It's a good idea to design MVP software for startups. And you'll succeed if you can avoid the frequent blunders that new IT startups make. According to CB Insights, 70% of firms fail after raising $1.3 million in total capital. The following are the top five reasons
- No Market Need
- Ran out of cash
- Not the right team
- Get Outcompeted
- Pricing/Cost Issues
To avoid failure, you should examine and ensure that
- The market needs your product;
- There are prospective customers for it;
- The product has the correct functionality, marketing strategy, and so on;
- You have the funds to release the initial set of features; you can handle any unexpected costs that may (and will) arise;
- You've found the ideal service provider for your ideas - a software development team that cares about your success as if it were their own.
The MVP creation process is broken down into small iterations. Your product gains value-added features with each iteration. After each iteration, you'll have a deployable software product.
According to experts, an MVP isn't complete until it can be sold. And to do so, your product must solve a potential customer's difficulties. The key to creating deep user engagement and building a profitable product is selecting the proper features for the MVP
By conducting research, you can select the best MVP features
As you can see, a lack of market demand causes 42 percent of firms to fail. Define and prioritize features for your MVP to produce a lucrative product. So the first step is to do some research. Customers' requirements, the market, demography, and other indices are frequently overlooked by business founders. Begin by asking yourself, "What will the product deliver to customers?" At least one of the end customer's problems must be solved by your offering. Your customer must be prepared to pay for your service. Obtain actionable input from users as soon as possible. To do this rapidly, you'll need to put an actual prototype in the hands of consumers - either paper or digital - to figure out what the next stages should be. Another thing to consider is why this product is unique. After an early competitor analysis of a similar product on the market, you'll get responses. Even if the product is unique, there will be competitors who are more or less comparable.
Google's failure as a result of disregarding research
Do you recall Google Glass? The future device uses natural language voice commands to converse online in a smartphone-like hands-free style. Nobody remembers the glasses, and no one wears them. Only after investing did Google discover that their product solved 0 of their target audience's problems. Although the project failed, Google obtained a significant amount of technological expertise as a consolation prize. The Glass, with the exception of a few medical practices, never achieved the desired level of popularity. Worse, the disgruntled "explorers" (the first few customers who purchased the original edition of the product) enthusiastically shared their experience with thousands of their social media followers.
Here's a quick rundown of what you need to complete before launching your MVP:
• Investigate your target audience's challenges
• make your product tackle at least one of the audience's difficulties
• Conduct market research to ensure that your product has distinct features.