What is a Software Product Owner? Responsibilities, Salaries, and More

What is a software product owner?

A software product owner is an IT professional tasked to prioritize features, create and maintain product backlog, and work with a Scrum team throughout the product development cycle.

They are responsible for delivering maximum value to give the end user an excellent experience. In the SaaS industry, they act as a link between stakeholders, development teams, and end users – ensuring the product meets business goals and specific user needs.

What does a software product owner do?

A software product owner defines and communicates a clear product aligned with the company’s strategic goals and market trends while striving to understand the customer’s pain points, industry demands, and competitive landscape to create a clear product success path.

They also prioritize features for continuous updates and user expectations by working closely with other teams.

Other tasks include managing potential product threats, determining the product’s growth paths, managing daily goals/schedules, and developing roadmaps to achieve excellent performance within project timelines.

Software product owner’s main responsibilities

A product owner is someone who manages and optimizes the product backlog to ensure its maximum value. They manage software development teams by correctly interpreting the product manager’s vision into actionable tasks.

Key responsibilities and duties of such a position include:

Developing product goals and vision and communicating them to the team and stakeholders. This also includes developing and maintaining a strategic product roadmap with feature releases and milestones.
Connecting with customers directly or indirectly by working with customer data to understand users’ needs to plan and prioritize the product backlog better. They analyze customer feedback, sales calls, user journeys, and other sources to understand customer needs better and increase product value.
Defining user stories – a crucial concept in the Agile methodology that seeks to shift focus from product features to the needs of real people.
Prioritize features and enhancements based on user feedback, market research, and business value.
Collaborating closely with development teams, UX/UI designers, QA testers, and stakeholders to ensure successful product delivery. They conduct regular sprint planning, reviews, and retrospectives to optimize team performance and product quality.
Conducting market research, competitive analysis, and trend monitoring to identify opportunities and threats in the SaaS landscape.
Coordinating product launches, marketing campaigns, and go-to-market strategies in collaboration with marketing and sales teams. They also manage the product throughout its lifecycle, including feature enhancements, updates, and end-of-life planning as necessary.

Software product owner salary

The estimated total earnings for a software product owner is $146,379/year in the United States, according to Glassdoor, while the average salary is $116,986/year. Additional benefits like cash bonuses, commission, tips, and profit sharing can increase the numbers by $29,393/year.

Software product owner salary.

One of the major factors influencing earning in this industry is the level of experience and position. According to Glassdoor, the average earnings are as follows:

A product owner with 2 to 4 years experience earns about $136,690/year
A product owner manager earns $153,502/year
A senior product owner earns $161,097/year
A principal product owner earns $203,284/year

Another factor affecting this earning is the industry. As reported by Glassdoor, the highest-paying industry in the United States for software product owners is Energy Mining and Utilities, with an average annual pay of $145,286.

The employer also determines how much one will earn. According to Glassdoor, here are some of the top-paying companies (average earnings per year):

SunPower – $145,286/year
NCR – 129,353/year
Visteon – $124,369/year
NanoString – $157,062/year
LiquidX – $120,634/year
United Launch Alliance – $130,489/year
Aptiv – $136,924/year
Zoll Data Systems – $124,287/year

Where you live can also affect how much you make as a product owner. More and more companies are employing a geographically dispersed workforce (including remote workers). Thus, it’s common for companies to offer location-based salaries. Here are the salaries of some areas in the US:

Santa Clara, CA – $136,194/year
Federal Way, WA – $134,131/year
Washington DC – $131,640/year
San Francisco, CA – $131,640/year
San Jose, CA – $128,406/year
Marysville, WA – $128,279/year
Tracy, CA – $127,249/year
Sacramento, CA – $126,242/year

Software product owner career path

Here is how you can grow your career as a software product owner:

Product owner intern: This level gives you foundational knowledge in Agile methodologies and product management principles.
Product owner: At this level, you develop expertise in feature prioritization, backlog management, and user-centric product development.
Product owner manager: This person leads a team of product owners, providing guidance, coaching, and performance management.
Senior product owner and beyond: At this point, you can assume leadership roles in product strategy and vision, work closely with executive leadership to align product goals with business objectives, drive innovation and long-term product planning, and act as a thought leader in product management practices within the organization.

Best practices for being a great software product owner

Here are five best practices for being a great software product owner:

Define clear objectives: The responsibility of spearheading product goals is not easy. Therefore, one must clearly define goals for their teams to succeed.
Be available for your team: Scrum teams are often pressured to deliver more, and faster, which is why they need all the time and support from a product owner.
Develop your collaboration skills: An effective software product owner must collaborate successfully with all stakeholders in a product. Consider everyone’s opinion and seek to improve working relationships.
Leverage automation: Automation is a crucial skill set for a product owner. It can help you work seamlessly with stakeholders and avoid getting overwhelmed.
Use feedback to enhance the product: One must stay updated with changing customer preferences to succeed in this industry. Therefore, they should use daily stand-up and review sessions for analyzing customer feedback to improve user experiences.

Software product owner FAQs

Here are some commonly asked questions (with answers) related to product owners:

What does a software product owner do? A software products owner is in charge of ensuring the success of a project in Scrum. They manage and optimize the product backlog to maximize its value.
Can there be multiple software product owners for a project? Yes, there can be multiple software product owners for a project, especially in larger teams or when managing different aspects of the product. Each owner may focus on specific areas or features.
How does a product owner work effectively with developers? Effective communication between the PO and all stakeholders will ensure success. It must happen throughout the product’s development lifecycle, giving necessary directions along the way.
How many teams can a product owner have? A product owner can work with up to two Scrum teams. Each Scrum team will have one product owner to guide them on what to do.

Conclusion

We hope this guide has provided you with valuable insights into the roles, responsibilities, and rewards associated with this role.

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