What AI means for your product strategy | Paul Adams (CPO of Intercom)

Oct 26, 2023 1h 23m 19 insights Episode Page ↗
Paul Adams, CPO at Intercom, shares lessons from past failures and deep insights on integrating AI into product strategy. He discusses Intercom's all-in approach to AI, key frameworks, and the importance of simple, customer-centric product development.
Actionable Insights

1. Dedicate Time to Explore AI

Set aside dedicated time to read about AI and actively play with AI tools like ChatGPT or Rewind. This is crucial to avoid being left behind by the rapidly transforming technological landscape.

2. Map Product to AI Capabilities

Start with your product’s core premise and the problem it solves, then ask if AI can do that, partially do it, or augment it. This helps strategically identify where AI can replace or assist existing functionalities.

3. Embrace ‘Ship to Learn’ Culture

Adopt a ‘ship fast, ship early, ship often’ mentality, understanding that mistakes will happen more often than not. This allows for rapid learning, quick changes, and continuous improvement, especially with new technologies.

4. Focus on Customer Problems

Center product development on understanding what customers are truly trying to do and the energy they have around those problems. This ensures you build solutions for important issues, not just tactical features.

5. Achieve Product Market Story Fit

Ensure your product not only fits the market but also has a clear, simple, and compelling story that explains why it’s better. A great product in a great market can still fail if the story is convoluted or missing.

6. Balance Differentiation & Table Stakes

Strategically trade off between building differentiated features that attract customers and essential ’table stakes’ features required to compete. Startups often need more differentiation, while established products balance both.

7. Integrate AI Across Teams

Avoid creating a separate ‘AI team’ and instead encourage everyone across product teams to learn about and integrate AI. This prevents bolting on AI and fosters a more pervasive understanding and application of the technology.

8. Continuously Learn About AI

Stay up-to-date with the fast-moving AI landscape by reading blogs (e.g., OpenAI’s), newsletters (e.g., Matt Rickard’s), and following relevant people on platforms like X (Twitter). Allocate specific time for this learning.

9. Keep Pricing Models Simple

Resist the temptation to add complex tiers, add-ons, and multiple pricing models. Simple pricing helps customers understand their bill and reduces confusion.

10. Navigate Ambiguity with Conviction

In rapidly changing fields like AI, be prepared for high levels of ambiguity and develop conviction based on informed judgment and experience. This helps lead teams through uncertainty without stifling alternative voices.

11. Seek Diverse AI Perspectives

Actively read and consider alternative opinions from those skeptical or critical of AI, not just optimistic views. This helps balance perspective and avoid blindly jumping on bandwagons.

12. Lean Into AI, Don’t Fear It

Overcome the fear associated with AI’s potential impact on jobs and roles by leaning into the technology. Focus on how roles will change and adapt, rather than succumbing to doomsday scenarios.

13. Use ‘Before & After’ Framework

Identify significant changes or launches as ‘before and after’ moments, then actively engage in learning and research after the ‘after’ state. This helps assess if decisions were right or wrong and what happened post-change.

14. Strategic Overcorrection (Pendulum)

Recognize when an aspect of your organization or product is in an undesirable state and be willing to ‘swing the pendulum’ to overcorrect. Learning often comes from crossing boundaries and realizing mistakes, then course-correcting.

15. Apply ‘Four Forces’ to Decisions

Utilize the ‘Four Forces’ framework (attraction of new solution, reasons not to adopt, habits, anxieties) to understand why people make decisions, especially when considering product adoption or switching. This helps address underlying motivations.

16. Only Work on What Matters

Prioritize your tasks and focus strictly on what is most important. This personal motto helps reduce distractions and ensures effort is directed towards high-impact activities.

17. Don’t Worry About Uncontrollables

Consciously reduce stress and improve focus by not worrying about things outside of your control. This helps maintain a calmer perspective and directs energy more effectively.

18. Practice Kindness in Interactions

Always strive to be nice to people, recognizing that you don’t know what personal challenges others might be facing. Kindness often goes further than people realize and avoids regrettable actions.

19. Effective Reference Call Question

When conducting reference calls for candidates, ask: ‘What feedback will I be giving this person in their first performance review?’ This question provides insightful and candid information that candidates cannot easily dodge.