Product Management Engineering 4 min read

API Design Best Practices for Product Teams

How product managers and engineers can collaborate on API design that balances developer experience with business needs.

By Tshepo Machele

APIs are the contracts between your product and the developers who use it. Whether you’re building public APIs, internal microservices, or mobile app backends, good API design requires collaboration between product and engineering.

Why API Design Matters

APIs have both technical and product implications:

  • Developer experience affects adoption and satisfaction
  • API design shapes how features can evolve
  • Breaking changes create customer pain
  • Performance impacts user experience
  • Documentation determines ease of integration

For Product Managers: The Business Case

Product managers should care deeply about API design because it affects:

Developer Adoption

If you’re building a platform or have an API product, your API IS your product experience. Poor API design leads to:

  • Longer integration times
  • Higher support costs
  • Lower adoption rates
  • Negative developer perception

Feature Evolution

API design decisions constrain future product evolution. Once you’ve shipped an API endpoint, you’re committed to supporting it. This means:

  • Think ahead - What might future requirements be?
  • Start narrow - Easier to add than remove
  • Version thoughtfully - Breaking changes affect customers
  • Deprecate gracefully - Give time for migration

Business Model

If your API is monetized, design affects pricing strategy:

  • Rate limiting - How to enforce tiers?
  • Metering - What to count (requests, compute, storage)?
  • Value-based pricing - Align costs with customer value
  • Freemium limits - Enough value to convert?

For Engineers: Technical Excellence

Engineers should focus on making APIs that are intuitive, performant, and maintainable.

RESTful Principles

Follow REST conventions for predictability:

GET    /api/articles        # List articles
GET    /api/articles/:id    # Get one article
POST   /api/articles        # Create article
PUT    /api/articles/:id    # Update article
DELETE /api/articles/:id    # Delete article

Use proper HTTP status codes:

  • 200 OK - Success
  • 201 Created - Resource created
  • 400 Bad Request - Invalid input
  • 401 Unauthorized - Not authenticated
  • 403 Forbidden - Not authorized
  • 404 Not Found - Resource doesn’t exist
  • 500 Internal Server Error - Server error

Pagination and Filtering

Always paginate list endpoints:

GET /api/articles?page=1&limit=20&discipline=PM&sort=-publishDate

Response:
{
  "data": [...],
  "pagination": {
    "page": 1,
    "limit": 20,
    "total": 150,
    "pages": 8
  }
}

Error Handling

Provide actionable error messages:

{
  "error": {
    "code": "INVALID_EMAIL",
    "message": "The email address is not valid",
    "field": "email",
    "docs": "https://docs.example.com/errors/invalid-email"
  }
}

Performance Considerations

  • Use caching headers - Cache-Control, ETag
  • Enable compression - gzip responses
  • Implement rate limiting - Protect your infrastructure
  • Monitor performance - Track p50, p95, p99 latencies
  • Optimize queries - N+1 queries kill performance

Collaborative API Design Process

Here’s how to work together effectively:

1. Start with Use Cases

PM defines the use case:

  • Who is the API consumer?
  • What are they trying to achieve?
  • When will they use it?
  • Why is this valuable?

2. Design the Interface Together

PM and engineering collaborate on:

  • Resource naming - Intuitive and consistent
  • Request/response structure - Clear and complete
  • Error scenarios - What can go wrong?
  • Authentication - How to secure?

3. Engineer Reviews Technical Feasibility

Engineering evaluates:

  • Data availability - Do we have this data?
  • Performance implications - Can we serve this efficiently?
  • Scalability - What if traffic 10x?
  • Security - Any vulnerabilities?

4. Document Before Building

Write documentation first:

  • Getting started guide - Quick win in 5 minutes
  • API reference - Complete endpoint documentation
  • Use case tutorials - Common integration patterns
  • Error reference - How to handle errors

Versioning Strategy

How to handle API evolution:

URL Versioning

/api/v1/articles
/api/v2/articles

Pros: Clear and explicit Cons: Version proliferation

Header Versioning

GET /api/articles
Accept: application/vnd.myapi.v2+json

Pros: Clean URLs Cons: Less discoverable

Choose One Approach

Be consistent. Most teams prefer URL versioning for clarity.

Testing APIs

Both PM and engineering should test:

  • Happy path - Does it work as expected?
  • Error cases - Do errors make sense?
  • Edge cases - Boundary conditions
  • Performance - Load testing critical endpoints
  • Security - Authorization, injection attacks

Key Takeaways

  • PMs: Good API design is a product decision. Invest time upfront to get it right.
  • Engineers: APIs are user interfaces. Apply the same care you’d give to any UI.
  • Everyone: API design requires collaboration. Neither role can do it well alone.

Remember: You can’t easily change an API once it ships. Take time to design thoughtfully.


What API design challenges has your team faced? How did you solve them?

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