To achieve success with minimal risk and cost in a tough competitive environment where more than 90% of launched startups fail, practically every project should start with MVP (Minimum Viable Product).
The main goal of MVP is to minimize the risk of such a scenario. Such a concept can be applied to any product but is more often used for the development of software and digital services.
MVP is often confused with PoC (Proof of Concept). These two concepts are interrelated, but not equivalent. In the idea of POC, we can include the following activities from the market: the reaction of potential customers to the announcement, the number of pre-orders, marketing research, and other theoretical evidence that the future product is interesting to the target audience. MVP is more than proof, it is a workable product.
However, MVP is not a prototype. An MVP contains only the most essential functionality, but it doesn’t have to be primitive. On the contrary, the main function of the MVP should be as good as possible.
The Minimum Viable Product is not created for testing technologies, but to test in practice whether users need such a product, whether the hypotheses underlying the business model are correct. The main goal of an MVP is to minimize the time and effort spent testing the market’s reaction to an idea.
MVP allows you to attract real users to the project as guides who will help you adjust the business model and basic characteristics of the future product, outline development directions, and plan an upgrade roadmap. Positive results at the MVP stage give the green light for the development of a full version of the product.