After deciding when to hire a product manager, what to look for in a product manager, and how to hire a product manager, you’ve most likely been able to find a few candidates. Once you’ve asked some great interview questions, it’s time to start thinking about what to pay a product manager.
It can be difficult deciding what to pay a product manager. Here are four factors your company should consider when negotiating salary with a potential product manager.
Education and Experience
Education in a field as crucial as product managing is vital. A product manager with a background in developing and overseeing projects will benefit you and your company. The product manager should have specialized knowledge in the field of the company product. Make sure to examine a candidate’s professional history. Although a formal degree is important, experience shows what the candidate is capable of as an employee.
Experience outside of specific markets is also important. Potential candidates can apply the unique experience learned from other fields to product management. Thus, a potential candidate’s experience in other fields can offer a unique point of view.
Studies have shown that smaller companies often pay less than large companies. How much your company can afford, as well as the size of the company itself, will affect how much you pay your product manager. Look into your budget to determine what is a reasonable amount.
Product Manager Salaries in Area and Industry
It is important to stay competitive. That is why it is vital you are aware of other product manager salaries in your area. You may not want to lose potential candidates due to unreasonable salary, so make sure you are aware of other salaries in the area. What are product managers typically paid? Know this information, and tailor your offer accordingly.
Other types of compensation
Product managers often receive benefits. If you are offering benefits, remember to factor in their value when you’re deciding what to pay a product manager. In addition, be sure to mention these benefits early in the salary negotiation process.
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How did your organization decide what to pay a product manager? Let us know in the comments.
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