLUTION
FIT
FROM INSIDE-OUT TO OUTSIDE-IN

35. API
DATA
SOURCES
APPLICATIONS
VALUE CHAIN
PROCESSES
GAINS
PAINS
CUSTOMER’S
JOBS &
PROCESSES
GAIN CREATORS
PAIN RELIEVERS
DATA
SOURCES
APPLICATIONS
VALUE CHAIN
PROCESSES
PROBLEM-SOLUTION
FIT
API
VALUEPROPOSITION
FROM INSIDE-OUT TO OUTSIDE-IN

36. Ultimately, the API is about the
interface to a value proposition,
not to an application
API

37. Ultimately, the API is about the
interface to a value proposition,
not to an application
VPI

38. 2. DIGITAL TRANSFORMATION
B 2 B 2 X

39. The Customer-Centric Ecosystems

40. The Customer-Centric Ecosystems

41. The Customer-Centric Ecosystems

42. The Customer-Centric Ecosystems
Companies influence the customer experience providing products and services in
collaboration with other ‘influencers’

43. The Customer-Centric Ecosystems
Companies compete to forge
partnerships with leaders in other
Industries and markets
Companies play a part, influencing and
not controlling customers’ UX
Successful companies are the ones
that are open and connected
API Products are the Building Blocks
of a Distributed Digital Business

44. The Building Blocks of a
Distributed Digital
Business
API
PRODUCTS

45. API PRODUCTS
Are products offered ‘as-a-service’

46. API PRODUCTS
Are products offered ‘as-a-service’ and
consumable through APIs.

47. API PRODUCTS
Are products offered ‘as-a-service’ and
consumable through APIs.

48. API PRODUCTS
Are products offered ‘as-a-service’ and
consumable through APIs.
A good API Product is a perfect piece of the
customer’s ecosystem puzzle.

49. API PRODUCTS
Are products offered ‘as-a-service’ and
consumable through APIs.
A good API Product is a perfect piece of the
customer’s ecosystem puzzle.

50. API PRODUCTS
Are products offered ‘as-a-service’ and
consumable through APIs.
A good API Product is a perfect piece of the
customer’s ecosystem puzzle.

51. API PRODUCTS
Are products offered ‘as-a-service’ and
consumable through APIs.
A good API Product is a perfect piece of the
customer’s ecosystem puzzle.

54. GREAT API PRODUCTS

55. GREAT API PRODUCTS
Open new business opportunities enabling new
partnerships and business models efficiently.

56. GREAT API PRODUCTS
Open new business opportunities enabling new
partnerships and business models efficiently.
Adopted by a network of partners who are
leaders in their Industries and Markets.

57. GREAT API PRODUCTS
The levers to strongly influence the customer
ecosystems in the Digital Economy.
Open new business opportunities enabling new
partnerships and business models efficiently.
Adopted by a network of partners who are
leaders in their Industries and Markets.

58. Every Industry will be disrupted!
No matter how well established is
your business.
DIGITAL
ECONOMY

59. Offer
Cloud Communications PaaS offered
via APIs (programmable telco
services)
Market
Worldwide, b2b. 40K+ customers and
strategic partners
Industry
Communications
Concept
Starting from Amazon’s API first
culture, Twilio disrupted telco B2B
connectivity market
Case Study: Twilio
Twilio disrupted the telco industry with a 100% APIs-based offer

60. Case Study: Twilio
Twilio disrupted the telco industry with a 100% APIs-based offer
Offer
Cloud Communications PaaS offered
via APIs (programmable telco
services)
Market
Worldwide, b2b. 40K+ customers and
strategic partners
Industry
Communications
Concept
Starting from Amazon’s API first
culture, Twilio disrupted telco B2B
connectivity market

61. Offer
Multiroom, wireless, and Hi-Fi smart
speakers
Market
Global, b2c. Partnership with media
streaming and smart home providers
Industry
Consumer electronics
Concept
The smart home sound system
Case Study: Sonos
Reinventing home audio for today and for tomorrow

62. Case Study: Smart “ready to”
Smart “ready to”. Digital services make life easier in the city
Offer
Digital services to make the life of
Smart owners easier in the city
Market
Worldwide, b2b2c. customers and
strategic partners in other industries
Industry
Automotive
Concept
You are not merely buying a city-car,
but a plethora of services that fits
perfectly on your ecosystem

63. Case Study: Smart “ready to drop”
Turn your boot into your personal DHL Parcel Box
Offer
Digital services to make the life of
Smart owners easier in the city
Market
Worldwide, b2b2c. customers and
strategic partners in other industries
Industry
Automotive
Concept
You are not merely buying a city-car,
but also a flexible parcels delivery box

64. SMART CATALOGS
digital.swisscom.com/products/smartcatalogs-natelgo

65. WHY WE MADE IT
Case Study: Swisscom Smart Catalogs
Next generation e-Procurement capabilities for Swisscom products and services

66. INTRAPRENEURSHIP
THE "CORPORATE STARTUP"
MINDSET

67. INTRAPRENEURSHIP
THE "CORPORATE STARTUP"
MINDSET
PRODUCT MANAGER (BIZ)

68. INTRAPRENEURSHIP
THE "CORPORATE STARTUP"
MINDSET
DEV-OPS TEAM
PRODUCT MANAGER (BIZ)

69. GENERATE VALUE (WITH LICENSE TO FAIL)
INTRAPRENEURSHIP
THE "CORPORATE STARTUP"
MINDSET
DEV-OPS TEAM
PRODUCT MANAGER (BIZ)

70. Exploit existing knowledge,
assets, and data to compete
in the Digital Economy
CORE BUSINESS
FIRST!

71. Access to information and people
from the business frontline is
crucial to succeed
OPPORTUNITY
MAKES A THIEF

72. WHAT WE MADE
Case Study: Swisscom Smart Catalogs
Next generation e-Procurement capabilities for Swisscom products and services

73. Case Study: Swisscom Smart Catalogs
Next generation e-Procurement capabilities for Swisscom products and services
Offer
e-Procurement processes automation
for Swisscom Enterprise Customers
Market
Switzerland, b2b2b. Enterprise customers
and partners (fleet management).
Industry
Telecommunications
Concept
Provisioning, Inventory, and Reporting
capabilities for the Digital Economy

74. Smart Catalogs is a line of API Products for
Swisscom Enterprise Customers, designed and
built to offering value, services, and experiences in
collaboration with other existing or new suppliers.
Case Study: Swisscom Smart Catalogs
Next generation e-Procurement capabilities for Swisscom products and services
IoT
Fleet
mgmt
SaaS
EAI
AVS

75. Swisscom NATEL®go is the last generation mobile connectivity product for Enterprise
customers.
Smart Catalogs for NATEL® go is the API Product offered to customers and
partners launched as MVP in Q1 2018. The potential generated value is
estimated at about $ 20 Mil./Year, and costs saving at about $ 3.5 Mil./Year.
https://digital.swisscom.com/products/smartcatalogs-natelgo
Customers with direct contract
500
Target Customers
Number of Enterprise customers identified as
the target segment of Smart Catalogs
170+
Managed Customers (Q2 2019)
Number of Smart Catalogs for NATEL go
managed Enterprise customers after 1 Year
from launch
900,000
Target Subscriptions
Number of overall Enterprise mobile
subscriptions managed by Swisscom
300.000
Managed Subscriptions
Number of subscriptions managed through
Smart Catalogs for NATEL go after 16 months
from launch
CASE STUDY:
SMART
CATALOGS
for NATEL®go
97%
Customers managed through Partners
3%
b2b b2b2b

76. HOW WE MADE IT
Case Study: Swisscom Smart Catalogs
Next generation e-Procurement capabilities for Swisscom products and services

77. Transforming ideas in API Products
having solid vision and strategy is a
matter of methodology, not creativity
API PRODUCT
MANAGEMENT

78. THE API PRODUCT CANVAS
FEATURES
CUSTOMERS
KEY METRICS
COSTS REVENUE
BUSINESS
GOALS
ECOSYSTEMS
VALUE PROPOSITION The "API Product Canvas" is a 1-page
business plan template that helps you
deconstruct the API Product idea into
its key assumptions. It replaces
elaborate business plans with a single
page business model.
PROBLEMS

79. STARTING FROM THE LEAN STARTUP
BUILD
the Minimum Viable Product
to test the Idea
LEARN
to adapt or pivot the Idea
MEASURE
performances and collect dataBUILD-MEASURE-LEARN
CYCLE
Product
Data
Idea

80. PROTOTYPE
Prototype-first! aka: “Don’t start with an MVP”
CONCEPTION
CYCLE
LEAN API PRODUCT DELIVERY PROCESS

81. VALIDATE
PROTOTYPE
Prototype-first! aka: “Don’t start with an MVP”
CONCEPTION
CYCLE
LEAN API PRODUCT DELIVERY PROCESS
Run interviews and usability studies to
validate the problem-solution fit

82. LEARN
Results-driven problem-solution fit validation
VALIDATE
PROTOTYPE
Prototype-first! aka: “Don’t start with an MVP”
CONCEPTION
CYCLE
LEAN API PRODUCT DELIVERY PROCESS
Run interviews and usability studies to
validate the problem-solution fit

83. LEARN
Results-driven problem-solution fit validation
VALIDATE
PROTOTYPE
Prototype-first! aka: “Don’t start with an MVP”
CONCEPTION
CYCLE
LEAN API PRODUCT DELIVERY PROCESS
IMPROVE
Improve the feature to achieve problem-solution fit
Run interviews and usability studies to
validate the problem-solution fit

84. LEARN
Results-driven problem-solution fit validation
VALIDATE
PROTOTYPE
Prototype-first! aka: “Don’t start with an MVP”
BUILD
Start Product development only when
problem-solution fit is reasonably guaranteed
CONCEPTION
CYCLE
DEVELOPMENT
CYCLE
LEAN API PRODUCT DELIVERY PROCESS
IMPROVE
Improve the feature to achieve problem-solution fit
Run interviews and usability studies to
validate the problem-solution fit

85. LEARN
Results-driven problem-solution fit validation
VALIDATE
PROTOTYPE
Prototype-first! aka: “Don’t start with an MVP”
MEASURE
Analytics to measure your features
performances
BUILD
Start Product development only when
problem-solution fit is reasonably guaranteed
CONCEPTION
CYCLE
DEVELOPMENT
CYCLE
LEAN API PRODUCT DELIVERY PROCESS
IMPROVE
Improve the feature to achieve problem-solution fit
Run interviews and usability studies to
validate the problem-solution fit

86. LEARN
Results-driven problem-solution fit validation
VALIDATE
PROTOTYPE
Prototype-first! aka: “Don’t start with an MVP”
LEARN
Data-driven problem-solution fit and
product-market fit validation
MEASURE
Analytics to measure your features
performances
BUILD
Start Product development only when
problem-solution fit is reasonably guaranteed
CONCEPTION
CYCLE
DEVELOPMENT
CYCLE
LEAN API PRODUCT DELIVERY PROCESS
IMPROVE
Improve the feature to achieve problem-solution fit
Run interviews and usability studies to
validate the problem-solution fit

87. LEARN
Results-driven problem-solution fit validation
VALIDATE
Run interviews and usability studies to
validate the problem-solution fit
PROTOTYPE
Prototype-first! aka: “Don’t start with an MVP”
LEARN
Data-driven problem-solution fit and
product-market fit validation
MEASURE
Analytics to measure your features
performances
BUILD
Start Product development only when
problem-solution fit is reasonably guaranteed
CONCEPTION
CYCLE
DEVELOPMENT
CYCLE
LEAN API PRODUCT DELIVERY PROCESS
IMPROVE
Improve the feature to achieve problem-solution fit
or business goals
IMPROVE
Consolidate product strategy, add or remove
features, pricing, and adjust business goals

88. CONCEPTION
CYCLE
DEVELOPMENT
CYCLE
LEAN API PRODUCT DELIVERY PROCESS

89. CONCEPTION
CYCLE
DEVELOPMENT
CYCLE
LEAN API PRODUCT DELIVERY PROCESS

90. CONCEPTION
CYCLE
DEVELOPMENT
CYCLE
VALIDATE LEARN IMPROVE
LEARN
PROTOTYPE
IMPROVE BUILD
MEASURE
It's all about
RISK MANAGEMENT
LEAN API PRODUCT DELIVERY PROCESS

91. THE API PRODUCT MANAGEMENT BOOK
The key topics covered by the methodology, from conception to launch.
02
CONCEPTION
How to use Interviews and Studies results plus
data analytics to define the next killer features
DRIVEN BY DATA
AND ANALYTICS
01
Understand the API Economy and
create API Products that fit with
your company’s business
INSPIRED BY A
CONNECTED WORLD

92. The one-pager API Product strategy canvas
is an efficient communication tool towards
delivery teams and stakeholders
API PRODUCT CANVAS
Customer-centered design tools and
methodologies for API Product design
FOCUSED ON
CUSTOMER’S PROBLEMS
Partnerships-based competitive
analysis and effective API Products
monetization strategies
COMPETITIVE ANALYSIS &
MONETIZATION
03
04
05
STRATEGY
CONCEPTION

93. Clear roadmaps with features’
measurable goals for generating
trust and involving teams
GOAL-ORIENTED
ROADMAPS
Intuitive User Interfaces are
crucial for faster and broader
API Product adoption
SIMPLICITY IS THE
ULTIMATE SOPHISTICATION
Problem-solution fit and product-market fit
validations through Interviews and Usability
Studies conducted with prototypes
PROTOTYPE
FIRST!
06
08
07
EXECUTION
STRATEGY

94. Tools and channels for efficient API
Products delivery, distribution, and
monitoring
TOOLS & CHANNELS09
LAUNCH
EXECUTION
#APIPRODUCTS

95. LET’S CONNECT
Get the latest in API Product Management and share
your stories. Join the API Product Managers group on
Linkedin to keep in touch.
#APIPRODUCTS
apiproductmanagement.com

96. Product Strategy and
Execution for the
Digital Economy
apiproductmanagement.com
#APIPRODUCTS