When it comes to building a product that not only sells but also commands the market, it helps to zoom out and study the strategies behind the most successful brands in the world. According to Kevin Hale in his lecture “How to Build Products Users Love,” there are only three core paths to achieving market dominance—and each one requires a distinct strategy.
Whether you’re a startup founder, course creator, or building your next offer inside a funnel, understanding these paths can help you make smarter decisions, avoid costly distractions, and build something your market actually wants. Product building is never one-size-fits-all. It’s a strategic choice that defines everything downstream.
Let’s break them down.
The Logistics Advantage: Win on Price
If you’re aiming to be the most affordable option in your category, the product building strategy must prioritize logistics, operational efficiency, and scale. Think: Walmart. Amazon. Brands that can offer lower prices because their backend systems are ruthlessly optimized.
To pursue this strategy, you need:
- Tight control over your supply chain
- A cost-efficient distribution model
- Volume-based pricing strategies
This route isn’t for everyone, and it’s especially difficult if you don’t have massive infrastructure or leverage. But if you can optimize operations and undercut the competition without sacrificing quality, price can be your wedge into a crowded market.
This type of product building emphasizes systems thinking. Every moving piece in your backend matters. Even seemingly small logistics decisions can influence your ability to scale profitably.
The R&D Edge: Win on Product Quality
Apple is the gold standard here. If your goal is to offer the best product in the category, your focus must be on research, innovation, and continuous product development. This isn’t about being cheap—it’s about being excellent.
To win on product, you’ll need:
- Deep investment in design and development
- Feedback loops with real users
- A relentless commitment to refining the user experience
This strategy often comes with higher production costs and longer development cycles, but the payoff is fierce loyalty and premium pricing power.
Product building at this level requires not only great ideas but also the discipline to iterate constantly. You’re not just launching — you’re evolving. Each version, each update, each user insight becomes a stepping stone toward market leadership.
The Relationship Route: Win on Customer Intimacy
This is the most accessible path for startups and small teams.
You may not be able to compete on price. You may not have the resources for deep R&D. But you can out-care your competitors.
Customer intimacy is about knowing your audience so well that your product feels like it was made just for them. This strategy shows up in luxury brands, high-touch services, and transformational coaching businesses.
What it requires:
- Personalized experiences
- Direct feedback loops and responsive support
- Consistent communication and trust-building
The beauty of this approach? It costs very little to get started.
You just need humility, curiosity, and a willingness to listen.
This type of product building isn’t about flash — it’s about fit. When your user feels understood, when your message lands with precision, conversions go up without the need for pressure or gimmicks.
Choosing Your Path Wisely
One of the biggest mistakes in product building is trying to be all three. You want to be the cheapest, most innovative, and most customer-centric? Good luck.
Each of these paths requires a specific structure, resource allocation, and long-term strategy. Pick one and go all in. That doesn’t mean you can’t blend elements of the others, but your core strategy should stay focused.
Smart product building is about constraints. Choosing a lane frees you up to excel instead of stretch yourself thin across competing priorities. If you feel scattered, it might be time to revisit the path you’re actually committed to.
Product Building Isn’t Just Strategy—It’s Identity
Your chosen path doesn’t just shape your product. It shapes your:
- Team structure
- Marketing messaging
- Sales funnel design
- Support systems
When your internal processes align with your market promise, that’s when the magic happens. That’s when users start saying, “This is exactly what I needed.”
And that’s how you build something people not only use—but love.
Product building at this level becomes culture. It’s no longer just a tactical move—it’s embedded into your company DNA. Every decision flows from the foundation you’ve laid.
Final Takeaway
No matter which path you choose, clarity is the asset. Get clear on what kind of product you’re building, why it matters, and who it’s for. When those three things align, product building becomes less about guessing and more about scaling — and more about building momentum you can actually measure.
If you feel stuck, overwhelmed, or unclear, revisit your foundation. Reconnect with the strategy that fits your goals, resources, and market. You don’t need to do everything — just the right things, in the right order.
Here are a few quick tips to anchor your next move:
- ✅ Pick one core strategy (price, product, or relationship) and commit to it.
- ✅ Align your marketing and delivery systems around that strategy.
- ✅ Use feedback loops early to validate what’s actually working.
- ✅ Document your decision-making process — it helps with scaling.
- ✅ Don’t try to be everything to everyone. Get known for doing one thing really well.
Great product building isn’t just about the next launch — it’s about long-term traction. Lead with clarity, and execution gets 10x easier.
FAQ For Product Building
Q: Which strategy is best for new businesses? A: Customer intimacy is often the best starting point for small or new businesses. It requires the least capital and builds strong, loyal relationships early.
Q: Can I blend strategies over time? A: Yes, but your business should be rooted in one primary path. Blending works best after you’ve gained traction and built out strong systems.
Q: What if I’m in a highly competitive market? A: Focus on either deep product differentiation (R&D) or customer intimacy. Competing on price is risky unless you have serious infrastructure.
Q: How do I know if I’ve chosen the right strategy? A: You’ll see alignment between your operations, your messaging, and your customer results. If you’re constantly pivoting, you may need to revisit your core strategy.
Q: Do I need a team to build a product this way? A: Not always. Many solo creators and small teams succeed by starting small and building up. Systems, AI tools, and clear customer understanding can go a long way.