You connect with a developer, they validate the app idea, and then you both realize it will take five to six months to develop the app. Are you willing to wait that long? When you release the app after six months, do you think your customers will embrace it immediately? What if the app you developed doesn't sit well with the audience?
All the money, time, and effort you invested go down the drain. That can be pretty risky, especially when running on limited resources.
The lean machine for a startup is the MVP. It helps get the app idea out into the market at the earliest and helps get quicker feedback on the design and concept.
Before we look at the benefits offered by MVP, let's understand what you mean by MVP.
MVP or Minimum Viable Product is a short version of the app idea that allows developers and businesses to collect feedback on their vision. It helps learn more about the feasibility of the concept, know whether there are takers for the app, and find out how it will resolve issues.
The MVP consists of basic features and functionality to showcase the app's nature and the intent behind creating the solution. It will comprise all the elements that help resolve a specific problem and focus on the core issue.
The question now remains - why should you develop a minimum viable product for your business app solution? Here we will talk about the benefits associated with creating the MVP.
As a business in the starting phase, you look forward to engaging investors in buy-in as early as possible. It is a sound product pitch that wins the customer's hearts.
However, a product pitch is incomplete without the product. It would help to showcase what you are building to the investors to get their attention. For example, if you make an app to solve taxation issues, you need to show how.
The MVP is your support during the product pitch. It showcases your product and how you envision it to the investors in the best possible way. It is like your show-n-tell project where you show the MVP to win some funds to scale your project.
It is more like a tangible solution that can get your investors interested in you.
When building a core product for your business, getting distracted and overwhelmed by the numerous features and functionality is straightforward. You might even start building a product that doesn't meet the set criteria.
However, when you build a product from an MVP, you have a roadmap clearly defined for your business solution. The MVP is readied with the basic features and the core functionality. It is a guiding light for the next set of features and functionality you will add.
It makes the vision and the goal of the app clear. You know precisely why you want to develop the app and what aspects will make the app simplify.
For example, the fitness app could be a proper meditation app, wellness app, or eCommerce store selling products. Your MVP will guide you toward adding the right features.
When you release the MVP in the market so that your customers use it, it helps you know them better. The feedback from the app's early adopters will act as a guiding light for further development.
It helps you get quicker feedback from the target market. You will know what the customers are looking for and what your solution lacks.
For example, if you have released an Uber clone for your business, the MVP will help you know what features are missing in the app that can improve user experience. It is akin to beta testing your app, even before it is released.
This feedback will help you plan your app better for increased adoption.
When you release the MVP in the market, you are all set to build engaging relationships with the early adopters. These customers will turn into brand advocates, thus improving your app's market.
When you connect the early few customers of the app, you will engage with them, help them use the app, discuss the app opportunities and build strong relationships. This will help launch-day marketing and improve your app's functionality. They will help you identify how to improve your app to make it more user-centric.
Whether you are developing a physical or virtual product, it has to be profitable for your business. You should know how to earn money and enhance the profits with the product.
The MVP sets the stage to discuss monetization strategy for your business product. You will be able to define a more sustainable and exclusive strategy that will help increase revenue streams and earnings.
If you plan a freemium model for your application, MVP is the best way to test whether this strategy will work. You will know from the early adopters if they are ready to upgrade to a paid model in the coming times.
Similarly, if you are planning to include in-app videos or ads as your key monetization strategy, the MVP will help you know if this will create friction or not.
Is there a market for the product you plan to launch? The answer to this question is best known through MVP design. When you release the MVP, you know it is winning the market if there are adapters for this solution. It will answer questions like:
If you feel the market is ready for the solution, you can develop the product. By testing the market using MVP, you save your money and efforts.
If you plan a tremendous solution that you believe will impact the market, you should test the waters before developing the solution. MVP can help you gauge the demand, know the customers, and plan the development before investing your money. It will also find the right investors for your product so that you are funded and have all the right insights.
MVP gets you data that can help you validate the idea and check the feasibility. Instead of investing all your money in building the final product, develop an MVP and know your customer. It will also ensure adequate cost savings and accelerate the time to market.
What is MVP?
MVP or Minimum Viable Product is a short version of the app idea that allows developers and businesses to collect feedback on their vision. It helps learn more about the feasibility of the concept, know whether there are takers for the app, and find out how it will resolve issues.
The MVP consists of basic features and functionality to showcase the app's nature and the intent behind creating the solution. It will comprise all the elements that help resolve a specific problem and focus on the core issue.
Benefits of Developing MVP
The question now remains - why should you develop a minimum viable product for your business app solution? Here we will talk about the benefits associated with creating the MVP.
1. Supports Your Product Pitch
As a business in the starting phase, you look forward to engaging investors in buy-in as early as possible. It is a sound product pitch that wins the customer's hearts.
However, a product pitch is incomplete without the product. It would help to showcase what you are building to the investors to get their attention. For example, if you make an app to solve taxation issues, you need to show how.
The MVP is your support during the product pitch. It showcases your product and how you envision it to the investors in the best possible way. It is like your show-n-tell project where you show the MVP to win some funds to scale your project.
It is more like a tangible solution that can get your investors interested in you.
2. Defines Your Vision Clearly
When building a core product for your business, getting distracted and overwhelmed by the numerous features and functionality is straightforward. You might even start building a product that doesn't meet the set criteria.
However, when you build a product from an MVP, you have a roadmap clearly defined for your business solution. The MVP is readied with the basic features and the core functionality. It is a guiding light for the next set of features and functionality you will add.
It makes the vision and the goal of the app clear. You know precisely why you want to develop the app and what aspects will make the app simplify.
For example, the fitness app could be a proper meditation app, wellness app, or eCommerce store selling products. Your MVP will guide you toward adding the right features.
3. Know Your Customers Better
When you release the MVP in the market so that your customers use it, it helps you know them better. The feedback from the app's early adopters will act as a guiding light for further development.
It helps you get quicker feedback from the target market. You will know what the customers are looking for and what your solution lacks.
For example, if you have released an Uber clone for your business, the MVP will help you know what features are missing in the app that can improve user experience. It is akin to beta testing your app, even before it is released.
This feedback will help you plan your app better for increased adoption.
4. Build Strong Customer Relationships
When you release the MVP in the market, you are all set to build engaging relationships with the early adopters. These customers will turn into brand advocates, thus improving your app's market.
When you connect the early few customers of the app, you will engage with them, help them use the app, discuss the app opportunities and build strong relationships. This will help launch-day marketing and improve your app's functionality. They will help you identify how to improve your app to make it more user-centric.
5. Identify the Effective Monetization Strategy
Whether you are developing a physical or virtual product, it has to be profitable for your business. You should know how to earn money and enhance the profits with the product.
The MVP sets the stage to discuss monetization strategy for your business product. You will be able to define a more sustainable and exclusive strategy that will help increase revenue streams and earnings.
If you plan a freemium model for your application, MVP is the best way to test whether this strategy will work. You will know from the early adopters if they are ready to upgrade to a paid model in the coming times.
Similarly, if you are planning to include in-app videos or ads as your key monetization strategy, the MVP will help you know if this will create friction or not.
6. Determine Market Demand
Is there a market for the product you plan to launch? The answer to this question is best known through MVP design. When you release the MVP, you know it is winning the market if there are adapters for this solution. It will answer questions like:
- Is there a need for the product?
- Is it solving an existing problem?
- Are people ready to use the app?
If you feel the market is ready for the solution, you can develop the product. By testing the market using MVP, you save your money and efforts.
Conclusion
If you plan a tremendous solution that you believe will impact the market, you should test the waters before developing the solution. MVP can help you gauge the demand, know the customers, and plan the development before investing your money. It will also find the right investors for your product so that you are funded and have all the right insights.
MVP gets you data that can help you validate the idea and check the feasibility. Instead of investing all your money in building the final product, develop an MVP and know your customer. It will also ensure adequate cost savings and accelerate the time to market.
0 Comments: