Product operation, how to build an operation system?

[Introduction] DAU, GMV, CPM, CPC... This series of operational indicators are the basic tools for every product person. Newcomers often don’t know how to use these tools and get caught up in them, thinking that this is all there is to operations. They lose sight of the big picture and ignore the operational system of the entire product ecosystem.

1. Operation

Before talking about the operation system, let us first clarify a concept - what is operation?

Operations are the planning, organization, implementation and control of the operations process. It is the general term for all management tasks closely related to product production and service creation. From another perspective, operations management can also refer to the management work of designing, operating, evaluating and improving the systems that produce and provide the company's main products and services - Excerpted from Baidu Encyclopedia

In life, some people praise those who can properly manage resources from all parties as people who know how to operate. Then operation seems to have become a word with different definitions from all parties. But I think that operation on the Internet is a way of thinking, which connects products and users through limited resources, improves the connection between products and users, and uses certain means to make products and users develop in a closer direction.

Using this way of thinking, we can solve many problems in life or work. For example, a product first has a group of users. What are the needs of this group of users? What kind of people are they? What characteristics do they have? What are their needs? What services can I provide? What is differentiated?

When the functional models of domestic Internet companies of all sizes are moving closer to BAT , people engaged in product operations are actually in a very awkward situation. The things done by product managers and product operations are almost the same. Employees or bosses in the same department will feel that product operations seem to be a group of dispensable people. At this time, product operations partners must pay attention!!! Clarify their own positioning and highlight their own value.

2. What is the positioning of operations?

Let’s first compare the relationship between product managers and product operations responsibilities.

Commonality: Understand user needs

Difference: Product managers are responsible for discovering needs, designing the entire product line, and iterating and upgrading products in the later stages [actual promoters of products];

When a product is about to take shape, product operations will cultivate the first batch of seed users as the basis for the cold start , and then be responsible for social exposure, product and user, user-to-user interaction to maintain the popularity of the product; and as an interface, continuously feedback user needs to the PM in preparation for iterative upgrades [product booster].

3. What is the value of operation?

1. Deliver value

Every product is designed based on user needs. Usually, the need that is met or the problem that is solved is called the core value of the product. It is the core responsibility of the operator to deliver this value to more users through certain operational methods and achieve user growth.

The value of Jianshu lies in its high-quality content. Therefore, in addition to constantly reviewing the high-quality content within Jianshu, the operators of Jianshu also need to deliver their own high-quality content through a series of methods (as follows):

2. Build an ecosystem

It enables users at different levels in a certain virtual space to generate various interactive behaviors through the flow of information and content. Through such behaviors, different users will have a strong sense of presence and achieve the purpose of continuous use. During this process, there are also some incentive mechanisms and hidden easter eggs that give users bigger and more frequent surprises, thereby making the ecosystem more robust.

For example, the entry threshold of Qianliao ’s courses: through the fission-type dissemination operation strategy of attracting new people to attend classes in groups, niche products can be spread more quickly and users in the virtual space can feel more connected.

3. Create new models

On the basis of existing products and ecosystems, we carry out some activities from time to time, such as points system , clock-in sign-in, hot spot follow-up, etc., to enable users to meet a considerable part of their daily activities and needs within the ecosystem. The model includes but is not limited to: "Teach users - user creation - attract new users"

For example, the Movie King Card sold by Hangzhou [in Tongcheng Party] in March provides a one-card pass for unlimited movie viewing for three consecutive months, which not only revitalizes the idle resources of the cinema but also makes Tongcheng Party gain good exposure.

Experienced experts must have realized that the three paths of ABC are actually about attracting new customers, retaining existing customers , and promoting activation. Here, these three aspects will be explained from a more macro perspective to make everyone understand that the value of operations is not the work left by product managers or the operation of a few WeChat groups . These are the means taken by operators, and the real operation strategy must be designed around these three aspects of the product.

After having a comprehensive understanding of operations, let’s go back to the title : how should we build a user operation system?

It is also divided into three steps: product analysis - strategy implementation - performance evaluation

1. Analyze the product

To analyze the product, we need to go back to what was discussed in the second part and grasp user needs. We usually split and combine certain parts of the 5W1H analysis method to clarify what our product does.

The 5W1H analysis method can be summarized in one sentence: in what time period (When) and environment (Where), what kind of target users (Who) solve what pain points or needs (Why and What) and how the products solve them (How). Note that sometimes the 5W1H analysis method does not need to be used in its entirety. For example, for news and information services that are available at odd times or products that do not have a specific location, we do not need to force it.

Here are a few examples:

Toutiao meets the news reading needs of students, white-collar workers and above through personalized recommendations and high-quality content recommendations in their spare time.

Meitu XiuXiu , through its built-in beauty photography technology and automatic typesetting function, meets the social needs of young women for recording and spreading beautiful things during travel time and in various places.

Mobike solves the last-mile travel problem for people of all ages by providing fast bicycle rentals for short-distance travel.

2. Strategy Implementation

Users are classified and graded, and labeled. These labels are designed based on actual needs. Then divide the needs of different tags to understand their role in this virtual space (what role does the positive cycle in this ecological cycle play) and different excitement points (targeted incentive mechanisms)

Through the pyramid user stratification system, we can divide the users of a product into: celebrities, professional users, senior users, active users, and ordinary users. Different products have different classification criteria according to different user characteristics:

Let’s take Zhihu as an example, as shown in the following figure:

Take Honor of Kings as an example, as shown below:

3. Performance evaluation

Before implementing the strategy, the operator must make an expectation of actual performance and set certain indicators based on the preset results. For example, when attracting new users, set a certain user activity level, such as daily active rate DAU, weekly active rate WAU and monthly active rate MAU, etc. After a cycle of activities, count whether the relevant indicators meet the preset results, consider whether the relevant indicators can be met and summarize the reasons.

At the same time, before making preset results, fully consider what other related performances there are and how these indirect impacts are generated, which will facilitate the next improvement.

[Appendix] Explanation of the points system, check-ins, levels, and medals

Nowadays, many people easily fall into a misunderstanding and think that the introduction of the points system can greatly improve operational results. In fact, I don’t think so. Users’ use of the APP and their continued use must be based on the ability to solve one of their needs. This is their core goal. And generally speaking, for tool-type “use it and leave it” products, adding such a points system and medals can only increase their decision-making costs. If we think carefully, points have only two attractions for users: self-satisfaction and profit gain, provided that they can achieve the core goals.