In the dynamic realm of software development and product design, the term MVP, or Minimum Viable Product, frequently emerges as a cornerstone concept. An MVP in software development is a technique used to build an application or website with enough features for the product to be usable by early adopters. This approach paves the way for robust user feedback while minimizing initial development costs.
In the U.S. marketplace, particularly in the tech world, an MVP is essential for both evaluating and selling an idea. Creating an MVP gives investors and tech founders the opportunity to see the product firsthand and decide whether further development is a sound investment.
A common mistake for startups is the tendency to build products based on assumptions rather than customer-driven insights. According to a recent study by CB Insights, 42% of startups fail because there isn’t a real market need for their product. An MVP helps address this issue by turning vague product concepts into tangible prototypes that potential users can interact with—offering honest, valuable feedback. This approach ultimately allows you to refocus your efforts on features that customers truly want and need.
In this article, we’ll break down everything you need to know about MVPs—from their role in software development to how much they cost and how to find the right talent to build them. Whether you’re just starting out or fine-tuning your product, understanding how to approach an MVP can set you on the path to success. Let’s get started.
Understanding MVP in Software Development
MVP stands for Minimum Viable Product, and it is a product with enough features to satisfy early adopters and to provide feedback for future product development. It is a version of a product that can be released to the market to test its viability and to determine if further investment in its development is warranted.
How To Build An MVP – Stages For Building A Software-Based MVP
MVP Software Development has certain procedures you need to go through to make it a success.
1. Define The Problem
To avoid building an application that no one will use, you need to clearly define the problem your app intends to solve. During this stage, you should sit down and discuss with your software development team the problem that an app can solve and how significant it is to the people that could potentially use the app.
2. Decide Who Your Target Audience Is
After defining the problem, you need to define your target audience. Some developers make the mistake of trying to build an app for everyone. Yes, it is possible to create something that billions of people will use, but it is best to target a niche group when starting out.
Build your target audience persona and make it as specific as possible. The buyer persona should include details like age, profession, location, income bracket, education level, hobbies, etc. With these details, it will be easier to determine the features you will ship first.
3. Determine The Essential Features
After defining the problem and target audience, it is time to determine the key features that the product’s first version will ship with.
You should list all the potential features the product should have and then select the features that are just enough to ensure it is usable. From these features, you have to choose a few crucial ones that the MVP should ship with, including one major feature to test the general idea of the product and the problem it intends to solve.
4. Build the MVP
Now that you have decided about the features, it is time to build the product. Determine the programming languages, frameworks, and other tools you need, and then you can start development.
At this stage, you don’t need to think about perfection; focus on building a usable product. Your goal should be to create a functional product in the shortest time possible to test if your idea is viable and functional.
Key Attributes Of Any Software-Based MVP
- It offers enough value that early adopters are willing to use or even buy. Yes, the MVP should have basic features to save time and money spent while building it. However, you need to create a usable MVP to give your early adopters enough reason to use it.
- Should demonstrate enough future benefits to retain most early adopters. Even though your MVP only ships with basic features, it needs to give your early adopters hope of improving over time.
- It should provide a feedback loop for guiding future development. The first features you ship the product with should make it easy for the early adopters to give feedback about their overall product experience.
5. Test The Product With Early Adopters
Once you have built a usable product, the next step is to test it with actual users. Find the people who match the buyer persona you created and request that they use your product. If possible, reach out to these people via social media, email, or physically. The goal is to have a good number of people who can use the product and give you feedback.
You need to provide a mechanism that allows the users to give you honest feedback about their experience with your product. If it means sending them follow-up emails with a form to fill, do it. Your aim is to get feedback that you can use to determine if your idea is what the users want or if it needs improvement.
6. Use Feedback To Improve The Product
When users give feedback about the product, you need to gather it and see how best to implement it into the MVP. First, focus on feedback on how the product solves the user’s problem to help you know whether to pivot or continue with the same idea. If the feedback is positive, you can now determine the next features to add to your product based on the feedback.
You may not be able to fix all the issues raised by the early adopters at once. Determine the most pressing issues that affect the user’s experience of the product and attend to those first. This process may also involve removing some useless features from the product.
Spend as little time as possible while fixing these issues. You should then roll out one feature at a time and work on the rest as the users continue to use the product. It should be a constant loop until you reach the point when the product is ready to be used by the general public.
MVP Requirements
While building the MVP for your next application, there are certain things you need to have in place to streamline the process. Common requirements that almost all software MVPs need to include the following:
- Development tools: Before starting the building process, you need to be ready with all the essential tools for development. Some tools might require buying, so you have to plan for those costs ahead of time.
- Deployment platform: For your users to use an application, it needs to be deployed on a particular platform. AWS and Microsoft Azure are some of the best deployment platforms you can consider.
- Manpower: In the planning process, you need to assess the day-to-day tasks that have to be done to bring the MPVP to life. Each of these tasks needs to be assigned to someone with the essential skills to execute it.
MVP vs. Prototype vs. Full Product: What’s the difference?
If you’ve been around the product development scene, you’ve heard people talk about prototypes, MVPs, and full products. While they might seem alike, each has its own part to play in turning an idea into something you can sell. Understanding how they differ can help you focus your time, money, and effort where it counts the most.
A prototype is like a sneak peek of your product—it’s a basic visual model that helps you outline layouts, navigation, and core concepts. People often use it to get early input from stakeholders or test initial ideas. But remember: a prototype isn’t working software. It’s more like a concept sketch than a finished product. If you’ve seen a design mockup or an interactive wireframe, you’ve seen a prototype at work. It answers questions like, “Does this idea make sense?” or “Is this design easy to use?” but your end users will never see it.
On the flip side, an MVP brings your idea to life. It’s the first usable version of your product that real customers can try. Picture it as a “working draft” of your product—not flawless, but it does the job. Unlike a prototype, an MVP gives real value to actual users. It zeroes in on key features that fix a specific issue, and it aims to test demand, check if ideas work, and get feedback. This is when you find out what your users need (not just what you guess they need) and use that knowledge to make it better. For startups, this phase can make or break them because it helps them avoid spending time and money on features that don’t count.
Then there’s the full product—the polished complete version that’s ready for everyone. It has all the extras: smooth user experience (UX), better performance, and all the main features your users want. This is the version you sell, grow, and make money from. But how do you go from an MVP to a full product?
Now, this is where things get exciting. The evolution from an MVP to a full product doesn’t happen in a flash. It’s a journey of ongoing improvement. It begins when you launch your MVP to early adopters, get their input, and learn what works—and what doesn’t. This feedback guides you on which features to focus on, which to scrap, and what needs a major overhaul. From this point on, developers rank changes focusing on upgrades that boost user experience and product-market fit the most. As time passes, you introduce new features, smooth out the user flow, and spruce up the design. Each round of tweaks brings you a step closer to a full, market-ready product. It’s a gradual approach that helps you stay nimble, cut down on risks, and steer clear of big pricey blunders.
Skills Needed to Build Software-based MVP Development
Whether you are a solopreneur or have a team, these are the most common skills needed to build a successful software-based MVP:
- UI Design/Front-end development: One of the essential elements of any application is its graphical user interface. While building an MVP, you need to have UI design skills or bring someone to help with UI design. The UI is what the user interacts with, so it should be usable at the bare minimum.
- Back-end development: Every application has to execute commands that the user inputs from the front-end behind the scenes. So, you will need server-side scripting skills to build the backend of your application.
- Project management: Besides the technical skills of writing code, someone on the team needs to know how to run a project. The project manager on the team is the one that ensures teams on the backend and front are in sync, and within the timeline, for delivering the next features you plan to implement. For most startups, that founder is usually the project manager and the vision bearer.
Common Mistakes and How to Avoid Them
When you build an MVP, you aim to create a working product that fixes a problem and gets real feedback—fast. But many startups fall into traps that waste time, use up money, and hold up launches. From cramming in too many features to ignoring what users say, these slip-ups can make or break a product launch.
To help you succeed, we’ve pointed out the three biggest mistakes that can throw your MVP off track—and how you can steer clear of them.
Overloading the MVP with Unnecessary Features
In MVP development, simplicity is key. Many new companies think they should cram their product with features to wow users, but this strategy can backfire. Putting in too many features means longer build times, bigger costs, and confused users.
An MVP’s main goal is to zero in on the main issue you’re tackling. If people can’t grasp the product’s worth, they’ll look elsewhere. When a product is stuffed with extras, it clouds its main purpose and can make it tough for users to see why it matters.
To steer clear of this, zero in on what matters most. Choose features that tackle the user’s biggest headache head-on. Ask yourself, “Will this feature help users reach the product’s main goal?” If not, put it on the back burner. The top MVPs kick off with a handful of high-impact features that bring value right away. As users chime in, you can figure out which features to add next.
The bottom line? Don’t try to boil the ocean. Instead, create a product that nails one thing really well. If you can show that one thing works, you’ll have a clear roadmap for growth.
Ignoring Customer Feedback and Analytics
User feedback is your secret weapon for creating a product people actually want. But many new companies skip this step thinking they “already know what users want.” The truth? Your users give you the best insights.
When you don’t listen to your early users, you miss out on key input that can determine if your product succeeds or fails. What users tell you shows which features they find useful, which ones confuse them, and what needs work. If you ignore what they say, you’re just guessing instead of using real data to make choices.
To steer clear of this error, set up feedback channels right in your MVP. This might include a feedback option within the product, a follow-up message asking for opinions, or a survey after use. Make it simple for users to talk about their experience. At the same time, use tracking tools like Hotjar, Google Analytics, or Mixpanel to see how users interact with your product.
The crucial part is to respond to the input you get. Spot common problems and tackle them one by one. If several users point out the same issue, make it a top priority. Each update you make based on input brings your product closer to market fit.
To sum up, your users are telling you what they want—listen to them. This method not improves your product but also boosts user loyalty as they see their input shaping how the product grows.
Failing to Iterate Quickly and Effectively
One of the biggest errors startups make is seeing an MVP as a finished product. But the truth is, an MVP is just the start. The whole reason for launching an MVP is to test, learn, and make changes. If you’re slow to enhance the product, you lose momentum—and your rivals can catch up.
Iteration means acting fast. Don’t wait for perfection. Launching an update that’s 80% ready beats holding it back for weeks. Companies that win with MVPs are those that iterate using customer input to steer development.
To sidestep this error, create clear cycles for product updates. For instance, plan 2-week sprints where you focus on feedback, make tweaks, and push out changes. This method keeps things moving and makes sure you’re always taking steps forward.
The key to quick iteration is staying flexible. When an update fails, switch it up. If customers want a feature gone, remove it. Speed trumps perfection. Every update builds on the previous one bringing you nearer to a refined, market-ready product.
The main takeaway? View your MVP as a product that grows and changes. Get it out there fast, gather insights fast, and improve fast. The quicker you can act on feedback the closer you’ll be to a product that’s set to grow.
Steering clear of these blunders isn’t just about cutting costs or saving time—it’s about building a product people want to use. Build fewer features, pay attention to users, and make quick changes. If you do, your MVP will be more streamlined, smarter, and more likely to succeed.
Final thoughts
Bringing an MVP to life is one of the smartest moves for startups and businesses looking to reduce risk and maximize impact. It gives you a chance to test your concept in real life, get feedback from early users, and make smart choices about what to build next. Rather than wasting time and money on features nobody wants, you’ll zero in on what counts—fixing a genuine problem for your customers.
To begin, figure out the issue you’re tackling, know who you’re making it for, and pick the must-have features. Launch with just enough to prove your idea works then try it out with actual users. Listen to what they say to make it better and add features that matter most. This step-by-step method not only helps you build faster but also strengthens your product-market fit. After you’ve refined your MVP through these steps, the next move is to get it to a level that’s ready for the market.
And, ultimately, have the right people by your side, as it can make all the difference. And we can help you find them. Reach out to us now, and we’ll connect you with qualified remote coders who get your business vision and can make it happen.
Frequently Asked Questions on MVP Development
A prototype is simply a mockup meant to describe the visual aspects of the final products. It is usually not a functional product.
On the other hand, an MVP is a functional product that can accomplish basic tasks that the developer wants early adopters to test out.
For example, a web application or website prototype is built using graphic design tools like Adobe XD. On the other hand, an MVP of this same application is built using software development tools that may include IDEs, web app frameworks, programming languages, etc.
If we estimate actual figures, the cost for building most software-based MVPs might come between $15,000 to $50,000. Minimizing this cost is important to test your idea in the market without spending a lot of resources.
The main factors that determine MVP development costs include:
– Type and complexity of the application
– Number and level of expertise of the development team
– The cost of the tools needed to build the product
– The scope of design and development tasks
MVP design is the process by which the development team figures out and filters the essential features that should be included to test out the viability of the final product.
MVP stands for Minimum Viable Product, an initial version of a product that works and is capable of being tested, but at the same time has the potential to change and improve based on user feedback.
Amazon: Amazon started as a simple online book store. After receiving several book orders, more products were added to the store until we got the Amazon we see today.
Airbnb: Started as a simple platform where people could list their rooms or houses for short-term rental to earn extra income. It turned out that lots of travelers were willing to reside in rentals to save some money on accommodation, especially when they travel to foreign countries.
Facebook: The first version of Facebook was just a simple platform connecting college kids at Harvard University (hence the name). When Zuckerberg realized that college kids loved the app, he further scaled it up to make it usable by people outside the college.
Dropbox: Dropbox first dropped an explainer video showing the benefits of storing all your files and data in one place that you can access over the internet on all your devices to get feedback from the users about the idea before building the actual product. Dropbox then built the first version of their MVP that shipped with one primary feature: accessing your files over the internet across all your devices.
Zappos: To test his idea, Zappos founder Nick Swinmurn took photos of shoes he found at online stores to find if people would purchase these shoes online without trying them out. He found out that people loved the idea. So, he built the web application to ensure that his idea was worth the investment of his time and money.
