Director, Product Development Salary

Directors of Product Development in the United States can expect to earn a very comfortable salary, with average salaries (in the ballpark of $118K) surpassing six figures annually. In the world of Directors of Product Development, total cash compensation can vary between $77K and $176K. Each package generally includes bonuses and profit sharing proceeds, and in exceptional cases, those amounts can reach heights of $30K and $24K, respectively. Geographic location is the biggest factor affecting pay for this group, followed by career duration. Nearly all report receiving medical coverage from their employers and most collect dental insurance. Male Directors of Product Development are more prevalent than women among those who took the survey — 67 percent of professionals. Work is enjoyable for Directors of Product Development, who typically claim high levels of job satisfaction. The figures in this overview were provided by individuals who took PayScale's salary questionnaire.

$72,931 - $156,329
MEDIAN: $118,264

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National Salary Data (?
XAll compensation data shown are gross, national 10th to 90th percentile ranges. Pay can vary greatly by location. To view local data, take the PayScale survey.
$72,931 - $156,329  
$1,991 - $30,279  
Profit Sharing
$1,600 - $24,269  
$-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).
$76,517 - $175,992  
Country: United States | Currency: USD | Updated: 20 Jun 2015 | Individuals Reporting: 808
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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 may enjoy increased earnings if they become VPs of Product Development. This seems to be a popular career move, and VP of Product Development earn a slightly higher median of $151K annually.

Product Development Director Job Listings

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Popular Skills for Director, Product Development

Survey results imply that Directors of Product Development put a diverse skill set to use. Most notably, facility with Strategic Planning, Leadership, and Product Management are correlated to pay that is significantly above average, leading to increases of 25 percent, 24 percent, and 13 percent, respectively. Skills that pay less than market rate include Design, Sourcing, and Project Management. Most people experienced in Product Development also know Product Marketing.

Pay by Experience Level for Director, Product Development

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

Directors of Product Development with more experience do not necessarily bring home bigger paychecks. In fact, experience in this field tends to impact compensation minimally. Professionals with less than five years' experience earn a median of $97K annually, but folks with five to 10 years under their belts report a weighty six-figure median of $116K. For Directors of Product Development, 10 to 20 years of experience on the job amounts to an average salary of $134K. Individuals who have achieved more than 20 years of experience don't seem to earn much more than people who have 10 to 20 years under their belts; the more senior group reports an average income 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 (+27 percent), Dallas (+20 percent), San Diego (+11 percent), and Chicago (+10 percent). Directors of Product Development' salaries are heavily influenced by location — Directors of Product Development in Atlanta bring in salaries that are 24 percent lower than the national average. A couple other locations with smaller-than-average paychecks include Los Angeles (8 percent lower) and Minneapolis (5 percent lower).

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Experience Affects Director, Product Development Salaries

National Average

Skills That Affect Director, Product Development Salaries

Strategic Planning
up arrow 25%

up arrow 24%

Product Management
up arrow 13%

Software Development
up arrow 11%

Product Development
up arrow 3%

People Management
up arrow 1%

National Average

Product Marketing
up arrow 3%

Project Management
up arrow 4%

up arrow 9%

up arrow 18%

Job Satisfaction

Extremely satisfied
Rated 5 out of 5
based on 165 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: 95% dental benefits Dental: 87%
vision benefits Vision: 68% employee benefits None: 4%