Should MessageBird prioritize expanding SMS API features or focus on improving the reliability of existing voice calling services?

Introduction

The trade-off we're examining today is whether MessageBird should prioritize expanding SMS API features or focus on improving the reliability of existing voice calling services. This scenario touches on the core of product strategy: balancing innovation with stability. I'll approach this analysis by first clarifying key aspects of the situation, then diving into a structured evaluation of both options, considering their impacts on various stakeholders and business metrics.

Step 1

Clarifying Questions (3 minutes)

• Based on recent market trends, I'm thinking SMS might be seeing a resurgence in business communications. Could you share any data on the growth rates of SMS vs. voice calling usage among our customers over the past year?

Why it matters: Helps identify where customer demand is shifting Expected answer: SMS growing faster than voice Impact on approach: Would lean towards prioritizing SMS API expansion if true

• Considering our revenue model, I assume both SMS and voice contribute significantly. What's the current revenue split between these two services?

Why it matters: Aligns decision with financial impact Expected answer: 60% SMS, 40% voice Impact on approach: Would influence resource allocation based on revenue potential

• Regarding user impact, are there specific customer segments that heavily rely on our voice calling services and might be affected by reliability issues?

Why it matters: Identifies potential risks of neglecting voice improvements Expected answer: Enterprise clients in healthcare and finance sectors Impact on approach: Would necessitate a more cautious approach to ensure we don't alienate key customers

• From a technical standpoint, I'm curious about the current reliability metrics for our voice services. What's our current uptime percentage, and what's the industry benchmark?

Why it matters: Quantifies the urgency of reliability improvements Expected answer: 99.5% uptime, slightly below industry standard of 99.9% Impact on approach: Would influence the priority of voice reliability improvements

• Considering our development resources, what's our current team capacity split between SMS and voice projects?

Why it matters: Assesses feasibility of shifting focus Expected answer: 70% SMS, 30% voice Impact on approach: Would inform how quickly we could ramp up efforts in either area