Making A Successful Minimum Viable Product

Kriti

26th Apr'23
Making A Successful Minimum Viable Product | OpenGrowth

What do you understand about Minimum Viable Products?

A minimum viable product, or MVP, is a product that has the functionality necessary to draw in early adopters and test a product idea. This is at an early stage of the product development cycle. The MVP can assist the product team in obtaining customer input as rapidly as possible in sectors like software. This will enable them to iterate and enhance the product.

MVP is essential to agile development since it is founded on the idea that products should be validated and improved through user feedback. What is the process of building a winning minimum viable product?

 

Why do you need a Minimal Viable Product?

It is a variation of a cutting-edge solution that enables a team to compile the most confirmed information about clients with the least amount of work. 

A business might decide to build a winning minimum viable product because its product team desires to:

  • Put a product on the market as soon as you can.

  • Prior to allocating a sizable investment to the development of a product, test a concept with actual users.

  • Find out what speaks to the company's target market and what doesn't. Figure out the product-market fit for your startup.

What is the purpose of an MVP?

An MVP can help you spend less time and money constructing a product that won't succeed, as well as allow your business to validate an idea without actually building the whole product.

 

Minimal Viable Product

 

How can you define and plan your Minimal Viable Product?

How can you create a minimal viable product, and how will your team be notified when it is ready for release? Here is a step-by-step guide to building a minimum viable product.

 1. Ensure that your business goals and the proposed MVP are compatible.

Making sure the product corresponds with your team's or company's strategic goals is the first step in creating your MVP. This is before deciding which features to add.

Which objectives are they? In the upcoming six months, do you have a target revenue in mind? Do you only have a few resources? These concerns might impact whether it's appropriate to create the MVP right now.

Additionally, find out what function this minimum viable product will perform. Will it bring in new customers, for instance, in a market close to your current products? This MVP plan can be strategically sound if one of your current business goals is to achieve that.

But if your business's top goal right now is to keep concentrating on its core markets, you might need to drop this notion in favor of working on an MVP that provides new capabilities for your present clients.

 

2. Start narrowing down the precise issues or enhancements your user persona needs help with.

You may start considering the exact solutions your product will provide consumers once you've established that your MVP plans are in line with your company's goals. Only certain aspects of the product's overarching vision are represented by these solutions, which you may describe in user stories, epics, or features. Keep in mind that your MVP has limited functionality.

The minimal functionality you include in your MVP will require careful consideration. These choices can be based on a variety of factors, such as:

  • Study your users.

  • Analyze your competitors.

  • When you receive user feedback, how rapidly can you iterate on particular types of functionality?

  • The relative value of implementing epics or user stories.

 

3. Convert your MVP's functionality into an action plan for development.

Now that you've considered the strategic factors discussed above and decided on the restricted functionality you want for your MVP, it's time to turn this decision into a development strategy.

The V in MVP—the need for the product to be viable—must always be kept in mind. This implies that it must deliver a top-notch user experience and enable your customers to complete a full task or assignment. An MVP cannot consist of a user interface with many unfinished tools and functionalities. Your business should be able to sell it, and it must be functional.

 

4. Establish a value proposition for every stakeholder.

What high-level benefit does each ecosystem stakeholder receive, and what are they ready to give up in return? Where can you add the most value and what are your users' main complaints? This map is described as "pain and gain" by Chris Ciligot from ClearBridge.

Examples:

  • Revenue increases for consumers.

  • Advertisers are exposed to a large and focused audience. 

  • Channel partners will reduce customer acquisition costs.

  • The end customers enjoy spending more time with their loved ones.

 

5. Determine which are the greatest risk

Outline and rank business model risks in order of high- to low-risk to confirm essential assumptions. Identifying potential obstacles and failure points early is the goal of this practice. By doing this, you lower the risk of failure and substantial financial losses before developing a finished product.

A table containing all risks is advised. This table lists each risk listed along with its kind, the stakeholder who should test it (if any), any dependencies, and the testing method.

 

Minimal Viable Product

 

Some successful examples of a Minimum Viable Product

Let's look at how some well-known firms launched their successful MVPs if you're curious how this would actually work in practice.

  • Airbnb

Airbnb founders tested their idea to establish a market for online short-term, peer-to-peer rental accommodation using their own flat because they lacked the funds to start a business. They developed a simple website, posted images and other information about their lodging, and very soon had a large number of paying visitors.

  • Foursquare

Foursquare, a location-based social network, began as a one-feature MVP with check-ins and gamification incentives. The Foursquare development team started including recommendations, city guides, and other features until they received positive feedback from a willing and expanding user base.

 

OpenGrowth is constantly looking for innovative and trending start-ups in the ecosystem. If you want more information about any module of OpenGrowth Hub, let us know in the comment section below.



 

A student in more ways than one. Trying to feed her curiosity with news, philosophy, and social commentary. 

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