The Heads of Product Developments are responsible for guiding the ideation, creation, enhancement, and redesign of products. They set the vision, strategy, and direction for both new product development and managing the lifecycle of existing products.
Additionally, they lead research and idea-building to create new products; while also improving and redesigning current ones so they stay competitive and fit the company's goals. They work closely with teams like marketing, sales, and manufacturing to make sure each product supports business needs and targets. They also study the market and talk to customers to understand trends, demands, and gaps that the product should address.
This salary guide will thoroughly discuss the overview of a Head of Product Development salary, as well as factors that affect the role's compensation, options to have higher pay, and some related frequently asked questions.
As of November 1, 2025, the average Head of Product Development salary in the United States is $89,690 per year. The compensation usually ranges from $240,340 to $342,549, with most Head of Product Developments earning around $262,100 to $315,600.
2025 Average Salary for Head of Product Developments: $286,000 per year ($138 per hour)
The average Head of Product Development salary per month is $23,833, while the average weekly rate is $5,500.
| Percentile | By Hour | By Week | By Month | By Year |
|---|---|---|---|---|
| 10th Percentile | $116 | $4,622 | $20,028 | $240,340 |
| 25th Percentile | $126 | $5,040 | $21,842 | $262,100 |
| 50th Percentile (Median) | $138 | $5,500 | $23,833 | $286,000 |
| 75th Percentile | $152 | $6,069 | $26,300 | $315,600 |
| 90th Percentile | $165 | $6,589 | $28,546 | $342,549 |
Head of Product Development salaries vary from state to state due to key factors, such as the cost of living, local economies, and industry presence.
The state with the highest average annual Head of Product Development pay is the District of Columbia, at $316,700, followed by California, at $315,500, and Massachusetts, at $311,200.
Meanwhile, the state with the lowest average annual salary is Mississippi at $255,100, followed by South Dakota at $259,900 and West Virginia at $257,500.
| State | Average Annual Salary |
|---|---|
| Alabama | $262,800 |
| Alaska | $309,600 |
| Arizona | $278,700 |
| Arkansas | $258,400 |
| California | $315,500 |
| Colorado | $291,800 |
| Connecticut | $305,600 |
| Delaware | $289,600 |
| District of Columbia | $316,700 |
| Florida | $270,600 |
| Georgia | $275,800 |
| Hawaii | $298,900 |
| Idaho | $267,000 |
| Illinois | $291,500 |
| Indiana | $274,500 |
| Iowa | $273,700 |
| Kansas | $272,300 |
| Kentucky | $269,100 |
| Louisiana | $271,900 |
| Maine | $278,900 |
| Maryland | $294,900 |
| Massachusetts | $311,200 |
| Michigan | $281,700 |
| Minnesota | $292,700 |
| Mississippi | $255,100 |
| Missouri | $271,700 |
| Montana | $270,700 |
| Nebraska | $284,400 |
| Nevada | $283,100 |
| New Hampshire | $289,200 |
| New Jersey | $310,000 |
| New Mexico | $264,900 |
| New York | $304,000 |
| North Carolina | $271,800 |
| North Dakota | $282,500 |
| Ohio | $278,500 |
| Oklahoma | $264,400 |
| Oregon | $290,400 |
| Pennsylvania | $284,700 |
| Rhode Island | $296,500 |
| South Carolina | $268,000 |
| South Dakota | $259,900 |
| Tennessee | $279,000 |
| Texas | $279,000 |
| Utah | $273,900 |
| Vermont | $280,700 |
| Virginia | $288,000 |
| Washington | $310,100 |
| West Virginia | $257,500 |
| Wisconsin | $281,300 |
| Wyoming | $274,300 |
The cities that give the best salary for Head of Product Developments are shown in the table below. With an average annual pay of $357,200, San Jose, California, is the best-paying city.
| City | Average Annual Pay | Approx. Hourly Rate |
|---|---|---|
| San Jose, CA | $360,700 | $173/hour |
| San Francisco, CA | $357,500 | $172/hour |
| Oakland, CA | $349,300 | $168/hour |
| New York, NY | $331,400 | $159/hour |
| Queens Village, NY | $329,300 | $158/hour |
| Paramus, NJ | $327,000 | $157/hour |
Just like any profession, more experience will lead to higher pay when it comes to Head of Product Development salaries.
With less than a year of experience, an entry-level position will have an average starting salary of $270,440. An intermediate-level Head of Product Development with 1 to 2 years of experience gets $272,688.
A senior-level Head of Product Development with 2 to 4 years of experience will have $275,685, while a specialist with 5 to 8 years of experience usually gets $280,181 on average. The most experienced Head of Product Development is at the expert level with over 8 years of experience, earning $285,800.
| Levels | Salary |
|---|---|
| Entry Level Head of Product Development | $270,440 |
| Intermediate Level Head of Product Development | $272,688 |
| Senior Level Head of Product Development | $275,685 |
| Specialist Level Head of Product Development | $280,181 |
| Expert Level Head of Product Development | $285,800 |
The job title as Head of Product Development typically requires a bachelor's degree in business, marketing, engineering, or a related field, while courses related to product management, market research, and innovation help in developing strategic and leadership skills. Work experience related to product development, product management, or cross-functional leadership can sometimes be a substitute for formal education.
Here are ways to increase the salary of Head of Product Developments:
According to Salary.com's Real-time Job Posting Salary Data Report, user research gives the highest increase in salary at 7.89%, followed by skills in value engineering at 7.70% and new product development at 7.64%.
Other significant skills with high salary increases are product research (7.40%), product development (7.33%), manufacturing technology (7.08%), engineering change management (7.08%) and product strategy (6.83%).
| Skill | Demand | Salary Increase |
|---|---|---|
| User research | 10.10% | 7.89% |
| Value Engineering | 10.00% | 7.70% |
| New Product Development | 10.00% | 7.64% |
| Product Research | 10.10% | 7.40% |
| Product Development | 10.60% | 7.33% |
| Manufacturing Technology | 10.30% | 7.08% |
| Engineering Change Management | 10.00% | 7.08% |
| Product Strategy | 10.50% | 6.83% |
Here are some common questions about the Head of Product Development compensation:
The Head of Product Development pay near Washington, DC is $316,700 per year on average, with a range between $266,073 and $379,172. The monthly rate is $29,392, the weekly rate is $6,090, and the hourly rate is $152.
The highest salary of a budget analyst is $342,549, according to the latest data from Salary.com. This is influenced by various factors, such as location, industry presence, skills, education level, and experience level.
The Head of Product typically reports to the VP of Product, concentrating on aligning the product team with the company's strategy. In some organizations, these roles may not coexist, and the title reflects the company's structure. The salary for Head of Product Development ranges from $279,200 to $384,100, with a midpoint of $322,000.