Successful apps like Instagram, Snapchat, and Uber have something in common.
These apps started as something simple and then evolved into the apps they are now today. These mature apps went through years of product development and capital. A large investment and a lot of time is required to build successful apps such as these. This fact is often underestimated by people looking to build a highly successful app.
Since it takes so much to build highly successful app, you need from the start an MVP, or Minimum Viable Product. This is a version of your product which has the features to get the product to market that solves a problems users have. You want an app that brings value, but still have an app that doesn’t cost you a lot in developing the app.
The needs of the business, industry, and what competitors are up to will determine what your MVP is going to entail. In some cases, the features of the app may be complex as this is considered an industry standard. You have benefit to choosing this type of approach to app development.
MVP Benefits
A Set of Core Functionalities that test Business Concepts Early
When you have an MVP product version and get this into the market quickly, you can attest the concept of your business. You’ll be offering a core set of features, but not a full-blown product with lots of features. You can gather user information, test hypotheses, and get the product into the market fast. This helps keep costs down, but still gives you a functioning product.
Strengthen Your Business Case and Win Over Your Shareholders
The MVP is a version of a more complex and larger product you’ll offer later. When you have to add more features and need more resources, the cost of the app goes up. If you have an MVP, you’re able to demonstrate the validity of your product in the market so you can build a business case for more investment into product development. If you’re looking for more money from stakeholders, having an MVP product that is variable helps to strengthen your overall position.
Having an Iterative Process Allows you to Evolve Your Product
An MVP product offering allows you to go to the market with a product that has core functionality and features. When you do this, you’re able to build up a core user base and get insight into what is working and what is not working. Once you have this information, product teams can use that data to make business decisions on new iterations of the product. They will know what new features to add, what is going to help ROI, how to increase sales, and where money should be put into the budget.
Cost Efficiency
When you have a mature product, this is the result of many years of development, but the costs are high. If apps are created iteratively over many years, you can spread the cost out over a longer time frame. This allows for reinvestment from earlier versions into the new versions.
When you have an MVP, you can take this same approach and provide value for the business within a short period while minimizing your costs. The MVP offer immediate value and as you gain users you’re able to improve the product based upon feedback from that user base. You’ll be able to make more intelligent investment decisions and grow the direction of the product.
The MVP or Minimum Viable Product model allows you to start on a smaller scale, but build up iteratively to create a better product with more polish. You can use user intelligence gathered from previous versions to help you design a better product. The product will evolve over each version and you’ll gain more ROI (return on investment) with the versions as you work towards a mature application.
