Driven by Purpose: The Secret Behind Successful Products

“People don’t buy what you do; they buy why you do it. And what you do simply proves what you believe.” — Simon Sinek

John Utz
Product Coalition

--

My career was forever changed.

“Why?” Such a simple question. Yet so hard to answer. It was a sweltering summer day in Atlanta in a bland, boring corporate office struggling to keep pace with the heat. Despite my apparent struggle to focus given the office temperate, a colleague decided to toss a bomb my way. Time momentarily slowed as if in sync with the lazy pace of people passing my window outside, trying to avoid breaking a sweat.

“Why are we building this product? What’s the product’s purpose?” I sat there dumbfounded — a blank look on my face. Sweat broke out as I panicked, exacerbated by the nuclear summer outside. How should I respond?

I racked my brain for any reasonable answer. To generate profit? To grow our customer base and market share? To increase the value of the company? Factual, yet not exciting and certainly not meaningful. By the look on the face of the product manager asking me, she didn’t want a canned answer; she was looking for a reason to believe, to rekindle her energy.

I knew why the company existed, but I never thought about the purpose behind the product other than the problem it solved for the customer and the value it delivered.

Time stood still. I must have looked visibly disturbed, confused, or worried because she asked if I was ok. Unfortunately, I still had no real answer. I didn’t think sharing my lackluster ‘corporate’ response, or worse, making one up on the fly, was wise. More than anything, I wanted to maintain the team’s motivation. So I did what every well-trained consultant knows to do — I asked a question.

What does the product mean to you?” I asked.

Problem solved, or so I thought. I’ll spare you the multi-hour, multi-person discussion that ensued and instead will sum it up in a word — enlightening. Despite being painful, it was a great exchange. It turned from expecting an answer from me to us brainstorming on the real purpose and how it linked to the higher calling of the company.

Ultimately we landed in a good place through a simultaneously tiring and energizing discussion where we drafted a meaningful purpose. A purpose we could share with the company’s leadership team, customers, and those working on the product. A purpose we believed in.

Through this, I learned a key lesson — don’t build a product solely based on a problem or motivated by profit. Build it to fulfill a purpose.

Start with the why, not the what

Have you ever worked to bring a product to life, execute an initiative or fulfill your day-to-day role as a product manager and wondered what’s the point? If so, you are missing the critical ingredient — a why, a reason behind your work.

For those of us who engage in the act of creation daily, the need for purpose is critical.

Products need purpose because purpose gives the product meaning and a reason for being. Without a purpose, a product is simply a collection of features and functions. Purpose drives story, which in turn gives products life and meaning.

For product teams, the why and purpose behind the product comes in the form of a meaningful, inspiring, yet achievable north star. Note: For insight on creating a product North Star with purpose, click to view a post I wrote on the topic.

Focusing first on the “why” and not the “what” is important for several reasons:

  • Product managers must keep the team’s focus on what’s best for the product and say no to everything else. Focus requires purpose in the form of a north star.
  • Product managers are responsible for figuring out what’s worth building and what’s not, requiring a yardstick against which to measure opportunities — the purpose.
  • Product managers must articulate what success looks like for a product and rally a team to turn that vision into a reality.
  • By focusing on the “why,” product managers can ensure that they are building products that will last while meeting customer needs and business objectives

Let’s Look At An Example — Fairphone

Although many products have a strong purpose, let’s look at one less known — Fairphone. This smartphone is produced by a Dutch social enterprise of the same name, with a clear and compelling mission: to develop a phone that doesn’t harm people or the environment.

The smartphone industry has been frequently criticized for its negative social and environmental impact, from hazardous e-waste to poor working conditions in supply chains. Fairphone was founded in 2013 to challenge this status quo and prove that a more ethical approach is possible.

What sets Fairphone apart is its commitment to core ethical principles. This includes using conflict-free minerals, ensuring fair labor conditions, promoting longevity and repairability (instead of the common ‘replace it’ culture), and aiming for full recyclability to minimize e-waste.

Each Fairphone model is designed to be easily repairable by users, with spare parts readily available for purchase. This encourages longer device usage, reducing the demand for new phones and the resulting environmental impact.

By providing a more ethical alternative in the smartphone market, Fairphone embodies a strong purpose: to drive change in the industry and show that a more sustainable, fair approach is possible and viable.

Fairphone has already launched several models and continues to drive its purposeful mission, creating waves in the tech industry and among conscious consumers with over 400,000 phones sold in a hyper-competitive market.

Purpose is the secret behind successful products

According to studies, including those from Accenture, products with a purpose outperform those without one. A few points to consider:

  • 91% of consumers are likely to switch to a brand or product that supports a good cause, given a similar price and quality. 74% of consumers expect brands to take a stand on important issues.
  • Through purpose, brands and products can connect with their audience emotionally and inspire them to become advocates for their business.
  • Employees who work for a company with a strong sense of purpose are more likely to thrive and feel motivated by their mission; the same goes for their products.
  • When choosing brands to do business with, today’s consumers care about more than just what products or services they offer — they care about what kind of impact the brands and products are making in the world.
  • A greater purpose builds loyalty and trust amongst otherwise fickle consumers.

Now this doesn’t mean every product needs to have a purpose that makes the world a better place. But they better have a clear, meaningful purpose more significant than making money for shareholders.

What happens without purpose? In my experience, products without a clear, meaningful purpose face an uphill battle in several ways:

  1. The struggle to find traction: Without a clear purpose, it can be challenging to identify and attract a customers
  2. Difficulty differentiating: in crowded markets, differentiation is critical. A product without a distinct purpose may blend in with the competition and fail to stand out.
  3. Less effective marketing: Marketing a product without a clear purpose can be challenging. If the product’s benefits are not easily articulated, meaningful, and memorable, it will not resonate with potential customers.
  4. Lack of direction in product development: Product development can become unfocused without a clear purpose. Teams may struggle to decide about the product’s features or design, potentially leading to waste.
  5. Failure to generate long-term success: While a product with a clear purpose might enjoy short-term success due to novelty or aggressive marketing, it may not achieve long-term success. The product’s appeal may fade over time without a clear purpose that continually motivates and attracts customers.

Purpose motivates customers, stakeholders, teams, and companies.

Are you in yet?

Conveying purpose through your product roadmap

Some recent conversations highlighted for me the need to state that product roadmap is not a plan, but a vehicle for communicating purpose. It’s something I’ve always known but have been unable to express concisely and insightfully.

As I’ve said a few times before (for those who are frequent readers), many product managers equate a roadmap with what to build, how to build it, and a loosely affiliated when it should be available. This is dead wrong.

Instead, think about a product roadmap like a GPS for your product’s journey. It’s not just about the destination (what to build), the route (how to build it), or even the estimated time of arrival (when it should be available). It’s about understanding why you’re on this journey in the first place and ensuring everyone else on the journey with you understands it too.

A product roadmap is, therefore, more than a checklist of features and timelines. It’s a strategic document communicating the ‘why’ behind your product.

One more inspiring example of purpose in product

In the dynamic world of tech startups, Tiny Speck, the company behind a game called Glitch, found themselves struggling with their product’s lackluster performance. However, amidst the uncertainty, they noticed a beacon of potential in an unlikely place: an internal tool they had developed to streamline communication and collaboration within their team.

Recognizing the tool’s value, the team at Tiny Speck pivoted their focus, driven by a newly crystallized purpose — to simplify and enhance people’s working lives by making team communication more efficient and productive. This pivot marked the birth of Slack, a tool that would go on to revolutionize workplace communication.

Navigating this challenging transition wasn’t easy. The shift from developing a game to creating a productivity tool required a complete overhaul of their strategy, a deep understanding of a different user base, and a steadfast commitment to their new purpose. But the team held firm, guided by their mission.

They focused relentlessly on creating an intuitive, visually appealing product that integrated seamlessly with other tools and streamlined communication. Their commitment to their purpose paid off; upon its launch in 2014, Slack was quickly embraced by teams around the globe. To this day, Slack continues to grow and evolve, a testament to the enduring power of a clear purpose in driving product success.

Bringing it home

In a world overcrowded with products, those anchored by purpose rise above the rest. It’s not enough to address a problem or chase profits.

And while it’s convenient to push purpose aside in favor of speed to market, you must avoid falling into this trap. Sure, purpose takes time and focus and may impact speed to market, but the long-term dividends far outweigh the cost.

Remember, a product purpose serves as the north star, infusing meaning into every feature and function, guiding teams through tough times. Fairphone and Slack exemplify how purpose-driven products can revolutionize industries.

So, before delving into the ‘what,’ take a moment to contemplate the ‘why.’ For in purpose lies the promise of lasting success and inspiration that a simple plan or profits cannot provide.

--

--

Customer obsessed digital product and strategy leader with experience at startups, consulting firms and Fortune 500. https://tinyurl.com/John-Utz-YouTube