Product Strategy Stack (DHM: Delight/Hard-to-copy/Margin)

Use it when you need a clear, score-driven way to choose which products or features to build next.

What is it?

The Product Strategy Stack, also known as DHM (Delight/Hard-to-copy/Margin), is a decision framework that helps you systematically evaluate product or feature investments against three core pillars: customer Delight, competitive defensibility (Hard-to-copy), and profit Margin.

Developed by Martin Eriksson, it solves the common problem of scattered roadmaps and gut-driven prioritization by introducing a simple, repeatable scoring system. “Delight” measures how much your product hooks and retains users through core value delivery and emotional resonance. “Hard-to-copy” gauges the strength of your moat, whether it's data network effects, proprietary tech, or unique partnerships. “Margin” ensures every strategic play contributes to sustainable revenue rather than vanity metrics.

By plotting initiatives on the DHM stack, you instantly highlight high-impact, defensible, and profitable ideas. It's a lightweight but powerful tool built for product teams and founders who need to align cross-functional stakeholders around a growth-focused roadmap.

Why it matters?

By focusing on delight, defensibility, and margin in one unified model, the DHM stack ensures you're not just chasing viral hooks or short-term revenue spikes. Instead, you build sustainable growth drivers: products that users love, competitors can't easily replicate, and that generate healthy profits. That combination is the foundation for faster adoption, stronger retention, and predictable revenue expansion.

How it works

Growth co-pilot turns your toughest product questions into clear, data-backed recommendations you can act on immediately.

Score Delight

Quantify user value. Gather NPS data, usage metrics, or qualitative feedback to rate each idea on a 1–10 scale based on how it solves core user jobs and drives engagement.

Assess Hard-to-copy

Evaluate defensibility. Rate features on factors like proprietary algorithms, network effects, or exclusive partnerships, anything that raises the bar for competitors.

Calculate Margin

Project profitability. Factor in development cost, maintenance, and operational expenses to score each initiative's long-term margin potential.

Plot on the DHM Matrix

Map your scores in a three-axis chart. Look for initiatives clustering in the high-Delight, high-Hard-to-copy, and high-Margin quadrant, your strategic sweet spot.

Prioritize & Align

Use the plotted results to draft a roadmap. Communicate decisions to stakeholders using the DHM scores as clear rationale.

Iterate & Reassess

Re-score initiatives every quarter or after major releases to reflect real user feedback and updated financials.

Frequently asked questions

Growth co-pilot turns your toughest product questions into clear, data-backed recommendations you can act on immediately.

What exactly does each DHM pillar measure?

Delight measures user value and engagement impact, Hard-to-copy gauges your competitive moat (tech, data, network effects), and Margin projects long-term profitability after costs. Together they keep your roadmap balanced between impact, defensibility, and revenue.

What exactly does each DHM pillar measure?

How do I score qualitative ideas on a numeric scale?

Anchor your scores to real data or benchmarks. For Delight, use NPS or retention rates. For Hard-to-copy, compare to competitor features or patent strength. For Margin, run basic P&L estimates. Keep the scale consistent and document your assumptions.

How do I score qualitative ideas on a numeric scale?

Can DHM work for non-SaaS products?

Absolutely. Whether you're launching hardware, marketplaces, or services, you can adapt the same criteria. Just swap in the relevant delight metrics (e.g., usage frequency), defensibility factors (e.g., supply exclusivity), and profit calculations.

Can DHM work for non-SaaS products?

How often should I update my DHM scores?

Re-score quarterly or after any major launch or user research cycle. Frequent updates ensure your framework reflects real user sentiment shifts, competitive moves, and cost structure changes.

How often should I update my DHM scores?

Re-score quarterly or after any major launch or user research cycle. Frequent updates ensure your framework reflects real user sentiment shifts, competitive moves, and cost structure changes.

What if an initiative scores low in one pillar but high in the others?

Use DHM to spark discussion, not kill ideas outright. A low-margin but high-Delight feature might warrant a spin-off project or premium version. Document trade-offs and explore cost optimizations before discarding it.

What if an initiative scores low in one pillar but high in the others?

You've ranked your product plays on Delight, Hard-to-copy, and Margin, now plug your top candidates into the CrackGrowth diagnostic to uncover hidden growth blockers and craft experiments that drive your DHM winners over the finish line.

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