Ken Yarmosh – Product Strategist and Technology Connoisseur

Ken Yarmosh is a product strategist who helps organizations, businesses, VCs, and technology developers maximize their Internet and mobile investments.

The other day, my Facebook friend FaceTime'd me using FacePlant about Face Cash'ing the money he owed me. #
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Ramp Champ – Combining iPhone Play with In App Purchases and Virtual Goods

While it’s been stated that the iPhone and iPod Touch are actually not easy to use (or perhaps more apt, not easy to design for), clearly they offer a paradigm that’s resonated with 60M+ consumers worldwide. There’s no shortage of apps on the App Store, with last official numbers reporting around 50,000 of them. Apple’s looking at 8,500 new applications and updates every week. That’s mucho apps.

The point is that in a crowded market, there needs to be a way to standout. Iconfactory, maker of the once firmly entrenched Twitterific desktop client, has done just that with its new game Ramp Champ. Ramp Champ is a case study in how to (re)define a market and it’s going to be a huge success. For a review of the game itself, check out Touch Arcade’s post.

iPhone Play

Many iPhone games simply don’t leverage the touch screen or accelerometer to full capacity or do so in a way that’s annoying. One of the reasons Flight Control, Paper Toss, and Harbor Master have been exceptionally popular is because they’ve allowed the finger to be the controller.

Ramp Champ leverages the increasingly popular “flick” interaction in a skeeball-like environment. Unlike in skeeball, there are moving targets but like it, rolling or in this case, flicking harder or softer allows the ball to go higher or lower.

Of course, Ramp Champ wouldn’t be Ramp Champ without its carnival-type music or incredible aesthetic. Mixing all of these elements together creates a stellar iPhone “play” experience.

In App Purchases

Because of the way the game was built, with each game of Ramp Champ feeling like its own level, the developers have made it easy to offer in app purchases. Ramp Champ launches with two in app purchases already available. I’ve talked to some game developers about this approach because continuing to spin out new levels for free versus offering in app purchases can really transform the economics of a business.

Now, this approach is somewhat untested on the iPhone platform. But it’s not everywhere else. Upgrades for new levels often require customers to open their wallets. By developing an app that essentially uses the same programming but changes the design and scenery to create a sense of levels or different games plus having in app purchases available at the launch of the game, the developers have set consumer expectations. The result is that the lifetime value of a Ramp Champ customer will be considerably higher than other popular games.

Virtual Goods

The stats show that keeping users engaged beyond a week is difficult. Ramp Champ’s in app purchases is one way they’ll keep people coming back. The other is incentive to perform and not just in the sense of breaking records but in collecting goods.

Anyone who grew up playing in arcades was likely once swept away by collecting tickets and redeeming them to get toys and trinkets that would cost much less if they were bought directly. Virtual goods are big business and Ramp Champ plays to that obsession by allowing users to redeem tickets won in games for virtual goods in the “Loot” area. Users can also collect trophies.

Because the Iconfactory is well, good at making icons, there are some very shiny objects in there, including the Twitterific mascot Ollie.

Conclusion

I’m sure you’ll read or see 58296 other posts about Ramp Champ today. But it’s as important to think about an app like this one strategically, as it is to laude it being fun, creative, and well-made.

The Product Strategist’s Toolkit – Tools to Help Build Your Startup or Product

I recently met with the Bantam Networks team to talk about their very cool social CRM product.* Just before I left, I had a brief chat with Alex Turnbull, head of Bantam’s product management. I always enjoy meeting other “product guys” (and gals) and try to compare notes. Alex asked how I keep track of a product roadmap and more generally, what tools I use.

I’ll get to those answers shortly but overall, I feel that there’s a gap when it comes to specific tools for those involved in product management and product strategy. For example, developers have FogBugz or Bugzilla (and more), support has Tender or Zendesk (and more), and sales and other staff have innumerable dedicated tools. Now, product strategists also benefit from these applications and they are full of rich and important data that feed into feature lists, prioritization, and a product roadmap. But won’t they don’t do is help manage and facilitate all of this information.

Here’s the bad news: there really isn’t one piece of software — desktop or web-based — that does. There are, however, a number of tools that help both with that and with many of the tasks of the product strategist’s day. They aren’t specifically developed for a product strategist or product manager but still are part of the toolkit nonetheless.

I’m sure my list of tools is not exhaustive but below I’ve done my initial cut at the product strategist’s toolkit. I break it down into four high-level categories, which does not include the more well-defined and familiar areas of bug and issue tracking. I already mentioned a couple of the tools I’d recommend for those areas in the above paragraph. One final note is that I only include tools I’ve used regularly or recommend; there are many more in each category.

User Experience

I hope your product people are actively involved in user experience. They don’t need to be a formally trained or polished UX designer but they should help provide initial guidance and direction based on marketplace knowledge.

For me, I like to dig into user experience and often will do the first pass at a wireframe or use edited screenshots to help designers and developers. Of course, user experience goes beyond screenshots, PDFs, and PSDs:

Data Collection

One thing you’ll find plenty of at startups are opinions. Everyone thinks they know the right set of features to build into a release. Everyone thinks they know the way the customer acquisition page should look. The reality is that without a way to substantiate instincts, there will be many debates with only the strongest or most important person winning. That comes at a cost to users and ensuring that the product is meeting their needs.

I’ve talked and written about analytics for years but many startups simply aren’t making data-driven decisions. They continually look only to customer emails or other anecdotal sources of information and leave out hard data points. Let me be clear, both are needed. This list focuses more on the latter:

Project Management and Collaboration

Project management for product development is the area that is the least refined and with the fewest number of choices. IM, email, and spreadsheets are still major forces in this arena. The key missing features here are: 1) Ways to seamlessly integrate in other data sources from sales, support (including bugs), and other customer-facing portals. 2) The ability to then sort, sift, organize, and prioritize this information. 3) Facilitating detailed views for specific user stories versus a release-oriented or roadmap view. 4) Learning and adapting over time; Pivotal Tracker is the first tool I’ve seen to address this point.

Historically, I used a spreadsheet to help manage my roadmap. There are still benefits to this approach but I’ve now migrated to using a wiki, which is what I showed Alex. The top part of the wiki includes columns for each release (with the estimated release dates). In the release columns are the major and minor stories and bugs for each release, with each element linking to the actual description and more details lower in the page. The last column includes a backlog of feature ideas.

How to tackle roadmaps and similar items differs from startup to startup — but here are some of the tools that can help:

  • Project Management - Basecamp for traditional PM; Pivotal Tracker for story-based planning; Google Docs for requirements and other ad hoc needs; Things (Mac) for individual to do list management
  • Collaboration - PBWorks for notes and customizable workspaces; Campfire for group IM; Yammer for internal micro-blogging

Tech

Many product managers and product strategists won’t venture into this next area — tech tools — but it’s amazingly freeing to not have to rely on developers and engineers to help support and improve a product. Whether you actually use this software or work with your team to build out internal products to common problems and tasks, it’s critical to allow your more technical team members to not get bogged down with supporting internal staff or responding to the most basic of customer requests.

End Note
If you have a product or are developing a product that you think I should check out that is not listed above, feel free to leave a comment or get in touch with me. I’m most interested in product development tools similar to Pivotal Tracker but am always happy to review new software and share tools I use with others.

*Note: Bantam is currently not a client but that may change in the future.

Recap of Social Matchbox DC – Summer Social 2009

“Open mic for startups” — Social Matchbox — convened in the E Street Cinema last evening with presentations from eleven startups in the D.C. area. The evening is mainly focused on 4-minute presentations, where startups pitch their ideas and share what they need — most need money, coders, and Mountain Dew. There’s also time to network and mingle (although somewhat limited during the event itself) and the formal part of the night is capped off by using Social Matchbox Bucks to vote for favorite elevator pitches. For more logistics, see these Social Matchbox posts on the details and presenters.

Here are some highlight of the companies I found most interesting –

TapMetrics

TapMetrics is a LaunchBox Digital startup that offers analytics for iPhone apps — but eventually will expand to other platforms. I previously met co-founder Chris Brown at iPhone Dev Camp D.C. His idea spun out from building iPhone apps — both under his own and client brands — and needing better insight into how to improve them.

TapMetrics provides both product (the app) analytics and sales data and includes neat little tools like the Tap Mini. Chris demoed some new features that will further streamline collecting insight about how an app is doing in the App Store.

Unblab

Tired of email overload? Unblab is a cloud-based system, which they call “Smart Cloud,” that uses machine learning to help identify the most important email in an inbox. Their first product is Gtriage, which works with Gmail and Google Apps. Another LaunchBox09 participant, the LaunchBox site also lists iTriage for the iPhone but it does not appear to be released or mentioned anywhere else yet.

Unblab will eventually focus on the enterprise market, positioning itself as a Postini for email overload. One issue on the consumer side — and a reason why I’m hesitant to use it — is that the tool scans and assumably stores some amount of data about an inbox on its servers.

Earth Aid

Earth Aid is basically Mint.com for household utilities. With a cleanly designed and intuitive site, Earth Aid is able to pull in data from most utility companies by accessing it through those providers front-end web portals. This circumvents tedious back-end integrations, providing users much more opportunity to have a complete perspective on energy use.

GrouperEye
GrouperEye has big plans to completely re-architect the college recruiting process. Instead of the traditional go to college campuses, interview lots of students, talk about resumes, etc. recruiting process, GrouperEye has built a platform that helps identify and surface top talent by allowing companies to see students do actual work.

Companies create “cases,” which challenge students to submit solutions. An example could be Disney requesting a new ride that should be designed. Students have forty days to submit the best solution, at which point the companies evaluate and select a winner. The incentive for students is a small cash prize and consideration for employment.

Launching in approximately twenty plus days, GrouperEye is focusing on building relationships with HR and recruiting departments to establish itself as the leader of this new approach.

Honorable mentionsGrasshopr, SEC Watch, wegora, WinTheTropy

AppCritics – An iPhone App to Review and Translate App Reviews from iTunes Stores Around the World

iPhone app developers are often faced with a problem — how to quickly access and read reviews from iTunes stores in other markets. Not only is it annoying to have to get into other stores, it’s also often pointless because reviews are in other languages. AppCritics is a new iPhone app that solves these problems. It’s a simple app that allows app reviews to be accessed from App Stores around the world and translated in real-time.

At iPhone Dev Camp D.C. — Leon Palm of MagicSolver — passed around a link to an App Store review scrapper, which provides similar functionality. But AppCritics makes this process easier because an app can be searched for versus providing an application ID or iTunes Store URL.

Once selecting an app to review, AppCritics begins polling all the different App Stores and the number of reviews associated with them. The main screen also shows the link to the iPhone page, developer info, price, and the ability to favorite the app for future quick access.

By selecting one of the stores, it’s possible to start browsing the reviews. For reviews in other languages, an individual review can be translated or all can be translated with the click of a button. The translations aren’t flawless but definitely capture the essence. While my Italian and Spanish are a little rusty, I read some native language reviews and then compared to the translation to find that they were definitely good enough.

AppCritics is a great little tool, whether for a developer to track his apps, competitor apps, or generally, to be more knowledgeable about the marketplace. For $0.99, it’s well worth the download (iTunes link).

Making Gmail Really “Work Offline”

Gmail became a viable alternative to Outlook-obsessed users when mail began to be stored locally (thank Google Gears!). With the recent updates to labels, making them feel more like folders (we like drag-and-drop) and more generally, the Gmail Team’s commitment to innovation — Labs — Gmail really is pushing the envelope of email.

While Gmail is now a more comforting environment to those used to working on the desktop, it still is missing more than several of its counterparts’ features. For example, there is no way to attach old emails to a new one (common when a new employee starts or for context’s sake), it is not possible to drag-and-drop attachments onto a message (unless using Mailplane or an outdated Firefox add-on), or “Work Offline.”

For that last case, this point is not referring to the ability to use Google Gears and access or send mail (to the Outbox) while physically not connected to the Internet. Instead, it’s related to a little productivity trick — silencing the inbox from the day’s onslaught of new emails.

Fans of GTD, 4HWW, and other paradigms follow simple rules for processing email, such as only checking it during some times of the day. But the problem is that in today’s work environment, not having the inbox open is nearly impossible. The inbox houses documents, contact info, meeting notes, and often original thoughts, all of which need to be accessed throughout the day.

In the world of Outlook, Thunderbird, and other desktop email clients, this “problem” is overcome by a little flip of the “Work Offline” switch. Toggling that setting ensures no new emails arrive into the inbox, while at the same time being able to compose new messages and access the archive.

With “Offline Gmail,” whipping up a similar feature to force Gmail to “Work Offline” — even in the presence of an Internet connection — would not be difficult. It would curry favor with the productivity mavens and bring Gmail one step closer to assuming traditional email client features.

Until the Gmail Team gets after this one, if anyone wants to work with me on creating a Firefox add-on or Userscript to support “Work Offline,” drag-and-drop email attachments, or the ability to include include old emails as attachments to new messages, drop me a line. Gmail Team…I’m also available to help spec these out. :-)

Dear Everyone, Good Luck on Windows

In the old days, there was an evil company called Microsoft. Everyone was mad at them because they owned an operating system and set of applications that absoutely dominated the market. Microsoft was a bad, bad, evil company but many people continued to use some number of their products.

Through the years, other tech companies have mustered the strength to rise to the level of Microsoft fame. The definitive Internet company derived its unofficial slogan, almost as a below-the-belt punch to the PC giant, “Don’t be evil.” But even Google faltered and failed at upholding this value…according to the digerati.

The target’s now been shifted again. This time to a company that seemed off limits even though it has, in many ways, had a much stronger grip and reign than the big bad Google and Microsoft. Apple has, after all, been the company that continually produces consumer electronics with the highest prices, with the least amount of ways to diagnose or repair its devices (i.e., Apple parts for Apple devices), and a penchant for locking consumers in to the proprietary Apple way (e.g., iTunes).

Consumers have been fine with that. They willfully submitted to this closed world because they wanted simpler, more beautiful products. For years, they’ve traded away their rights to have shiny Apple hardware and polished Mac software.

So, why, oh why, have they suddenly had an epiphany that their beloved Apple is, dare I write, the most evil of them all (at least, in their opinion)?

Mirror, mirror, on the wall, who’s the evilest of them all?

Maybe it’s their lovefest with the iPhone and anger towards not getting a couple of apps (but really one) they wanted. Maybe because Bing has made Microsoft cool again (“Do you Bing?”). Maybe they just need someone new to be mad at for awhile.

What’s just silly though, is to think that after the digerati has essentially helped build the Apple empire — on very clearly known closed, proprietary policies — that some ranting and raving is somehow going to shift Apple’s approach to the market. Would Apple be impacted if it lost all of its early adopters? Sure. Is Apple going to lose all of its early adopters? No. Is Apple going to lose some of its early adopters? Probably…or rather, possibly.

To those who are doing more than complaining and actually going to put their money where their mouth is, I’d like to wish you luck on Windows.

First of all, be honest, you are going to use Windows and not Ubuntu or another Linux platform. Secondly, you probably will wait for Windows 7, which in many ways is a service pack for Vista.

OK, that might not be fair. But having just left Windows and the PC world in the last several months, Vista was not only one of the most frustrating operating systems in terms of usability, it also was one of the worst performing. Everyday I’d deal with slower than molasses performance, hanging apps, or sluggish startups when moving from location to location. In fact, the main reason I left Windows, after not caring about Macs for the entirety of my adult life, was because I was tired of all the time I wasted rebooting my machine or waiting for it to start or restart.

I’m obsessive about keeping my system tuned, so I’ve seen much worse Vista situations than mine. For those PC friends that now call me a Mac fanboy, I also see them eyeing me when I roll in, pop up my MacBook and quickly go to work. Meanwhile, 15-20 minutes later, they are still trying to get connected to the network.

The hardware and OS performance is nice but Mac software is what “Apple was so yesterday, back to Microsoft” converts are really going to miss. I do believe that Mac software actually makes you more productive. For example, there’s just nothing as well designed or as useful as Things, 1Password, or Tweetie on Windows. Believe me, I’ve tried everything. Even cross platform apps like Evernote are better on the Mac.

Now, don’t get me wrong, I’m not a Windows or Microsoft hater. In fact, I think Windows Live and technologies like Live Mesh are going to be big for them. And I’ve heard good things about Windows 7, in terms of stability improvements. But will Windows 7 suddenly compete with Mac OS X on performance and stability? Will it suddenly usher in a new era of cleanly designed, easy to use, shiny software, like on the Mac? I think you know the answer.

Who knows how long the digerati will be down on Apple. They make some good points about what they consider unfair…but they should have been making those points years ago.

Good luck on Windows.

How to Build a non-$0.99 iPhone App

iPhone app developers are stuck on a number — $0.99. Do they like this number? No. They hate it. But they believe that it leads to the lands of the Top 100 and the promise of riches and glory. With around 200 – 400 new apps going into the App Store per day, betting on $0.99 is a huge gamble and one that can almost definitely ensure that developing on the iPhone platform is just a fun hobby.

So, how do you break the cycle of $0.99? Well, before I launch into my ideas, I need to point out that they are ideas. I’ve talked to many successful and not-so-successful iPhone app developers and done some price testing myself but these are principles and guidelines. Now that my disclaimer is out of the way, here are the ways you can avoid going $0.99:

1. The Duh Route – Unique Product / Features

Why do so many developers price their apps at $0.99? Because they had what they considered a good idea and started building it. No market research. No App Store research. No discussions with potential users.

In a crowded marketplace, developers compete on price…only. They have to if their app looks the same, functions the same, and is the same as dozens of apps in the App Store.

It is critical to vet those “good ideas.” Keep a running list of them and then do some homework to understand if developing the app is going to add value to the marketplace and be a worthwhile investment of time and money. There are many tangible ways to do that, including leveraging frameworks and tools like:

Of course, even doing this sort of work can still mean entering a marketplace with competitors. That’s where features, user experience, design, customer support, and other factors besides price will still differentiate a product. Pricing your app at $0.99 basically says,

“I’m the same as every other app out here. I’ve spent the same amount of time developing it, have not really thought about why mine is better, and can maintain this app for you going forward at this price point.”

Spend some time and money up front thinking strategically about your product to reduce a potentially much larger and more costly investment. For the matter, get a product strategist involved.

While price is not the only factor, it is a factor. Price the app according to or in the range of comparable apps; comparables need not be direct competitors. If all apps are selling at $0.99, then unless yours absolutely destroys the competition, you probably can’t price it at $9.99. In that case, $1.99 or $2.99 are very reasonable price points and could make significant impacts on revenue.

2. Lite Plus Pro

An increasingly popular approach to overcome the cost of free and $0.99 is to launch a lite and pro version of the app. Developers typically pull out features or somehow limit functionality in the “lite” version, offering users the ability to experience the app without purchasing it.

Since the iPhone does not have the ability to support a trial period, this approach may most closely mimic that paradigm. That’s especially true because there is data that supports application “opens” generally decrease with time. If a user is compelled to continue to use an app over time, thereby overcoming this trend, there’s a likelihood that he’ll convert to the paid application.

The key to this approach is allowing the customer to get a complete sense of the application without removing the incentive to convert or upgrade to the pro version. How to break out these features is highly dependent on the category and use of the app. Do some research to see how comparable apps handled the feature break out.

To really make the lite plus pro method hum though, there has to be a very simple upgrade path. Many developers link to the pro version on the App Store from within the lite app. That’s not bad. A more elegant solution, however, could be an in app upgrade, which would allow the user to maintain settings and data.

3. Companions and Bundles – Web + iPhone / Desktop + iPhone

More and more web or desktop software have iPhone companions. In most cases, the iPhone apps are priced independently but will sync or complement the full app. These apps are almost always priced at or above $1.99. For example, check out Hog Bay Software’s WriteRoom and WriteRoom for iPhone ($4.99) or Simplenote ($1.99). Simplenote is particularly interesting because the website is actually a selling point for the iPhone app and not vice versa.

Another option is to price the web or desktop software with the cost of an iPhone app included. The benefit to this approach versus two separately priced apps is that the customer does not have to open his wallet twice. There are some intricacies to this approach, such as how to position the app on the App Store and designing the apps so that they are only useful together.

Conclusion

Remember that the App Store model means that once users download the app, they indefinitely get updates over the lifetime of the developer (YOU) maintaining it. Therefore, the way the app is priced should consider support costs and additional development time. If you plan on doing more than just bug fixes and investing in new features or if your app has long-term value (i.e., probably not a game), then it’s a no brainer to not price at $0.99.

Another benefit of not going $0.99 is that you will price yourself out of the customers you don’t want. Consider who your audience is and how, for example, a $9.99 app could ensure that you don’t get reviews from people that clearly don’t understand what your app is supposed to be doing. Talk with likely customers, use data from your customer development surveys, and look at the market to understand the non-$0.99 price that still makes purchasing your app fall into the “why not” bucket.

Of course, you can follow all or some of these approaches and the app still be a bust. So, be prepared to cut your losses and move on to the next idea. Keep engaged early on to understand if your app has the legs to be a longer term investment. Experiment with short-term price cuts to see how users respond — launching above $0.99 means that you have the ability to try something other than free.

Additional Reading –

iPhone Apps Aren’t iPod Songs
How to Price Your iPhone App Out of Existence
The Penny Gap
iPhone AppStore Secrets

Image credit to AppleDifferent

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About Ken Yarmosh

Hi. I'm your host Ken Yarmosh, a product guy, O'Reilly author, and technology connoisseur based in the DC area. I've been writing here since 2005 with a focus on startups, product strategy, interactive marketing, mobile, and more generally, digital technology's impact on business, life, and culture.
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