Build
Organic improvements are the most natural (pun completely intended) motion. In most cases, if you have the talent internally to develop the product enhancements, you should. The added functionality will extend existing workflows and have the same look and feel that your users are accustomed to.
However, building can get you into trouble when items get dumped on the team’s plate that are outside of their core competency. The team brings it to life anyway because they are smart enough to figure it out. The result is something that works but is not ideal, or that a lot of energy is spent creating something that is a commodity in the market.
Buy
When 1+1=3, it makes sense to buy technology and fold it into your organization. It may be that another firm has capabilities that do not exist within your own four walls. It’s also possible that your team can figure it out, but bringing in an existing product will save you three to five years getting to market.
Once all the expected synergies are realized post acquisition, leadership’s hope is that 1+1 actually turns out to be 10. A couple years down the road however, the most likely outcome is that 1+1 actually equals a perfectly normal 2. Viewing these engagements through a pragmatic lens through all stages of acquisition is paramount.
Partner
Missing functionality is not always indicative of a gap in your product. Your customers are likely to use more than just your product during the day, so it’s perfectly fine for other products to compliment yours. For example, automotive companies manufacture extremely complex systems with tens of thousands of components. It’s logical to partner with tech companies to access and display applications on your smartphone.
The challenge is that a partnership must remain productive for both sides. If one side ever feels that its importance outweighs the other party, suboptimal relationship dynamics form that impede progress and degrade the user experience.
Say “No”
Amazing products do not always need to introduce new features to stay relevant. Think about Scotch Tape or Post-it Notes. Innovations pop up every now and then, such as a tape dispenser with a new form factor or a new color palette and paper size for taking notes. These modifications are welcome and delight customers but do not fundamentally change the user experience.
That being said, confidence that your product is already perfect leads to eventual decline and new entrants capturing your customers. Staying obsessed with the customer, rather than your product roadmap, is the best filter for when to stay focused.