Episode 49: From Decline to Growth – a real life story w/Nadia Krogh Hedegaard
16 March, 2021 / Host: PETRA FÄRM
The Inspiring Journey of Product Broadband
In the world of product management, there are valuable lessons to be learned from character growth as a film technique. Just like main characters in movies embark on transformative journeys, products too can find themselves stuck in a rut, overshadowed by competitors, or relegated to an afterthought in bundles.
In this episode of The Productbeats Show, we dive into the inspiring story of Product Broadband's transformation from decline to growth. Our special guest, Nadia Krogh Hedegaard, shares her experiences as the product manager of Product Broadband and reveals the strategies and initiatives that led to its remarkable turnaround. This article explores the parallels between character growth and product transformation, highlighting the importance of rethinking, repositioning, repackaging, and possibly revamping to achieve success.
Rethinking and Repositioning
Product Broadband, a part of Denmark's second-largest telecom company, has been a part of the company's portfolio for over 20 years. However, despite being a profitable product, it had experienced a steady decline in its customer base over the years. Previous attempts to reverse the decline through initiatives in 2014 and 2017 had failed due to a lack of alignment with market developments and unattractive bundling propositions. Furthermore, internally, broadband was often viewed as an unexciting and unsexy product, hindering its growth potential.
When a product is facing decline, it becomes essential to question its current positioning and consider alternative approaches. Building market and customer insights play a pivotal role in this process. By understanding the evolving needs and preferences of consumers, product managers can identify opportunities for repositioning. However, it is crucial to strike a balance, as straying too far from the original customer base may result in losing some loyal users who can no longer relate to the product. Drawing inspiration from Sandy in Grease, it's worth noting that change can be embraced without alienating existing customers.
Crafting a Strategy for Turnaround
In 2019, Nadia and her team embarked on a comprehensive analysis of Product Broadband, identifying critical issues that needed to be addressed. The first challenge was the product's outdated technology, which offered lower speeds compared to new broadband technologies in the market. The second issue was the unappealing bundling proposition, which required customers to purchase additional services to access competitive pricing. Additionally, there was a lack of awareness among customers and in the market regarding Product Broadband as a standalone offering. Based on the analysis, a new direction was chosen, and a strategy was formulated. The strategy consisted of three major initiatives: establishing a standalone proposition for non-bundled markets, ensuring high-speed connectivity capabilities through fiber expansion and partnerships, and implementing organizational changes to align resources and commitment towards the strategy.
To drive the transformation of a product, a well-defined strategy is paramount. This strategy should encompass a clear vision and actionable steps to navigate the path to growth. Similar to how Luke Skywalker embarked on an epic journey to become a Jedi, product managers must define their destination and outline the necessary actions to achieve it. This may involve revisiting product features, exploring new technologies, and identifying untapped market segments. A comprehensive strategy sets the stage for a successful turnaround.
Revamping and Repackaging
As part of the strategy, Product Broadband focused on enabling high-speed connections through fiber deployment and partnerships. By the end of 2020, 80% of all new sales were based on high-speed technologies, a significant increase from the previous 30%. This shift not only enhanced the customer experience but also facilitated the conversion of the existing customer base from legacy technologies to future-proof high-speed connections, thereby solidifying the product's foundation for growth.
Nadia also highlighted the ongoing process of refining and adapting their approach to overcome challenges. By building internal capabilities and establishing in-house resources for marketing, hardware, support, and customer journeys, Product Broadband was able to streamline processes and drive innovation.
Revamping a product involves breathing new life into its core essence. By leveraging customer insights and market trends, product managers can identify areas for improvement, innovation, and enhancement. This may entail updating the product's technology, design, user experience, or pricing structure. Repackaging goes hand in hand with revamping, as it involves presenting the product in a fresh and appealing way. Just as Elle Woods transformed herself and impressed everyone at Harvard in Legally Blonde, a revamped and repackaged product can make a lasting impression and capture renewed attention from the target audience.
- Addressing Core Issues: Identifying and addressing core issues within Product Broadband, such as being outpaced by market developments and an unattractive bundling proposition, was crucial in initiating the transformation journey.
- Standalone Proposition: Introducing a new standalone proposition for Product Broadband, focused on high-speed connections and enhanced Wi-Fi experiences, helped reposition the product as a competitive player in the market and increase brand awareness.
- Agile Collaboration and Internal Alignment: The formation of the Internet Squad, an internal team embracing agile methodologies, fostered effective collaboration and internal alignment. This enabled the team to execute the strategy, adapt to challenges, and deliver exceptional results while maintaining a positive and enjoyable work environment.
Moreover, the successful transformation of Product Broadband under Nadia Krogh Hedegaard's leadership highlights the significance of continuous learning and professional development in the field of product management. If you're inspired by her journey and eager to enhance your own skills and knowledge in this dynamic domain, consider enrolling in The Productbeats Product Management Certification Program.
The Productbeats Product Management Certification Program offers comprehensive training and practical insights designed to equip aspiring and experienced product managers with the tools and strategies necessary to excel in their roles. With a focus on industry best practices and real-world case studies, this program provides a solid foundation for individuals looking to advance their careers in product management.
By enrolling in The Productbeats Product Management Certification Program, you'll gain access to a wealth of resources, including expert-led training modules, interactive workshops, and networking opportunities with seasoned professionals in the field. Whether you're aiming to sharpen your skills or transition into a product management role, this program can provide the knowledge and support you need to thrive in today's competitive market.
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