PM Interview Question →You are the Product Manager at Spotify, and the company has decided to enter the audiobook business. How would you build a Minimum Viable Product (MVP) for this venture?

Published in

Bootcamp

5 min readOct 11, 2024

When presented with the question of how to build a Minimum Viable Product (MVP) for Spotify’s entry into the audiobook business, I recognize both the exciting opportunity and the significant challenges involved. Crafting an MVP for this new domain requires a strategic approach that leverages Spotify’s existing strengths while addressing the unique demands of the audiobook market.
I would like to outline a roadmap for developing Spotify’s Audiobook MVP, highlighting key considerations and steps along the way.

1. Understanding the Market Landscape

Market Analysis

The audiobook industry has seen substantial growth, with a global market size projected to reach over $19 billion by 2027. Major players like Audible (Amazon), Apple Books, and Google Play Books dominate the space, offering vast libraries and seamless user experiences.

Competitor Insights

Audible: Subscription-based model with exclusive content.
Apple Books: Integrated with Apple’s ecosystem, offering one-time purchases.
Google Play Books: Cross-platform accessibility with à la carte purchases.

Customer Needs and Pain Points

Needs: High-quality content, user-friendly interface, seamless integration across devices.
Pain Points: High subscription costs, limited platform interoperability, and fragmented libraries.

2. Defining the MVP’s Objectives

Core Value Proposition

Leverage Spotify’s existing platform to offer audiobooks, providing users with a one-stop solution for audio entertainment — music, podcasts, and now audiobooks.

Alignment with Spotify’s Mission

Spotify aims to “unlock the potential of human creativity.” Introducing audiobooks expands our content ecosystem, encouraging more listening and learning opportunities.

3. Identifying Core Features for the MVP

Essential Functionalities

Audiobook Playback: Basic play, pause, rewind, and forward controls.
Catalog Access: Curated selection of popular and public domain titles to start.
User Interface Adjustments: Modifications to accommodate long-form content navigation.

Nice-to-Haves (Future Iterations)

Personalized Recommendations: Based on listening habits.
Social Sharing: Allow users to share favorite audiobooks or excerpts.
Advanced Playback Features: Sleep timers, offline downloads, and variable speed playback.

4. User Experience Considerations

Navigation and Discovery

Dedicated Audiobook Section: Clear segregation from music and podcasts.
Search and Filter Options: By genre, author, length, and popularity.

Progress Tracking

Bookmarks: Automatic saving of last listened positions.
Chapters and Sections: Easy navigation between different parts of an audiobook.

Accessibility Features

Adjustable Playback Speed: From 0.5x to 2x speed.
Transcripts: Text versions of audiobooks for reference.

5. Technical and Operational Considerations

Content Acquisition and DRM

Licensing Agreements: Negotiate with publishers for rights to popular titles.
Digital Rights Management: Ensure content protection to prevent unauthorized distribution.

Integration with Existing Infrastructure

Backend Support: Modify existing systems to handle audiobook metadata and streaming.
Scalability: Ensure infrastructure can handle increased load without affecting music and podcast streaming.

Platform Compatibility

Cross-Device Availability: Mobile, desktop, web player, and smart devices.

6. Defining Success Metrics

Key Performance Indicators (KPIs)

User Adoption Rate: Number of users engaging with audiobooks.
Engagement Metrics: Average listening time per user, completion rates.
Retention Rates: Repeat usage over weeks and months.

Feedback Mechanisms

In-App Surveys: Collect user feedback on experience.
Usage Analytics: Monitor feature usage to inform future development.

7. Go-to-Market Strategy

Target Audience

Existing Spotify Users: Leverage current user base for initial adoption.
Audiobook Enthusiasts: Attract users from competing platforms with unique offerings.

Marketing and Promotion

In-App Promotions: Highlight the new audiobook feature to users.
Email Campaigns: Inform subscribers about the new content.
Partnerships: Collaborate with authors and publishers for exclusive releases.

Pricing Strategy

Freemium Model: Offer free access to public domain audiobooks.
Premium Content: Include popular titles in Spotify Premium or as separate purchases.

8. Legal and Compliance

Content Licensing

Ensure all content is legally acquired with appropriate licenses.

Regulatory Compliance

Adhere to international laws regarding digital content distribution.

9. Roadmap and Timeline

Phase 1: Development (0–3 months)

Finalize licensing deals.
Develop core audiobook functionalities.
Internal testing and QA.

Phase 2: Soft Launch (4–5 months)

Release MVP to a select user group.
Collect feedback and fix critical issues.

Phase 3: Public Launch (6 months)

Full rollout to all users.
Initiate marketing campaigns.

Winding up!

Entering the audiobook market is a strategic move that complements Spotify’s mission and leverages our strengths in audio streaming. By focusing on a well-defined MVP, we can swiftly enter the market, learn from user interactions, and iteratively improve our offering. Success will be measured not just by initial adoption but by our ability to enhance the user experience over time, ultimately establishing Spotify as a key player in the audiobook industry.

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