Understand what MVP is and how to apply it in your business

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MVP, Minimum Viable Product, it is one of the methods most employed in the development of new products. And its popularity is not for nothing: the methodology reduces financial and time waste and leads to more assertive and well-received products.

Because it is also part of the idea verification step before solutions are effectively developed, side by side to the MVP concept, is another term: PoC, Proof of Concept. PoC is, basically, the stage in which the main concept of a solution is developed, with the aim of assessing its technical feasibility before the start of large-scale solution development.

Although related, both translate distinct ideas that are not confused. So, in this post, we will address the definition of each, how they can be applied and why employ them. Good reading!

 

What is MVP?

MVP “was born” around 2001 and was defined as the version of a product that has enough characteristics to receive feedback. By making use of the Minimum Viable Product, a business has the chance to more accurately predict the impact of what it develops on the market, on turnover, on the target audience etc.

In general, MVP can be understood as a facilitating process. Its main purpose is to develop a basic version of the final product, which contains the main functionalities of the solution. This version represents a value proposal that can be tested by the product’s target audience.

Thus, MVP can reduce any risk elements related to the acceptance of a product, requiring a small production — fewer copies —, reduced time and a smaller amount of resources.

In addition to the methodology allowing you to get closer to what is going on in the mind of the target audience, it represents a simple means of testing it. Thus, it makes it feasible to quickly recognize any flaws in the development of a solution and adjust it according to the demands of potential users.

 

What is PoC?

Proof of Concept has been around since at least 1967. It is the development of a method or the practical application of an idea that makes use of certain technologies. Their goal is to verify how viable the idea or method is and identify the potential they have in the market.

In this context, PoC carries out the implementation of a technical concept to verify whether it works and whether it can serve as a basis for the development of a complete solution. As a rule, a PoC is small and more focused on a technical aspect of the product, usually having a shorter life cycle.

Thus, a Proof of Concept covers simulations that are run before production starts. The purpose, then, is to verify that what was thought through during the stages of planning and creation becomes, in fact, real when it is transferred to the material medium.

 

Why are MVP and PoC essential to ensuring a product is successful?

If we consider that both MVP and PoC allow you to “test” the success of something before you make large investments to launch it on the market, both strategies lead to better formulated and more assertive products.

A PoC is usually carried out at the earliest stages of the product development process, checking the feasibility of a technical concept necessary for the idea to become a product. In this context, it needs to meet technical and business specifications, but does not reach the hands of its audience, in general.

With the main concept approved, the solution can be developed. Considering that, if feedback from your audience has been considered, the chances of the solution being well accepted become exponentially greater, building an MVP becomes a powerful weapon in the development process.

An MVP is a simplified product, with only the core features, but complete. It is initially evaluated in a laboratory and subsequently by carefully selected clients. If the returns are positive, the final version is developed (and released), with all the adjustments identified in the tests.

Usually, this whole process involves the following steps:

  • establish the value proposal: some questions are raised — such as “How will the public use the product?” or “Why is the solution needed?” — to assist in the creation of the MVP so that it represents the core values of the finished item;
  • define the audience: important for both business decisions and MVP testing;
  • determine testing time: especially relevant because, if too short, it may not generate enough returns, and, if too long, it may negatively impact the launch of the solution on the market;
  • test market response: directly related to the approval — or not — of the product in its desired business segment;
  • interpret feedback: check that the solution is really ready to launch, if there are any necessary adjustments and even if the idea makes sense for the target audience;
  • implement alterations: projection of the data collected in the tests on the final product. In this case, if many modifications are made, it is possible to restart the process.

Each of these phases collaborates to deliver a product ready to meet customer expectations.

 

What are the advantages of using MVP or PoC?

Although we are experiencing an era in which the meteoric growth of some ventures has generated “a lot of noise”, it is always important to keep in mind that behind each idea of success there have been others that have been discarded for not meeting the needs of the market. In this context, some of the advantages of using both approaches — PoC and MVP — are:

  • decrease of market risks, especially when it comes to something unprecedented, since it becomes possible to make tests before allocating large investments;
  • failure identification and, consequently, of any corrections, so that there are efficiency gains in creating more positive experiences for customers;
  • greater closeness with the public, which can even function as a mechanism to generate loyalty, after all, if, throughout the testing stages, the expectations and needs of consumers are prioritized, there are great possibilities of creating a very positive link between them and the enterprise.

In this post, you learned about what MVP and PoC are and how both, in distinct ways, collaborate to raise the chances of a product launching being more successful. Therefore, use both methodologies in a structured way and have greater guarantees that your solution will effectively deliver value to the customer, without having to spend high amounts and waste time that could be better used if aimed at your organization’s core business.

Was this article helpful? Venturus can help develop your MVP or PoC, get in contact to know more!

 

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