Director, Product Development Salary

Directors of Product Development in the United States can expect to earn a very generous salary, with average salaries (in the ballpark of $118K) surpassing six figures annually. Cash earnings for Directors of Product Development — which occasionally include more than $30K from bonuses and more than $24K from profit sharing — stretch from around $77K to approximately $176K. Geography is the biggest factor affecting pay for this group, followed by tenure. The majority of Directors of Product Development (67 percent) survey respondents are male. Nearly all report receiving medical coverage from their employers and most collect dental insurance. The majority of workers are highly satisfied with their job. This report is based on answers to PayScale's salary questionnaire.

$73,115 - $156,164

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National Salary Data (?
XAll compensation data shown are gross 10th to 90th percentile ranges. Take the PayScale Survey to find out how location influences pay for this job.
$73,115 - $156,164  
$1,983 - $30,272  
Profit Sharing
$1,957 - $24,151  
$-0.49 - $29,163  
Total Pay (?
XTotal Pay combines base annual salary or hourly wage, bonuses, profit sharing, tips, commissions, overtime pay and other forms of cash earnings, as applicable for this job. It does not include equity (stock) compensation, cash value of retirement benefits, or the value of other non-cash benefits (e.g. healthcare).
$76,597 - $176,015  
Country: United States | Currency: USD | Updated: 18 Jul 2015 | Individuals Reporting: 817
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Job Description for Director, Product Development

A director of product development has many responsibilities related to product development within their organization. Their main task is creating and then implementing a development strategy for their company. They are also responsible for the implementation of procedures related to product development. Directors of product development are also accountable for setting annual performance goals and conducting evaluations of the staff. In addition, they also need to develop and implement best practices for product designs. They train and guide subordinates within their staff and work well in a team setting.


Director, Product Development Tasks

  • Ensure products are produced according to design, quality, and price specifications.
  • Supervise product development process, coordinating department objectives and schedules.
  • Review new product ideas, present them to management, and work with other departments to determine feasibility.
  • Conduct market research to determine consumer needs and identify competitors.

Common Career Paths for Director, Product Development

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Directors of Product Development often end up in upper-level roles like VP of Product Development. VPs of Product Development bring home $151K annually on average.

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Popular Skills for Director, Product Development

Overall, survey participants reported applying a fair number of skills to their work. Most notably, facility with Strategic Planning, Leadership, and Product Management are correlated to pay that is significantly above average, leading to increases of 26 percent, 24 percent, and 12 percent, respectively. Skills that are correlated to lower pay, on the other hand, include Design, Sourcing, and Project Management. Those proficient in Product Development are, more often than not, also skilled in Product Marketing.

Pay by Experience Level for Director, Product Development

Median of all compensation (including tips, bonus, and overtime) by years of experience.

For Directors of Product Development, level of experience appears to be a somewhat less important part of the salary calculation — more experience does not correlate to noticeably higher pay. The relatively untested earn a median of $97K per year, but survey respondents who have racked up five to 10 years of experience report a six-figure median of $116K. Directors of Product Development see a median salary of $133K after reaching one to two decades on the job. Individuals who report more than two decades of experience seem to make only slightly more than folks in the 10-to-20 year range; the more senior group sees median earnings in the comparatively modest ballpark of $136K.

Pay Difference by Location

Directors of Product Development will find that San Jose offers an impressive pay rate, one which exceeds the national average by 38 percent. Directors of Product Development can also look forward to large paychecks in cities like San Francisco (+29 percent), Dallas (+18 percent), San Diego (+12 percent), and Washington (+7 percent). Directors of Product Development in Atlanta make 24 percent less than the national average, proving that location is a major factor in pay. A couple other locations with smaller-than-average paychecks include Los Angeles (8 percent lower) and Seattle (7 percent lower).

Related Job Salaries

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Experience Affects Director, Product Development Salaries

National Average

Skills That Affect Director, Product Development Salaries

Strategic Planning
up arrow 26%

up arrow 24%

Software Development
up arrow 12%

Product Development
up arrow 3%

People Management
up arrow 1%

National Average

Product Marketing
up arrow 2%

Project Management
up arrow 4%

up arrow 9%

up arrow 18%

Job Satisfaction

Extremely satisfied
Rated 5 out of 5
based on 159 votes.


33 %
67 %

Years of Experience

1-4 years
5-9 years
10-19 years
20 years or more

Common Health Benefits

medical benefits Medical: 94% dental benefits Dental: 86%
vision benefits Vision: 68% employee benefits None: 4%