The famous Minimum Viable Product or MVP is one that allows the launch of a new product, but with the minimum possible features. In this way it is possible to observe and gather important information about the launch and different types of metrics.
It should be kept in mind that in this type of launch the information and numbers will not come directly from the customer itself and rather will be managed with the interaction of the MVP.
Therefore, the minimum manageable product works within a very specific framework, the so-called “build, measure and learn” cycle.
What does the MVP look for within a marketing campaign
The MVP aims to achieve results derived from specific numbers and metrics obtained from users’ interaction with this minimal manageable product. Among the main goals it pursues are:
- Establish statistics to measure user information in a campaign.
- Build a new MVP from the previous one, learning from the results and refining other aspects.
- Generate interaction between the brand and potential customers.
How an MVP works
For a Minimum Manageable Product to be successful, it is essential to be able to put certain aspects into practice in order to obtain as much information as possible. These include:
- Present or propose hypotheses that will be answered by the metrics obtained from this product.
- Being able to define which metrics will be considered for study. These metrics are related to obtaining information that answers the hypotheses proposed above.
- In the last point, a minimum viable product necessary to measure and extract information from the hypotheses is created.
A key question to be answered by any company that wants to create a Minimum Manageable Product is, “Is there a target audience that has the problem that your product can solve?”
If the answer is positive, you are in the best situation. But conversely, if the answer is negative, the entire internal process of the company needs to be rethought. And you have to look for a new target or target audience or rotate the business model to a new MVP.
Why use a minimum manageable product?
There are many positive aspects for a company in betting on an MVP. Especially if you start with the launch of a new product or service.
In fact, it is considered the most relevant factor for any emerging company in any industry because it allows them to see the degree of improvement they can have over the competition, while ensuring a reduction in ultimate risk.
There are several aspects to consider when creating a minimum manageable product:
- Design.
- Reliability.
- Functionality.
- Utility.
Essential to know your customers
One factor to consider in a company’s creation of an MVP is that it is an inexpensive way to obtain information and understand, almost with certainty, what customers’ real interests are.
It is also used to get information about the impression one has of the new product or service. All this even without being 100% developed.
The faster you know whether or not a product is accepted by potential customers, the more effort will be reduced. In addition, it will be critical to reduce the associated costs.
Benefits provided by MVPs
Other benefits that can be achieved with an MVP for launching a product or service are:
- Reduces the investment required for a launch.
- Simplifies the timing of a launch.
- Helps to analyze what the real demand for the product will be before putting it on sale.
- Avoids high monetary losses.
- Serves to obtain vital information for future marketing campaigns.
- One’s customer database is optimized.
How to analyze the market to acquire potential customers?
At this point it is vital to do a study of how the market is doing before launching an MVP. In other words, it is getting as much information as possible and then applying it when it comes to making an impact on the target audience.
A.- Analyze your competitors
You need to know at all times who you are competing with. It may not be just the company in question that is working on creating an MVP. Therefore, it is important to know whether or not it has been implemented before.
Therefore, being able to study user behavior toward competitors or acceptance of the MVP, if it already exists, are important parts of knowing where the Minimum Manageable Product can be applied.
B.- Personal customer data.
Early data for launching the MVP are critical to do segmentation in terms of tastes, characteristics, gender, location, functionality, and relevance to the target audience.
C.- Find out market priorities
It is vital to know which is the most relevant market in which to invest the most money. For example, if a customer is interested in getting an inexpensive, but at the same time quality or durable product, the strategy should focus on that.
As customer interests change, the company must adapt to know how to get there with its products.
5 steps to create a minimum manageable product fit
These are some of the steps you need to follow to get a quality MVP that generates the best results:
1.- The idea: the first step
It all starts with a clear idea of what you want to achieve and the goals you want to achieve. Therefore, it is essential to define the hypotheses you want to test. And also what data you want to achieve with the metrics obtained.
This first step will lead to the creation of the MVP. Likewise, it must contain the features to solve the needs of potential customers. For a product or service to be manageable, it must have an interaction with the market in which it is active.
It is essential to ask whether the product offered meets what users are looking for and solves their needs. For this step you can use some very relevant tools such as:
- Landing pages to capture the attention of interested users.
- Interviews with potential customers, where you think about what features they would like to see in the product or service.
- Testing to see the impact and responsiveness of potential customers.
- Have a crowdfunding strategy to digitally bring a trial product to the most relevant users.
2.- Keep track of MVP performance.
This step is very important, as it will allow a broader view of the assumptions initially created. Having statistics that provide added value is essential because it is one of the points that will determine whether the company is on the right track or not.
In this way, lessons can be learned from previous actions and future actions will be promoted, all in favor of improving the results achieved.
Among the most important metrics that can yield good results are:
- The measurement of traffic, engagement and views of a given post.
- Number of times a post was shared on social media and customer statistics.
- Downloads made from any app, the score and the level at which they go viral within the web.
- Conversions, cost per click and affiliations.
3.- Learning and start-up based on the results obtained.
The results obtained in any of the previous steps will promote the creation of a quality Minimum Manageable Product.
It is at this point that some aspects can be modified depending on whether or not the results have evolved. According to the assumptions raised at the beginning, if they have been met, the process can be accelerated on a larger and deeper scale. If not, you can simply change the strategy and take another course.
When we say change course, it is to create new hypotheses and put them into practice, analyze them, and determine whether the results this time were positive.
4.- Reserve Budget.
Creating the MVP requires a budget that, although it will be considerably less than the final launch, must match a minimum expectation.
The key is to develop the minimum manageable product at the lowest cost. But keeping in mind what will be the minimum profits that are palatable to the company.
Material, manpower, technological equipment or advertising are some factors that must be considered when developing the MVP.
5.- Generate communication channels
Another way to know the results of the assumptions envisioned at the beginning of any strategy are the opinions of customers. For this reason, it is essential to have a customer service team whose sole task is constant communication with the customer.
Do you want to create your own MVP? We at Antevenio can help you. We are specialists in digital marketing with experience and essential tools to create, measure and learn the right strategy.
Leave a Reply