Product Thinking by Andrés Campo
Glossary

The vocabulary of product, defined once.

142 terms that run through Product Thinking, in alphabetical order, each defined in plain English and linked to the chapters where it is discussed. Filter or jump by letter. Free to read, no sign-up.

142 terms
  1. Acceptance criteriaConcrete examples of the finished behavior that a stranger could check, written as things a person does, not qualities the product has.

    Concrete examples of the finished behavior that a stranger could check, written as things a person does, not qualities the product has. Also the test plan for the goal the work serves.

  2. AcquisitionGetting users, measured by cost per activated and retained user, not cost per sign-up.
  3. ActivationThe share of new users who reach the first real value, the moment the product proves itself.
  4. AgileFour values and twelve principles about shipping working software and responding to change.

    Four values and twelve principles about shipping working software and responding to change. In this book, read as the page, not the industry that grew around it.

  5. Aha momentThe specific early action that separates users who stay from those who leave.

    The specific early action that separates users who stay from those who leave. Found by comparing cohorts, then made the definition of activation and the target of onboarding.

  6. AI product managerA product owner whose material is model behavior: prompts, evals, context and the boundary between what the model does and what the product decides.

    A product owner whose material is model behavior: prompts, evals, context and the boundary between what the model does and what the product decides.

  7. AppetiteThe time a team is willing to spend on a piece of work, fixed before the work begins so the work is shaped to the time rather than the time to the work.
  1. BeachheadThe first customer: the overlap of the segment that wants it most, the segment that will pay, and the segment the first version can serve.

    The first customer: the overlap of the segment that wants it most, the segment that will pay, and the segment the first version can serve. Small on purpose; size is the wrong criterion.

  2. BetA strategy statement of the form we will and we will not, in dependency order, with a critical question: what has to be true for this to hold, and one number to check it in ninety days.

    A strategy statement of the form we will and we will not, in dependency order, with a critical question: what has to be true for this to hold, and one number to check it in ninety days.

  3. The bottleneckThe step that limits how fast a team learns what to build.

    The step that limits how fast a team learns what to build. It moved from building to gathering what real people do and having the discipline to let it overrule the team's vote.

  4. Brief for a machineA requirements document written to be uploaded, not read: named personas, the rules already decided, a paste-ready dataset, the screens allowed, what is out.

    A requirements document written to be uploaded, not read: named personas, the rules already decided, a paste-ready dataset, the screens allowed, what is out. Its reader forgets nothing and invents anything you leave blank.

  5. Build to thinkA rough prototype is a way of understanding, not a way of delivering.

    A rough prototype is a way of understanding, not a way of delivering. Make the idea tangible early and let the reaction teach you what you meant.

  6. Build-measure-learnThe loop at the heart of Lean Startup.

    The loop at the heart of Lean Startup. Its output is not a product but learning, and the learning is the input to the next turn. A loop, not a phase.

  7. Business model canvasNine boxes; for a first version, the ones that decide viability are revenue streams, cost structure, and what the team owns versus borrows.

    Nine boxes; for a first version, the ones that decide viability are revenue streams, cost structure, and what the team owns versus borrows. A model built on a partner's asset is a model the partner can end.

  1. CohortA group of users who started in the same period, followed over time.
  2. CommitmentIn a conversation, something the person gives up that costs them: a second meeting, an introduction, time, a document.
  3. Community listeningWhere the problem is discussed without you in the room.

    Where the problem is discussed without you in the room. You are collecting two things: the words people use, and the workarounds they are proud of. Listen before you speak; never pitch.

  4. ConciergeDelivering the value by hand, in the open, for a few customers, before building anything.
  5. Context engineerWhat a product owner becomes when every document is generated from one operating brief.

    What a product owner becomes when every document is generated from one operating brief. The job shifts from producing documents to maintaining the context that produces them.

  6. Continuous discoveryTeresa Torres's habit of a weekly customer touchpoint.

    Teresa Torres's habit of a weekly customer touchpoint. Discovery is not a phase that ends but a capability the team keeps, before and after launch.

  7. Critical questionWhat has to be true for a bet to hold.
  8. Customer conversationsA conversation about the person's past, not your idea: what happened last time, what they did, what it cost.
  1. Decision documentA short record of what the evidence said, what was decided and why, what was traded off, and what the team learned about how it decides.

    A short record of what the evidence said, what was decided and why, what was traded off, and what the team learned about how it decides. Written so the reasoning survives the decision.

  2. Design engineerA builder who designs and codes the same artifact, collapsing the old handoff between the two.

    A builder who designs and codes the same artifact, collapsing the old handoff between the two. A role the AI era made common at small companies.

  3. Design ThinkingIDEO and the Stanford d.school's human-centered method.
  4. DesirabilityDo people want it.
  5. Desk researchReading what the world already knows: the market, the competitors, the adjacent tools, and the post-mortems of companies that tried before.

    Reading what the world already knows: the market, the competitors, the adjacent tools, and the post-mortems of companies that tried before. Someone has tried this; find out what happened.

  6. Disagree and commitOnce a decision is made, those who argued otherwise say so, on the record, and commit.

    Once a decision is made, those who argued otherwise say so, on the record, and commit. The record is what makes the commitment real and keeps the dissent from returning as sabotage.

  7. Discovery-driven planningRita McGrath and Ian MacMillan's method: list a venture's assumptions, attach numbers, and test the one that would kill the plan first.

    Rita McGrath and Ian MacMillan's method: list a venture's assumptions, attach numbers, and test the one that would kill the plan first.

  8. Double DiamondOpen to understand, close to decide, open again to test, close to conclude.
  1. EmpathyObservation before opinion: you do not know the problem until you have watched someone have it.

    Observation before opinion: you do not know the problem until you have watched someone have it. Design Thinking's most durable contribution to product.

  2. EvidenceWhat you learn when something is in a stranger's hands: where they got stuck, what they expected, what they agreed to at the end.
  3. Evidence frameworkFive rows rated honestly before a direction is chosen: problem validation, market timing, solution fit, team capability, resource match.

    Five rows rated honestly before a direction is chosen: problem validation, market timing, solution fit, team capability, resource match. Each with its evidence and the signal that would change it.

  4. ExecutionThe smallest real thing shipped and learned from.
  5. Experiment velocityHow many complete, honest experiment loops a team finishes per unit of time.

    How many complete, honest experiment loops a team finishes per unit of time. A growth metric in its own right, because learning compounds. Honest means a real hypothesis, threshold and decision, not more tests on trivia.

  6. Expert conversationsAn hour with someone who spent years inside the problem: a former operator, an analyst, a category veteran.

    An hour with someone who spent years inside the problem: a former operator, an analyst, a category veteran. Ask for help, not validation, and use the last fifteen minutes for introductions.

  1. Fake doorAn entry point for a feature that does not exist, placed in the live product to measure how many users try it.

    An entry point for a feature that does not exist, placed in the live product to measure how many users try it. The cheapest way to test demand, and it must resolve honestly.

  2. FeasibilityCan we build and deliver it with the team, the partners and the operations we actually have.
  3. Field guideThe one-page plan a team takes into interviews: what is being validated, the question bank, the opening words, the tasks as situations, the commitment asks, and who speaks and who writes.

    The one-page plan a team takes into interviews: what is being validated, the question bank, the opening words, the tasks as situations, the commitment asks, and who speaks and who writes.

  4. First principlesReasoning from what is actually true rather than from analogy or convention.

    Reasoning from what is actually true rather than from analogy or convention. Diagnosis before policy; the base facts before the plan.

  5. First unit of workThe one-month column of the roadmap read as a first version: scope in and out, use cases, acceptance criteria.
  6. The five planesJesse James Garrett's model of experience from the abstract down: strategy, scope, structure, skeleton, surface.

    Jesse James Garrett's model of experience from the abstract down: strategy, scope, structure, skeleton, surface. Each plane is decided before the one above it can be right.

  7. Forward-deployed engineerAn engineer embedded with the customer, building against their real problem in the open.

    An engineer embedded with the customer, building against their real problem in the open. The concierge rung of the fidelity ladder, staffed by someone who can ship.

  8. Four tests before buildingOne sentence, one napkin, thirty seconds, current resources.

    One sentence, one napkin, thirty seconds, current resources. Cheap checks that reveal whether a solution is clear enough that testing it would mean anything.

  9. The funnelAcquisition, activation, retention, revenue, referral.
  1. GoalsOne number per bet, with a threshold and a date: what must we see to keep believing this? Below the number, the bet is in doubt, not the team.
  2. Growth loopA system where the output of one cohort becomes the input of the next: content, invitations, data.
  3. Guiding policyThe middle of Rumelt's strategy kernel: the overall approach that turns a diagnosis into coherent action.

    The middle of Rumelt's strategy kernel: the overall approach that turns a diagnosis into coherent action. In this book, the 'we will and we will not' that makes a strategy a choice.

  1. HEART frameworkGoogle's categories for measuring experience: happiness, engagement, adoption, retention, task success.

    Google's categories for measuring experience: happiness, engagement, adoption, retention, task success. Used to choose the few honest measures a small team can read by cohort.

  2. Hierarchy of sourcesThe order of research: secondary before experts, experts before communities, communities before customers.

    The order of research: secondary before experts, experts before communities, communities before customers. Each source is cheaper than the next and makes the next better.

  3. HypothesisA statement that can be wrong, in the form if we do X then Y will happen, measured this way, because Z.
  1. ICEA prioritization score for experiments: impact, confidence, ease.

    A prioritization score for experiments: impact, confidence, ease. Its value is less the arithmetic than the conversation, which surfaces the easy-but-pointless tests.

  2. Innovation accountingEric Ries's term for the record of what a team has learned.

    Eric Ries's term for the record of what a team has learned. At one-to-five scale, one searchable entry per experiment, so learning compounds instead of evaporating.

  3. InsightUnderstanding earned from what people do rather than what they say, synthesized until patterns outrank anecdotes and the problem can be stated in the customer's own words.
  4. Insight vs informationInformation is what you gather; insight is the pattern or contradiction you notice in it.

    Information is what you gather; insight is the pattern or contradiction you notice in it. Most teams have plenty of the first and starve for the second.

  5. InstrumentationMeasuring what the experiments need and nothing else: the funnel as events, users tagged by cohort and channel, the activation and core-retention events, verified by hand.

    Measuring what the experiments need and nothing else: the funnel as events, users tagged by cohort and channel, the activation and core-retention events, verified by hand. Over-instrumentation buries the signal.

  6. INVESTA test for a unit of work: independent, negotiable, valuable, estimable, small, testable.

    A test for a unit of work: independent, negotiable, valuable, estimable, small, testable. A story that fails 'small' is two stories; one that fails 'testable' is a wish.

  7. Iterate or pivotThe decision the evidence framework forces.
  1. Jobs to Be DoneClayton Christensen's frame: people hire a product to make a specific progress in a situation.

    Clayton Christensen's frame: people hire a product to make a specific progress in a situation. A job is a progress, not a demographic or a feature request.

  2. Jobs, pains, gainsThe customer side of the value proposition canvas: the progress they are trying to make, what makes it hard, and what they hope for.

    The customer side of the value proposition canvas: the progress they are trying to make, what makes it hard, and what they hope for. Written from quotes, not imagination.

  1. The ladderMission, vision, strategy, goals, roadmap, task.
  2. Ladder of fidelitySmoke test, concierge, Wizard of Oz, navigable prototype.
  3. Lean StartupEric Ries's discipline of validated learning through build-measure-learn loops, with the minimum viable product as the instrument.
  4. Learning wallOne place where key quotes, surprising findings, patterns and open questions accumulate across a sprint.

    One place where key quotes, surprising findings, patterns and open questions accumulate across a sprint. Its value is that the whole team, including whoever missed the interview, sees the same evidence.

  5. Leverage pointsPlaces to intervene in a system, ranked by how much they move it.

    Places to intervene in a system, ranked by how much they move it. The highest are rarely the loudest, which is why teams push on the wrong ones.

  1. Managing uncertaintyDeciding well before the evidence is in, by naming what you do not know, its consequence and its likelihood, and testing the unknowns that matter in the order they would hurt.

    Deciding well before the evidence is in, by naming what you do not know, its consequence and its likelihood, and testing the unknowns that matter in the order they would hurt.

  2. MethodologyA named way of working with a lineage: Design Thinking, Jobs to Be Done, Lean Startup, Agile, the Double Diamond.

    A named way of working with a lineage: Design Thinking, Jobs to Be Done, Lean Startup, Agile, the Double Diamond. The book credits each one, says what it assumes, and where the assumption fails at startup scale.

  3. Metric, threshold, decision ruleThe three commitments that make an experiment trustworthy, all made before it runs: one metric, one number that means yes, and what the team will do at each outcome.

    The three commitments that make an experiment trustworthy, all made before it runs: one metric, one number that means yes, and what the team will do at each outcome.

  4. Metrics inform, never setNumbers are instruments, not steering.

    Numbers are instruments, not steering. At a startup with almost no data, a dashboard that drives strategy is driving it off noise.

  5. The middleThe step between a written idea and something a stranger can use.

    The step between a written idea and something a stranger can use. For twenty years the most expensive step in the loop; AI collapsed it, which is why the bottleneck moved to the two human ends.

  6. Minimum viable productThe smallest thing that lets the team learn what it most needs to learn.

    The smallest thing that lets the team learn what it most needs to learn. Defined by its purpose, not its size; often a concierge or a landing page rather than a small version of the product.

  7. MissionWhat the company exists to do, in one sentence, true at every point in its life.
  8. The Mom TestRob Fitzpatrick's rules for customer conversations: talk about their life, not your idea; specific past events, not hypotheticals; listen more than you talk; seek a commitment, not a compliment.

    Rob Fitzpatrick's rules for customer conversations: talk about their life, not your idea; specific past events, not hypotheticals; listen more than you talk; seek a commitment, not a compliment.

  9. MonetizationSeveral fronts, each a hypothesis with a number and a date: who pays, for what, how much, how packaged.
  10. MoSCoWSorting work into must-have, should-have, could-have and won't-have.

    Sorting work into must-have, should-have, could-have and won't-have. Fast, and its 'won't' column is where the excluding happens.

  1. Navigable prototypeScreens a stranger can tap through on their own device, with realistic data and nothing behind them.
  2. Net revenue retentionWhether a cohort's total revenue grows or shrinks over time after churn and expansion net out.

    Whether a cohort's total revenue grows or shrinks over time after churn and expansion net out. A cohort whose expansion outpaces its churn grows revenue with zero new customers.

  3. North Star metricThe single measure that best captures the value the product delivers, with a few input metrics that drive it.

    The single measure that best captures the value the product delivers, with a few input metrics that drive it. Chosen once the product exists and the loops are running.

  4. Now-Next-LaterHorizons instead of dates on a roadmap, because dates on a startup roadmap are fiction and horizons are honest.

    Horizons instead of dates on a roadmap, because dates on a startup roadmap are fiction and horizons are honest. What is in development, what is planned, what is direction.

  1. One-way and two-way doorsJeff Bezos's distinction: a two-way door can be walked back cheaply and should be decided fast; a one-way door cannot and deserves care.

    Jeff Bezos's distinction: a two-way door can be walked back cheaply and should be decided fast; a one-way door cannot and deserves care. Sequence the reversible early and the irreversible late.

  2. Only build what came from a questionThe rule the whole AI-era method rests on.

    The rule the whole AI-era method rests on. When a feature costs one prompt, nothing rations features but discipline. A feature without a question behind it has no way to fail correctly.

  3. Operating briefThe one document an engagement is generated from: the cast, calendar, deliverables, voice, decisions and rules.

    The one document an engagement is generated from: the cast, calendar, deliverables, voice, decisions and rules. Everything else is derived from it and regenerated when it changes. Upload only the brief.

  4. Opportunity solution treeAn outcome at the top, opportunities beneath, solutions beneath those.

    An outcome at the top, opportunities beneath, solutions beneath those. A way to keep every solution traceable to a problem worth solving.

  5. Options before choicesGenerate many solutions before picking one.

    Generate many solutions before picking one. The first solution is the one everyone thought of; divergence, done in silence and stealing from adjacent industries, finds the others.

  6. Own or borrowFor each key resource, whether the company owns it or borrows it from a partner.

    For each key resource, whether the company owns it or borrows it from a partner. Value created by a borrowed asset belongs to whoever owns the asset. Build the owned asset first.

  1. Past behavior over opinionAsk what happened the last time, not whether something would be useful.

    Ask what happened the last time, not whether something would be useful. The customer is an expert on their past and an amateur about their future. Interview the expert.

  2. Primary researchEvidence you gather yourself, from experts, communities and customers.

    Evidence you gather yourself, from experts, communities and customers. The most expensive source, spent last, once you know what to ask.

  3. PrincipleA rule the method depends on.
  4. Problem analysis matrixOne table scoring every problem cluster on the same four things: frequency, pain, current solution, willingness to pay.

    One table scoring every problem cluster on the same four things: frequency, pain, current solution, willingness to pay. Lets a pattern outrank the anecdote you happen to remember best.

  5. Problem spaceNeeds, behaviors, workarounds and constraints as they exist before you build anything.

    Needs, behaviors, workarounds and constraints as they exist before you build anything. You can photograph a problem; you cannot photograph a solution.

  6. Problem statementFive lines in the customer's words with a number attached: for whom, in what situation, why it matters, what they do now, and how that fails.

    Five lines in the customer's words with a number attached: for whom, in what situation, why it matters, what they do now, and how that fails. The output of the sprint's first half.

  7. ProcessThe steps in order, and what each one hands to the next.
  8. ProductAt an early-stage startup, not a role but a responsibility: the ownership of strategy, vision and execution at once, held by one accountable person on a team of one to five.
  9. Product engineerAn engineer who owns outcomes, not tickets: talks to users, decides what to build, and ships it.

    An engineer who owns outcomes, not tickets: talks to users, decides what to build, and ships it. One of the roles product blurred into once building got cheap.

  10. Product ownerThe one person answerable for what gets built, why, and in what order.
  11. Product sprintThe shortest path from an assumption to a written position tested against people who owe you nothing.
  12. Product-market fitAt small scale, three behaviors together: a retention curve that flattens, activation that repeats, and a payment from the right segment.

    At small scale, three behaviors together: a retention curve that flattens, activation that repeats, and a payment from the right segment. The green light for growth.

  13. Promotion criterionWhat has to be true for a roadmap item to move from later to next, or next to now.

    What has to be true for a roadmap item to move from later to next, or next to now. The goal restated as a gate. Deferred is not discarded when the criterion is written down.

  14. PrototypeA question made tangible, not a first draft of the product.
  1. RACIWho is responsible, accountable, consulted and informed for a decision.

    Who is responsible, accountable, consulted and informed for a decision. For a team of five it fits in one paragraph, and its point is that one person is accountable for each thing.

  2. ReferralTurning users into a channel: a user's use of the product produces the next user.
  3. RetentionWhether people come back, and the foundation everything else rests on.
  4. Retention curveA cohort's share still active over time.
  5. Reverse income statementStart from the profit the unit must return for the business to make sense, and work backwards to what each line must be, turning forecasts into hypotheses to test.

    Start from the profit the unit must return for the business to make sense, and work backwards to what each line must be, turning forecasts into hypotheses to test.

  6. RICEA prioritization score: reach, impact, confidence, effort.

    A prioritization score: reach, impact, confidence, effort. Honest about confidence, which most methods hide. Use one prioritization method, not three.

  7. Riskiest assumptionThe assumption that would kill the product if it were false.
  8. RoadmapWhat you build to move the goals, in horizons with a promotion criterion for each jump.
  1. Same-day synthesisOne page per interview, filled before leaving: verbatim quotes, where they got stuck, what they expected, what they agreed to and with what face.

    One page per interview, filled before leaving: verbatim quotes, where they got stuck, what they expected, what they agreed to and with what face. By morning the words remain and the evidence is gone.

  2. Secondary researchEvidence that already exists: reports, reviews, pricing pages, funding news, failed-startup post-mortems.

    Evidence that already exists: reports, reviews, pricing pages, funding news, failed-startup post-mortems. Done first, because it answers the questions you should not waste a human on.

  3. SegmentA group described tightly enough to say who is out.
  4. Situations, not instructionsGive a test task as a moment in the person's life, not a command.

    Give a test task as a moment in the person's life, not a command. 'You just sat down, show me what you would do,' never 'tap check-in.' An instruction tests your labels; a situation tests your product.

  5. Smoke testA landing page, ad or email describing a thing you have not built, with a way to say yes.

    A landing page, ad or email describing a thing you have not built, with a way to say yes. Answers whether anyone wants it. A sign-up is a compliment with an email address attached.

  6. Solo founderA founder building alone, now more than a third of new startups.

    A founder building alone, now more than a third of new startups. The sprint and the whole method are written so one person can run them; the absence of a partner is survivable, the absence of anyone to argue with is not.

  7. Solution canvasA one-page description of one candidate solution that forces its assumptions into the open: concept, journey, requirements, fit with the problem, and risks.

    A one-page description of one candidate solution that forces its assumptions into the open: concept, journey, requirements, fit with the problem, and risks. Built for comparison.

  8. Solution spaceThe options for answering a validated problem: what you could build, how feasible it is, whether it closes as a business.

    The options for answering a validated problem: what you could build, how feasible it is, whether it closes as a business. Many options before one.

  9. Speed of learningHow fast information moves from wherever it landed to whoever decides.

    How fast information moves from wherever it landed to whoever decides. At a five-person startup, the scarce resource, and the owner's real job is to keep it above the speed of building.

  10. Statistical significanceWhether a difference is distinguishable from chance.

    Whether a difference is distinguishable from chance. At startup scale most samples cannot support it, so a difference of a few users is a coin flip, and the honest tool is a labeled qualitative read.

  11. StrategyA short chain of choices from what the company exists to do down to what it builds first, each level saying what it excludes.
  12. The strawmanA ladder filled from the evidence and cited, presented as a draft to be corrected.
  13. SynthesisDeciding, while it is still true, what you just saw.
  14. Systems thinkingSeeing a problem as a set of connected flows and feedback rather than isolated parts.

    Seeing a problem as a set of connected flows and feedback rather than isolated parts. Donella Meadows' primer, and her ranking of where to push.

  1. T-shapedDeep in one discipline, literate across the others.

    Deep in one discipline, literate across the others. The shape of a person who can hold product at a startup, where nobody can afford to own only one thing.

  2. Technical debtThe cost of a shortcut taken to ship, recorded in a ledger with the shortcut, the date, why it was taken and what it costs to unwind.

    The cost of a shortcut taken to ship, recorded in a ledger with the shortcut, the date, why it was taken and what it costs to unwind. Read before planning; pay down what is due, let the rest ride.

  3. Tension mapEvery assumption sorted into validated, open or discarded, with the quote and the interviewee that moved it.

    Every assumption sorted into validated, open or discarded, with the quote and the interviewee that moved it. The written position a sprint hands to strategy. Open is a state; undecided is not.

  4. Think-aloudAsking a person to narrate what they see, expect and look for while they use the product.

    Asking a person to narrate what they see, expect and look for while they use the product. The single most valuable usability method, and it costs nothing.

  5. The three pilesSorting evidence of value into would pay, would never pay, and gave freely.

    Sorting evidence of value into would pay, would never pay, and gave freely. What people give freely you cannot charge for and must not pay for; it is where a business model quietly breaks.

  6. Two-act memoA short document that proposes, not decides: act one, what ships first because it depends on no one; act two, what follows; what is deferred and why it is not discarded.

    A short document that proposes, not decides: act one, what ships first because it depends on no one; act two, what follows; what is deferred and why it is not discarded.

  1. Unit economicsWhat one unit of the core mechanic costs and returns over a defensible period.
  2. User experienceWhat using the product is actually like, across the five planes from strategy to surface.

    What using the product is actually like, across the five planes from strategy to surface. Not the interface alone: the whole path from why the product exists to the pixel a stranger taps.

  3. User interfaceThe surface a person touches: the screens, controls and words.

    The surface a person touches: the screens, controls and words. The last of the five planes, and the only one most teams argue about, which is why the book argues about the other four.

  4. User storyAs a [person], I can [action] so that [outcome], with acceptance criteria attached.

    As a [person], I can [action] so that [outcome], with acceptance criteria attached. A unit of work framed from the person's side, not the system's.

  5. UX honeycombPeter Morville's seven facets of a good experience: useful, usable, findable, credible, desirable, accessible, valuable.

    Peter Morville's seven facets of a good experience: useful, usable, findable, credible, desirable, accessible, valuable. Each answered by watching one stranger, not by the team.

  1. Validated learningProgress measured not by features shipped but by assumptions confirmed or refuted against behavior.

    Progress measured not by features shipped but by assumptions confirmed or refuted against behavior. The unit of progress in the Lean tradition.

  2. Value metricThe thing a price scales with.

    The thing a price scales with. Chosen to grow with the value the customer receives, it feels fair; chosen wrong, it grows into resentment and churn. Often matters more than the price level.

  3. Value proposition canvasOne per segment: the customer's jobs, pains and gains on one side, the product's relievers and creators on the other, with the fit written in the customer's words.

    One per segment: the customer's jobs, pains and gains on one side, the product's relievers and creators on the other, with the fit written in the customer's words. A proposition for everyone is for no one.

  4. Vanity metricA number that goes up with effort but does not connect to value or revenue: total sign-ups, page views, time in app.

    A number that goes up with effort but does not connect to value or revenue: total sign-ups, page views, time in app. It always rises, which is why it feels like success and is not.

  5. ViabilityDoes it close as a business: the model, the unit economics, who pays and how much.
  6. VisionThe description of the world when the company has done its job.
  1. What has to be trueOne list of every business-design assumption as a falsifiable claim with a number, evidence, an owner and a date, sorted so the assumption most likely to kill the business is tested first.

    One list of every business-design assumption as a falsifiable claim with a number, evidence, an owner and a date, sorted so the assumption most likely to kill the business is tested first. The deliverable of business design.

  2. Willingness to payWhether people pay, shown rather than stated.
  3. Wizard of OzA real-looking interface with a person behind it.

    A real-looking interface with a person behind it. Answers whether the experience works before the machine that powers it exists. In the AI era, often a general model pretending to be a specialized product.

  4. The written positionWhat a sprint ends in: a tension map and a short memo, short enough to read in one sitting and specific enough to be wrong.

    What a sprint ends in: a tension map and a short memo, short enough to read in one sitting and specific enough to be wrong. The first thing strategy reads.

Read the whole book

Every term here comes from one of seven whitepapers on doing product for startups in the AI era.

Open the book →