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Introduction
Top 5 Trends
Survey Breakdown
Key Findings
1. Driving Digital Transformation
7. Product-Led Growth Is Accelerating
2. Product Pendulum: Art vs. Science
8. Product Teams are Becoming More Complex
3. Salaries and Hiring on the Rise
9. Factors Valued Most at Work and Company
4. Career Backgrounds Reshaping
Shortfalls
5. Career Paths Offer Countless Ways to Grow
10. Analytics Is the Next Frontier
6. C-Suite Adding Product CEO’s and CPO’s 11. Tech & Tools Means Low/Code-No/Code
12. Integration is Critical Capability in the Product
Retrospective & Action Items Stack
It’s 2021, finally. And while last
year many fields ground to a halt,
it was the opposite for product.
Roadmaps raced ahead. Products ignited new leadership, growth patterns and more, these
growth. Years-worth of transformation in answers bring macro trends into micro focus of
months. And product teams had a critical stake in what’s on track to shape the road ahead.
all of it. But most of us are now asking: where’s it
heading next?
Whether you’re charting a career, seeking industry
intel direct from the (crowd)source, or curious
Curious about the future of the product field about the product-led trajectory, read on for a
new-normal and beyond we surveyed close up on the future of product management.
thousands of product leaders in the closing days
of 2020 for their take. From expectations to
aspirations for their careers, tech, tools,
Now
Trending
01 Product is growing in every
way - companies hiring salaries 02 Training and growth
Top 5 Trends FOR The
,
opportunities are the
rising, and PM’s in the spotlight to critical criteria for
Future of Product drive revenue.
choosing and staying with a
Management company.
Here’s your TL;DR on the
top 5 findings 03 Career paths are
widening, as product teams are
more strategic than ever.
04 More businesses are
becoming product-led,
vs sales-led or marketing-led.
Tweet me!
05 Anyone can build digital
products (not just PMs) with
no-code tools.
Curious for more? Let’s dig in.
Survey Breakdown
Who responded? Tapping into the Product School global From this critical mass we’ve spliced and diced the
network of experienced Product Managers (PM’s), we heard data to get at a thorough understanding of the
from thousands of respondents worldwide. The largest share most impactful factors shaping the road ahead.
weighed in from product hotspots of SiliconValley, New York,
and London, ranging across different industries and companies Let’s unpack the data starting with the 2020
including Apple, Google, and Mercedes-Benz all the way to experiences where product played a pivotal role.
early-stage startups. They offer a cross-section vantage point
of the future of hardware, software, and services-driven
products across both B2B and B2C.
San Francisco London
New York
Findings Explained
What PMs Say About
the Future of Product Management
FINDING #01
2020 solidified PMs in
the driver’s seat of
digital transformation.
With over half accelerating roadmaps
and spearheading digital transformation
efforts, PMs pressed forward in a stalled
year to meaningfully impact their
company bottom line. No longer riding
shotgun, they’re here to stay in the
driver’s seat of monetization and growth
long-term.
FINDING #01
Driving Digital Transformation
As shutdowns set in and companies scrambled, PMs
played a pivotal role in, well, pivoting to the new
normal of 2020 and future yet to unfold.
59%
Say PM is the main driver of
company innovation/digital
transformation
Half of product teams accelerated roadmaps
directly in response to COVID-19. Ramping up
amidst lockdown, they moved to develop faster and
move the needle not just on products, but the
essential growth to get their companies through the
unprecedented year. PMs played an outsize role in
enabling digital transformation and innovation with 51%
59% agreeing: “Product Management is the main agree that covid
driver of innovation/digital transformation in my accelerated their
roadmap
company."
Beyond products alone, PMs are assuming the role of
visionaries and architects lining up the core
ingredients for operational success in a profoundly
changed world.
2020 put the spotlight on the PM role as a central,
strategic growth-driving function, and there’s no
turning back now. PMs will be leading the charge as PM role as a central, strategic
companies face the ever-more digital and uncertain growth-driving function
challenges ahead.
“We’ve seen two years’ worth of
digital transformation in two
months.”
Satya Nadella
CEO of Microsoft
Source: Microsoft’s quarterly earnings report to Wall Street, April 2020
FINDING #02
Product is still art,
but increasingly a
science.
In the great debate over whether the product
profession is “art or science,” the pendulum is
swinging firmly towards science. Now that product is
seen as a vital contributor to company growth, the
need for formalized benchmarks and best practices is
taking on a new urgency.
FINDING #02
Product Pendulum: Art vs. Science
We asked PMs an often-debated question: is the PM
role more art or science?
Almost half agree that it is a science, signs of the
pendulum swinging from years past as PM’s become
more essential pillars of strategy and growth. With
this comes the demand for more formalized,
framework-driven best practices that are widely
shared and standardized across the field to elevate
PMs becoming more scientific the PM craft towards maximum impact.
to deliver on strategy and
growth objectives As for those classifying product as more of an ad
hoc art form? They remind us that while the product
craft may be scientific, it nonetheless demands both
left and right brain thinking to take on the
unknowns of the future.
FINDING #03
Salaries and hiring
are on the rise.
It’s a good time to be in product. Salaries are 3x higher
than the U.S. mean average, and over 55% of
respondents say they’re hiring in the next six months.
Whether staying put or making a move, PMs can feel
confident in job security and bright prospects ahead
- not something everyone can count on in the wake
of 2020.
FINDING #03
Salaries and Hiring on the Rise
Let’s talk hard numbers:
$159,000 Salary 3x PM’s salaries
The average total The mean salary for a Of the 1,040
compensation for a PM is 3x that of other recognized U.S.
PM in San Francisco is U.S. occupations. occupations, only 22
$159,000. have a higher salary
than PM’s.
It's clear that product ranks in the upper echelons of
well-compensated professions, proving resilient against
the cutbacks and hiring freezes that other roles faced in the
pandemic.
What's more, organizations are hiring. Over 55% say they
plan to hire at least 1 new PM in the first 6 months of 2021.
Sources: upcoming Amplitude “Product Management Salary Report” (coming early March), Linkedin data.
FINDING #04
Breaking into product
now possible for more
backgrounds than ever.
When it comes to typical PMs and those entering the
field, it’s no longer a one-size-fits-all blueprint
of engineers and MBAs alone. The persona of a
typical PM is reshaping fast with changing
perceptions and accessible tools rebaselining the
field’s entry and success criteria.
FINDING #04
Career Backgrounds Reshaping
Today’s PM’s came from many
backgrounds - engineering, computer
science, business, design, and more.
And perceptions are changing around
what qualifies someone to enter the
field. While two-thirds agree that
technical/engineering degrees or
MBA’s offer an edge in the job market,
the range of distinct backgrounds
make the case that a technical degree
is not a fixed prerequisite, nor is an
MBA or PhD.
The proliferation of low-code, visual
tools is also intensifying this trend. As
work relies more on accessible
platforms without the need to code,
future PM’s will continue to break the
traditional mold and entering the field
from all sizes, shapes, and styles.
FINDING #05
Product career paths offer
many ways to grow, namely
three key tracks: individual
contributor, people manager,
and entrepreneurship.
PMs are discovering career paths that
cater to many different personality types
and goals. Whether managing people,
founding a company, or making a mark as
an individual contributor the options are
proliferating to “choose your own
adventure” and thrive along the way.
FINDING #05
Career Paths Offer Countless Ways to Grow
Asked “Where do you see yourself in the next 5 years?”
PM’s intend to take their careers in many directions. Three main paths are emerging to fuel
that growth:
1 2 3
Individual contributor People Manager
Entrepreneurship /
Founder
High-impact role that does Leading a team of others with PM’s that branch out from the
not manage people and a product-related mission typical career ladder to found
remains fully-focused on while spending more time on and lead their own company
product-specific work with vision, culture, and reaching with ownership across the entire
increasing expertise and shared goals to grow both the business. This is an option at
specialization over time.
products and people involved.
any point in the career journey,
and many founders later return
to PM jobs to focus less on
running the business and purely
on building products.
FINDING #05
Career Paths Offer Countless Ways to Grow
Chief Product Officer
To continue growing,
here are the common VP of Product
paths within each track
Director of Product
Founder & CEO Group PM Principal Product Manager
Sr. Product Manager
Typical Job Progression Product Manager
Associate Product Manager
FINDING #05
Career Paths Offer Countless Ways to Grow
Of those paths, here’s the breakdown of
where PMs say they’re heading next:
37%
Grow as a manager
within Product
29%
Grow as an
individual
10% Grow as a manager
going beyond
contributor within Product
Product
Others plan on becoming full-time board
20% members, VCs, instructors, or transition
happily into retirement. Clearly, many paths
Start my own
company as a CEO are possible.
FINDING #06
The C-Suite may soon be
the “Product Suite” with
more PMs at the table
than ever.
Recognition of product’s place on the
executive team is growing, with 16% of
CEOs rising from Product backgrounds,
and 31% of companies now with official
CPOs. And with two-thirds of PM sights
set on management, the pipeline of future
executives is strong.
FINDING #06
C-Suite Adding Product CEOs & CPOs
The C-Suite is converging with the “Product Suite” with
unprecedented numbers of product leaders represented. 16% of
CEO FROM
PRODUCT 16%
BACKGROUNDS
respondents are lead by CEO’s from product backgrounds,
and 31% companies have official CPO’s on their executive
teams.
31%
Virtually unknown just a few years ago, the CPO role is gaining
recognition as a necessary function for some organizations. More
CEO’s from product backgrounds also means greater clout,
influence, and decision-making potential driven by product
companies thinkers. Product has a decisive seat at the decision-making table
with official (possibly more than one) to set direction and define culture for
CPOs the wider company.
Looking ahead, the management aspirations of
66% of PMs signals a full pipeline of
66%
up-and-coming executives to continue this trend.
66% of PMs want to Expect to see PM’s becoming GM’s as this trend
be people managers gains steam.
PMs that aspire
to management
“CEOs should focus on their products.
The financials come as a result.”
Elon Musk
CEO of Tesla & SpaceX
Source: inc.com
FINDING #07
It’s an all-out sprint
towards
Product-Led Growth
A natural extension of PMs rising to the
C-Suite is go-to-market strategies steered
towards product-led growth. Over 73%
describe their companies as “product-led”
with products inherently driving user value to
fuel revenue generation.This product-led
growth (PLG) spree is accelerating with 9%
“all in,” 27% mostly product-led, and 37%
taking purposeful steps in this direction with
each business cycle.
FINDING #07
Product-Led Growth Is Accelerating
73% are product-led in some
form, either "All In, "Mostly" or
SLOWLY moving
37% "Slowly moving in that direction"
towards Product-led
27% mostly
With more product-oriented CEOs and CPOs at the
Product-led top, will sales and marketing-centric cultures shift
towards product-led growth? Survey says: Yes.
Asked to rate “How Product led is your company” the
progression towards product as the dominant growth
vehicle is clear. Over 9% are “Completely
product-led” and “All In” today. 64% are heading
that way, either “Mostly product-led” or “Slowly
moving in that direction.” While 23% are still sales
sales and 23% and marketing focused, the trendline clearly points to
product emerging as the inherently scalable,
Completely
product-led 9% marketing focused sustainable growth source of experiences users love
and continue buying into.
“Product management is really the
shepherd for the product-led
organization. Product teams provide
the people, processes and data to help
their companies embrace automation,
which leads to better products that
people actually use.”
Todd Olson
PEndo CeO
FINDING #08
Product teams are
evolving in complexity,
with the rise of
“Growth PM” and other
specialized roles
Org charts for product teams now include
everyone from Product Operations, to
Product Marketing to Growth PM titles as
companies hire for adjacent skillsets to
ratchet up product success. These
high-popularity niche roles further expand
the scope of exciting career avenues available
to PMs.
FINDING #08
Product Teams Becoming More Complex
Scan LinkedIn or Indeed and you’ll see dozens of
postings for non-traditional roles like “Growth
PM,” Product Operations, and Product Marketing
barely visible just a few years ago.
These specialized, hybrid-offshoot roles from the
typical product track underscore how product
organizations are becoming more complex as
companies shore up monetization strategy,
business models, and communications with
critical product hires. They also give product leaders
even more options to lean into personal strengths
and expertise making the most of their unique
“superpowers” to impact targeted areas.
“People have made significant changes
to the way they work, consume, and
interact both with digital products, and
with one another. There will be few
moments as profound as this to shape
the products that will lead categories
for decades to come. Product managers
are at the forefront of that.”
AmiR Movafaghi
CEO at Mixpanel
FINDING #09
What PMs value most on
the job (and where
companies miss the
mark): Learning and
Mentorship
Voting on what factors they value most at
work (aside from compensation) almost 8
out of 10 ranked Learning and Mentorship
right at the top. Edging out even equity and
company brand, this proves just how focused
PM’s are on their professional development
above all. Problem is, companies aren’t
keeping pace, with only 40% investing in
formal education stipends to keep PM’s
skilled-up and engaged for the long-term.
FINDING #09
Factors Valued Most at Work & Company Shortfalls
Asked: “Cash compensation aside, what are the top 3
factors you value the most at work?” PMs voiced
where their true priorities lie, and how companies are
78%
shortchanging their long-term growth.
Barely a percentage point behind the #1 spot (“Type
79%
Type of product
of Product”) was the overwhelming 78% that named LEARNING &
MENTORSHIP
Learning and Mentorship as the critical factor they WORK FULLY
value most at work. Outranking even equity and job
REMOTE
39%
title, this reveals how hungry PM’s are to grow their
skills--and expect companies to support them on the
way.
This brings us to one of the biggest surprises in the
data…companies are falling way short on investments to support
the PM desire for learning. Just 40% of companies offer formal
education stipends -a glaring gap vs what PMs say they value
most.
FINDING #09
Gap Between PM Desire for Learning and Company
Investments in Training
what PMs want vs. what companies are giving them
78%
EMPLOYER
Believe the
organisation is
40%PM
helping staff learn
the skills needed to
work in a new way
A stark reminder that building competitive, innovative products is
no easy feat, PMs are voicing their need for learning and
development to support them on the way. HR teams, hiring
managers, and company leadership: consider this your wake up
call. Failure to invest in employees so critical to growth risks not
just attracting and retaining PMs, but long-term competitive
advantage too.
“Product Managers are lifelong
learners by nature and motivated by
big challenges. Put differently, no great
Product Manager will stay long in a
company that doesn’t invest in their
own personal growth.”
Carlos Gonzalez de Villaumbrosia
CEO at Product School
FINDING #10
Analytics is the next
frontier, but raw data
isn’t enough.
The #1 skill PMs are prioritizing for
improvement is data analytics, followed
by growth and AI. Raw data alone won’t
suffice, because a PMs time is money
(literally) demanding action-ready insights
delivered as fluid, accessible experiences.
FINDING #10
Analytics Is the Next Frontier
62% DATA
ANALYTICS
50%
GROWTH
49% AI
Of the skills PM’s want to get better at, 62%
zeroed in on Data Analytics as #1, 50% ranked
Growth at #2, and 49% said AI for #3. Notably, these
45% user
research
rank higher than more traditionally technical
skills like Coding and User Research, underlining the
interest in skills for broader-reaching business impact.
40%
MONETIATION
Vendors take note: with data analytics so central to
29% every decision, PMs aren’t content with raw Data
Scientist-level data but tools delivering an
6%
UX DESIGN
accessible, shorter path to insights. Getting to
OTHER what’s inside the numbers with recommendations,
predictive analytics and the “where, when, and how” to
extract its value is the new scorecard by which your
tech is judged.
“Data shouldn’t be just for data teams -
it should be for everybody. Especially
product managers! While useful data
and insights were once available only to
people with technical backgrounds,
they’re now there for anyone who
wants it. In 2021, product analytics tools
will do even more of the work for you.”
Matin Movassate
Co-founder and CEO of Heap
FINDING #11
Tech & tools must be
low-code/no-code,
visual, and integrated.
The proliferation of tools catering to PM’s
hinge on one critical capability:
low-code/no-code experiences. It’s
becoming table stakes for PM’s to build
tech stacks around visual and accessible
tools, echoing Gartner’s forecast that
this will account for over 65% of
application platforms by 2024.
FINDING #11
Tech and Tools Means Low-Code/No-Code
PMs have come a long way from piggybacking off tools built for
other functions (Excel, Photoshop, etc.) with an entire new category
catering specifically to product needs.
From roadmaps, to wireframing, to data analysis, one critical
must-have is rising to the top: visual low-code/no-code
experiences. 49% of PMs called out “Minimal or no learning curve”
as a critical factor when it comes to investing in tech and tools,
showing how accessible, visual tools that lessen the need for
technical backgrounds are becoming the go-to.
“Minimal or no learning curve” Vendors take note: Gartner analysts agree that by 2024 almost
is a critical factor two-thirds of all platforms will be entirely low-code so the trend is
intensifying fast. Tolerance is already low for anything other than
visual-first experiences so get ahead of the curve now.
FINDING #12
PMs to vendors:
integrate or be passed
over.
PMs voted ease of integration as priority
#1 and #2 when it comes to choosing their
tech and tool investments. Loud and clear
they’re seeking tools they can quickly and
easily adopt into their existing stacks.
For vendors, the implication is clear: no
integration, no consideration.
FINDING #12
Integration is the Critical Capability in the Product Stack
84% INTEGRATIONS
WITH EXISTING
When selecting new tools, the PM consensus is that TECH STACKS
integration is everything. Asked: “Price and
functionality aside, what are the top factors your
Product team values the most when purchasing a new Short 66%
integration
tool?” the consensus was:
timeline
Criteria #1: “Integration with existing tech stacks” -
ranked first by 84%
Criteria #2: “Short integration timeline” - ranked second
by 66%
Notably, even the proverbial HIPPO in the room (Highest
Paid Person’s Opinion) ranked far below these at just 49%
21%, evidence of product teams’ strong autonomy to set Minimal or no
learning curve
their own decision factors. There’s no room for doubt:
those decisions start and end with integration.
“Collaboration is more important than
ever as more companies are embracing
remote work. Design thinking
methodologies and no code tools
empower users to co-create solutions in
a visual way. Ultimately, this helps
entire organizations unlock innovation
at scale.”
Mariano Suarez-Battan
Co-founder and CEO of Mural
Conclusion
Final thoughts
Final Thoughts
Now for a quick retrospective before we wrap. Product Management is no longer simply With influence extending far beyond what
The future of product is: synonymous with a stakeholder in their company's future, they're building, product leaders are uniquely
growth, visual-first-data-everywhere, critical but crucial driver of what will define the positioned to steer through the urgent,
function set to shape the next “Roaring 20’s” next normal. uncertain path forward. The mandate now falls
ahead. to companies, vendors, and everyone to partner
in a shared mission of product-led purpose.
Get ready to face this fast-approaching Future of Product with
help from these action items:
Action Items for Action Items for
Action Items for PMs
Companies Vendors
Stake your claim as a growth Recognize the energy ready to Don’t underestimate
agent, defining your own burst from product teams, and expectations for low-code,
product-led path forward mobilize operations for the visual, and integrated tools as
from the expanding slate of product-led growth engine to the new scorecard you’re judged
options.
thrive.
against.
Acknowledge the weight PM’s Anticipate PM’s of all profiles
Keep pace with peers place on learning and you’re selling to, unleashing
laser-focused on professional development, and budget for it your own PLG by handing over
growth by purposefully and ensuring you have top talent the keys to accessible,
continuously developing your ready meet the future action-ready insights.
superpower skills head-on.
Become a Certified
Product Management
Product Manager Corporate Training
Live, interactive online courses that Fast-Track Your Employee Development
suit your schedule With Bespoke Product Management Training
CONTACT US LEARN MORE
For more information, visit
www.productschool.com
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