Business Idea

Start A Product Management Software

About

Starting a product management software requires a great deal of effort, dedication, and most importantly passion.

If you're interested in how to sell product management software, or selling product management software online, you can use this page as a guide for everything you'll need to know.

Key stats

market size
$70B
revenue (monthly)
$150K
starting costs
$20.8K
gross margin
83%
time to build
12 months
growth
Brand Authenticity
time investment
Side project

About

Starting a product management software requires a great deal of effort, dedication, and most importantly passion.

If you're interested in how to sell product management software, or selling product management software online, you can use this page as a guide for everything you'll need to know.

Key stats

market size
$70B
revenue (monthly)
$150K
starting costs
$20.8K
gross margin
83%

 

time to build
12 months
growth
Brand Authenticity
time investment
Side project

Startup Costs

Min Startup Costs Max Startup Costs
Office Space Expenses $750 $7,000
Equipment & Supply Expenses $500 $5,000
App Creation Costs $1,099 $20,099
Software Expenses $162 $2,894
Advertising & Marketing Costs $0 $2,500
Website Costs $13 $215
Other Expenses $0 $300
Training & Education Expenses $0 $850
Total Startup Costs $2,524 $38,858

Successful Businesses

Business URL Rank
unknown hubspot.com #699
Project Olympus Incubator Program cmu.edu #2,977
Financesonline.com financesonline.com #8,899
Project Management for Software Teams clubhouse.io #10,047
Aha! aha.io #12,130
productboard productboard.com #18,964
Pendo pendo.io #26,714
Roadmunk roadmunk.com #52,936
Roadmunk roadmunk.com #52,936
Split split.io #53,023
Centric Software centricsoftware.com #94,241

Pros & Cons

Pros Description
Flexibility You can put as much time into the business as you'd like. If you like the work and have some initial experience, you can start small and manage all aspects of the business on your own.
Ability to start your business from home It's not necessary to have a physical storefront or office space to get your business started. You can do everything from the comfort of your own home, at least in the beginning!
Rewarding work Starting a product management software can be really rewarding work. After all, you are solving an immediate issue for your customer and you're working on something you truly care about.
Scalable With businesses and processes changing daily, there will always be demand for new features, products and services for your business. Additionally, there are several different business models and pricing tiers you can implement that will allow you to reach all types of customers.
Traffic to your website A product management software gives people a reason to visit your website and to keep coming back to you!
No overhead costs To get your product management software started, there are no costs associated with overhead, storage, packaging, etc. This will save you a lot of time and money!
Cons Description
Crowded Space Competition is high when it comes to your product management software, so it's important that you spend a good amount of time analyzing the market and understanding where the demand lies.
Motivation of employees If you plan to have a sales/content team on board, finding creative ways to motivate them can be a challenge. It's important that you're able to offer great incentives and a good work environment for your employees.
Longer Sales Process A product management software can be a big time and money investment for your customer, so it's important you plan and predict a longer conversion funnel and stay in communication with potential customers.
Security Issues With any Saas business, data loss and security issues may arise throughout your process of building your product. It's critical that you understand exactly what you're responsible for and how to avoid potential issues down the road.
Isolation Often times, as a product management software, you typically work alone and do not have much face-to-face interaction with other team members.
Taxes As a product management software, you typically pay self-employment taxes which can be quite high. It's important to understand what you will be paying in taxes each year so you can determine if the work you're taking on is worth it.

Marketing Ideas

  • 1

    Affiliate Program

    Affiliate marketing is a great way to bring in a new revenue stream, especially when you don't sell products or services.

    Simply put, an affiliate program is an agreement where a business pays another business or influencer ("the affiliate") a commission for sending traffic and/or sales their way.

    The affiliate typically gets a unique link where clicks and conversions can be tracked.

  • 2

    Direct Sales

    Direct sales strategy implies a direct contact between a seller and a consumer without the involvement of any third party. Direct selling is popular in sectors where sellers communicate with their clientele personally. The sales technique occurs at non-store locations which include at home, work, or online.

    For direct selling to succeed, hire a few (or many) salespeople to support the sales conversion process. It's critical that you assign them specific roles and responsibilities to nurture the client and provide excellent support.

  • 3

    Word of mouth

    Word of mouth is when a consumers reflects their interest in a company’s product or service in their daily dialogues.

    Therefore, word of mouth advertising is essentially a free advertising triggered by the customers experience.

    According to Nielsen, 92% of people trust recommendations from friends and family.

    Therefore, in today’s hyper-connected world, a single recommendation through a word of mouth can have a huge impact to your business.