Organizations that follow Agile practices for software development typically need a Product Owner. These essential players perform many different functions during development, from defining user stories to ensuring that the production backlog doesn’t become too overwhelming.
Given the importance of the role, you’d expect a product owner to earn quite a bit in compensation, and most of the time you’d be right. Let’s take a look at Product Owner salary and compensation, as well as employer demand and the future of the role.
What is the average salary of a Product Owner?
According to Glassdoor, which collects its earnings data across the United States, the average product owner earns $100,000 per year. This matches crowdsourced data presented by other job-centric websites, including Indeed and Builtin.
As you’d expect, the average salary can vary depending on skills, experience, certifications, and location, as well as company size. Other forms of compensation, including stock options, are also a factor.
What is the starting salary of a Product Owner?
A Product Owner is fundamentally a leader and is expected to manage teams; therefore, the starting salary is often quite high. In addition to extensive experience managing Scrum teams, product owners typically need to be proficient in data analysis, their organization’s technology stack and technology goals, and people management.
In other words, it’s not a simple job, which is why even the starting salaries for Product Owner positions are quite high. According to Product Manager HQ, the average compensation for product owners with less than a year of experience is $57,985. By the time a product owner has accumulated between 5 and 9 years of experience, they can earn $92,619. Those with extensive experience can expect to earn six-figure salaries, especially at larger companies.
What do Product Owners earn compared to other popular tech positions?
According The Latest Dice Technician Salary Reportthe average salary for a technologist is $104,566, which is a 6.9% increase from 2020 to 2021. A product owner’s salary seems to be exactly at this generalized average.
Are Product Owners in demand?
Product owners have a complicated job, especially in large companies where they’re expected to help bring really massive software projects to fruition. For example, a product owner at a large technology company might expect to identify customer needs; guide technical and functional conversations within the team; manage the product backlog; and use a variety of approaches to gather the ideas and requirements needed for the project.
No matter the size of the business, product owners need to present a concrete, executable vision for the project that teams can easily follow. As teams strive to turn customer needs into reality, product owners will also need to optimize team feedback loops to validate and test ideas, adjust priorities, and set criteria. of acceptance.
In addition to product ownership and Agile experience, companies expect product owners to have intimate knowledge of how a company and/or industry operates. According to Burning Glass, which collects and analyzes millions of job postings across the country, product manager roles (which many organizations consider to be synonymous with product owner) are expected to increase by 10% over the next 10 years ; the current timeframe for filling vacancies is 43 days, suggesting strong demand from employers.
Is Product Owner a dying career?
As organizations design software using the Agile methodology, there will be a need for Product Owners who can successfully guide every step of the process. And Agile doesn’t seem to be going anywhere for a very, very long time.