5 min read
No matter the size of the company (even if you are launching a Lean Startup), it is important to remember: there is no point in creating a product that no one needs. An idea often seems great as long as it stays in our minds, but reality can bring surprises.
That’s why it’s critical to test the concept to ensure that the final product really solves the problem.
The optimal way to verify this is by developing an MVP.
In this article, we’ll explore what a minimum viable product (MVP) is, the types of MVPs that exist, and how to create one with minimal costs to test your idea.
What is an MVP?
Imagine you have a great business idea that excites your friends and colleagues. But before investing money into full development, it’s important to test its viability with a wider audience.
For this, a minimum version of the product is created—an MVP (Minimum Viable Product)—which includes only the key features that solve the main problem of the user. This approach allows you to get to market faster and test the idea with real users.
Even with a limited set of features, the MVP must be "viable"—meaning it must work and bring value. This helps avoid unnecessary costs and understand how ready the market is to accept your product. The MVP approach is particularly relevant for web applications, SaaS services, and other digital solutions.
Advantages of MVP
The main advantage of MVP is obtaining feedback from the market. To elaborate on this, several key benefits can be highlighted:
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Quick testing of ideas with real users.
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Reduction of development costs and minimization of risks.
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Competitor and market analysis before the full version is released.
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The ability to attract investors based on initial results.
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Flexibility and adaptability: Adjust strategies based on feedback.
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Accelerated market launch.
Formats of MVP
1. Landing Page MVP
A landing page allows you to collect leads and contacts of potential users before creating the product. This helps assess demand, test marketing hypotheses, and save resources. The page can contain a description of the product, its benefits, price, and a pre-order form.
2. Prototype with Key Functionality
This is a minimal version of the product with one key feature. For example, Uber’s first MVP only allowed drivers and passengers to connect, without complex algorithms and additional options. This approach allows you to validate the concept without significant investment, and then gradually add new features.
3. Step-by-Step MVP
Instead of developing from scratch, existing services and tools are combined. This method helps test the idea and assess demand without investing in complex development.
4. Concierge MVP
This approach is used in services that plan to automate the process in the future. Initially, services are performed manually, allowing you to check the demand for the product. For instance, if you plan to create a financial accounting service, you can first manually create financial plans for clients and then automate the process based on their feedback.
When and Why to Create an MVP?
Creating an MVP makes sense in the early stages of product development. Even if the idea seems promising, investing in full-scale development without testing the market is too risky. MVP helps reduce costs, gather real data, and assess whether it’s worth continuing to work on the product.
After launching the minimal version, you can assess demand and adjust the direction if necessary.
How to Create an MVP?
Step 1: Identify the Problem Your Product Solves
Start by understanding the key pain point your product addresses for customers. Describe the value in a few sentences — this will be useful when creating marketing materials and campaigns.
Step 2: Define Your Target Audience
It’s crucial to narrow the focus and determine who the product is for. Create a portrait of the ideal customer: age, income level, needs, and pain points. This will help fine-tune marketing strategies and test the MVP with the right audience.
Step 3: Analyze Competitors
Even if it seems like there are no direct competitors, it’s important to thoroughly study the market. If competitors do exist, analyze their offerings, strategies, and reputation. This will help you stand out and offer something truly valuable.
Step 4: Create a Customer Journey Map (CJM)
It’s crucial to understand how users will interact with your product. Creating a CJM helps identify potential interface issues and improve the user experience.
Step 5: Define MVP Functionality
Separate features into "must-have" (without which the product wouldn’t work) and "nice-to-have" (which can be added later). This will help create a minimal, but functional version.
Step 6: Development and Testing
After creating the MVP, conduct internal testing, and then launch the product for early users. Collect feedback, analyze the data, and make necessary improvements.
Conclusion
Creating an MVP requires analytics, UX design, and technical skills. Mistakes during the prototyping stage can lead to a loss of budget and time.