Product Strategy
Product Vision vs Product Strategy
Quick Answer
A product vision describes the future a product is trying to create for its users, usually several years out, and it rarely changes. A product strategy is the set of choices about which problems to solve, for which customers and in what order to move toward that vision, and it changes as the team learns. Vision answers where and why. Strategy answers which path, and a roadmap then schedules the work that path requires.
We often meet founders for whom product vision vs product strategy is a blur, with both written in the same paragraph or not written at all. A product vision is a description of the future your product is trying to create and why that future matters to the people who will use it. A product strategy is the plan for getting there, expressed as choices about customers, problems and sequence.
Mixing the two causes real damage. Teams either treat a feature list as the vision, or they keep changing direction because nobody can say which choices are fixed and which are experiments.
This post covers how product vision vs product strategy compares, what makes each one good, a step-by-step way to write both, a worked example and the mistakes that leave teams busy but directionless.
Why Product Vision and Product Strategy Need Separate Jobs
Product vision and product strategy need separate jobs because one has to stay stable for years while the other has to change every time the team learns something important. If they are one document, every strategic change looks like a change of purpose, and every statement of purpose gets treated as a plan.
Marty Cagan of Silicon Valley Product Group describes the product vision as "the future we are trying to create, typically somewhere between 2 and 5 years out", and says its main purpose is to communicate that future and inspire teams, investors and partners to help build it.
Strategy has a narrower and harder job. In a separate piece Cagan frames it as deciding which problems teams should solve, writing that answering that question is what product strategy is all about. We find that framing useful because it forces choices, and a list of everything the product might do is not a choice.
Product Vision vs Product Strategy Compared Side by Side
Product vision vs product strategy differs on time horizon, audience, rate of change and the decisions each one supports. We use the table below with founders to check that each document is doing its own job.
| Dimension | Product vision | Product strategy |
|---|---|---|
| Question it answers | Where are we going and why | Which problems we solve, for whom, in what order |
| Time horizon | Several years | The next few quarters to a year or two |
| Rate of change | Rarely, and only deliberately | Regularly, as evidence arrives |
| Form | A short narrative, story or prototype | Explicit choices, focus areas and measures |
| Main audience | Team, investors, partners, recruits | Product, engineering and go-to-market teams |
| Decision it supports | What belongs in the product at all | What to build next and what to ignore |
A roadmap sits below both. It schedules the work the strategy calls for, which is why a roadmap without a strategy tends to fill with requests, and why most product roadmaps fail within three months when nothing above them says what to leave out.
Agile teams sometimes add a further layer. The Scrum Guide defines a Product Goal as describing "a future state of the product which can serve as a target for the Scrum Team to plan against", which in our experience works best as one near-term step of the strategy, not a replacement for the product vision.
How to Write a Product Vision and a Product Strategy
Write the product vision first and the product strategy second, then connect them with measurable outcomes and a review rhythm. We follow these six steps with founders before scoping a first version, because every later prioritization call depends on them.
1. Describe the Future for a Specific User
Start the product vision with the people whose work or life will change and describe what is different for them once the product succeeds. Keep features out of it, because features are guesses about how to get there.
A useful test is whether a new hire could read it and explain why the product deserves to exist. If the statement could describe any company in the category, it is not specific enough yet.
2. Name the Problems Standing Between Today and That Future
List the problems users face today that block the future in the vision. Rank them by how painful and frequent they are, using evidence from conversations and data rather than opinion.
This list is the raw material for strategy. Our post on why most products solve the wrong problem first covers how to tell which problem deserves to go first.
3. Choose the Customers and Problems You Will Focus on First
Strategy is choosing. Pick the customer segment and the one or two problems where you can win soonest, and write down what you are deliberately not doing yet.
Cagan quotes Richard Rumelt's warning that bad strategy is the active avoidance of the hard work of crafting a good strategy. In practice that avoidance looks like a strategy that tries to serve every segment at once.
4. Set Outcomes That Show the Strategy Is Working
Attach a small number of measurable outcomes to the strategy, such as activation, retention or time saved for the focus segment. Outcomes keep the strategy honest, because they reveal if the chosen problems are actually being solved.
Avoid measuring output, such as features shipped. A team can ship steadily for a year while the strategy fails.
5. Translate the Strategy Into a First Version and a Roadmap
Only now decide what to build. Scope the first version around the focus problems and sequence later work by how much each item moves the chosen outcomes.
When everything still feels urgent, the strategy is not yet specific enough, and our guide on how to prioritize features when everything feels urgent helps force the remaining choices.
6. Review the Strategy on a Fixed Rhythm and Leave the Vision Alone
Review the strategy on a regular cadence, quarterly for most early products, and change it when the outcomes or the market say it is wrong. Change the product vision only through a deliberate decision, because frequent vision changes leave teams unsure what they are building toward.
Some reviews will raise the larger question of changing direction altogether, which our post on when to pivot and when to persevere addresses directly.
A Worked Example of Vision and Strategy Working Together
A hypothetical example shows how a stable product vision and a changing product strategy fit together. We use it with founders because it separates the two layers cleanly.
Imagine a company building software for independent veterinary clinics. Its product vision is that clinic owners spend their time on animals and clients, not on paperwork, phone calls and chasing payments.
- The first strategy focuses on appointment reminders and online booking for single-location clinics, because missed appointments are the most frequent and visible pain.
- The outcome to watch is fewer no-shows and less phone time per clinic, measured from the clinics' own records.
- The second strategy, once the first one works, moves into payments and reminders for overdue invoices, using the trust and data the booking product created.
- A later strategy serves small multi-location groups, which need shared reporting and permissions.
The vision never changes across those steps, while the strategy changes three times. That is the pattern we look for, and the founders who keep the two documents apart are the ones who can explain each change without sounding like they changed their minds about the company.
Mistakes That Blur Product Vision and Product Strategy
The mistakes that blur product vision and product strategy leave a team busy but unable to say why its work matters. We see five patterns most often:
- Writing a feature list and calling it the product vision.
- Having a vision but no strategy, so every customer request competes on equal terms.
- Writing a strategy of broad goals, such as being the best in the market, with no choices about customers or problems.
- Treating the strategy as fixed, so it is never revised even after the evidence changes.
- Pursuing a strategy that does not move the product toward the vision at all.
These problems are cheapest to fix before engineering starts. Getting vision and strategy clear is part of the founder groundwork in our playbook for founders, and it matters most just before any custom software development begins, because scope follows strategy.
Keep Product Vision Stable and Product Strategy Moving
Product vision vs product strategy is a distinction between destination and route. Write a short, specific vision that rarely changes, then a strategy of explicit choices about customers, problems and outcomes that you review every quarter. We would rather see a founder with one clear page of each than a long document that mixes them.
If you are turning a product vision into a first version and want a second view on the strategy, the team at Better Software can work through it with you.
Frequently Asked Questions
What Is the Product Vision?
The product vision is a short description of the future a product aims to create for its users and why that future matters. We keep it free of features and specific enough that a new team member could explain why the product deserves to exist.
What Is Product Strategy?
Product strategy is the set of choices about which customers to serve, which problems to solve first and how success will be measured on the way to the product vision. We treat it as a living plan that changes when evidence shows a choice was wrong.
Why Is Product Vision Important?
Product vision is important because it gives every team a shared destination and a reason the work matters. We see it settle arguments about scope, help recruit people who care about the problem and keep a product coherent while its strategy changes over time.
Why Is Product Strategy Important for a Company?
Product strategy is important because it turns a broad product vision into specific choices that teams can act on. Without it we see companies build whatever is requested next, spread effort across too many customers and struggle to explain why their product should win.
Who Sets Product Vision?
In an early company the founder or CEO usually sets the product vision, often with the head of product. We encourage founders to test it with their team and early customers, because a vision that nobody else can repeat accurately will not guide daily decisions.
About the author
Better Software Team
Product and engineering team
Better Software Team is the product and engineering team at Better Software. We build new software products and improve existing applications and systems, with deeper experience in healthcare, finance and energy.