MVP vs Full Product in Software Development: What to Build First
Introduction
One of the biggest questions that is asked when starting a software development project is whether to go for the minimum viable product or to build the full product. This decision affects a number of factors including, the time and resources you are likely to spend in the development process, the success of your product in the market among others. Most especially, startups prefer creating an MVP, but is this the best approach? With this distinction in mind, it will be easier to make the right choice between the MVP and the full product.
The aim of this article is to present the difference between MVP vs full product development strategy. We will find out how to choose between the two approaches that would be most effective for your enterprise, as well as look at the advantages and disadvantages of each.
At the end of this article, you should be able to distinguish between cases when it is better to start with an MVP and cases when it would be more beneficial to create a fully-fledged software solution.
Understanding the Minimum Viable Product (MVP)
First of all, let's find out what MVP means. The term MVP stands for Minimum Viable Product which means the product that has the basic features that can be launched in the market. It has only the necessary features that are required to solve the main issue it was developed for, which makes it rather practical and handy for the early users. An MVP is a product that is developed to be minimalistic and can be launched on the market in a short period of time, tested by the users and improved based on their feedback. Basically, MVP is not a half-baked product launch; it is the launch of a product with minimum features to take the idea to the market and validate it. The main aim is to check your hypothesis and see if there is market interest in your product. If users find value in it and interact with it in a positive manner, then you are able to expand and include other more complex functions. When you build an MVP, you are not trying to address a set of challenges for everyone, but a particular group of people. For instance, let's assume you are creating a new mobile application in the fitness niche. It can be as simple as tracking steps and providing basic insights about the user's activity, and more advanced features such as generating workout routines or connecting to other devices can be added later on.
Key Benefits of MVP Approach
The concept of MVP is beneficial in many ways:
- It helps you enter the market quickly and gain feedback from real users in a short period of time
- This feedback is very useful as it helps you understand how your consumers are interacting with your product
- Unlike the conventional approach that involves coming up with products and assume that they meet the needs of consumers, MVP approach allows one to make decisions based on facts
What Defines a Full Product?
On the other hand, a full product is a fully featured version of your software solution which is ready to be released into the market. Creating a full product means to create all aspects of the product that your team has planned for the product, including both the basic and the complex ones. The objective is to present users with a complete solution from the initial version instead of expanding it in the future. A complete product takes time and a lot of effort to come into fruition, and that is why the initial investment is rather high. This approach is based on the assumption that you already know your users' needs and that you don't have to validate your product in the market first.
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Get StartedFor instance, let us consider a case of developing a new e-commerce website. If you go the full product route, you would probably spend money on not only basic things like the ability to search for products, shopping cart, and checkout but also other features such as:
- Customer reviews
- Complex recommendation systems
- User profiles
- Wish lists Although this approach can be quite effective at times, it has its drawbacks and is rather dangerous. If you do not launch an MVP first, you are likely going to create features that are not only unnecessary but unneeded. Also, since the full product development process may take much longer, the competitors may come up with a similar product and capture the market before you can even release yours.
Key Differences Between MVP and Full Product Development
However, there are certain differences between creating an MVP and a full-fledged product that you should be aware of since each of them has its consequences for your project.
| Aspect | MVP | Full Product |
|---|---|---|
| Time to Launch | Few months | 1+ years |
| Resource Investment | Lower | Higher |
| Risk Level | Lower | Higher |
| Flexibility | High | Low |
| User Feedback Integration | Early and continuous | Post-launch only |
Time to Market
The first and the most apparent is the time it takes to launch. MVP development is a process that is centered on the development of a product and its release to the market and this may take only a few months. On the other hand, developing a complete product might take much longer; it may even take one year or even more based on the project's requirements.
Resource Allocation
Another important factor is resources distribution. When building a full product, you are required to spend a lot of resources to create all the features and make sure that all these features integrate well with each other before the launch. On the other hand, MVP development helps you to manage your resources better by focusing only on the most important components.
Risk Management
There is also the element of risk which cannot be ignored when it comes to comparing MVP vs full product. The full product approach, by its nature, is riskier, because it is based on the premise that you know what your users need at the outset. MVP is a more adaptive model of product creation that gives you the opportunity to collect users' feedback and adjust the product accordingly.
The Benefits of Building an MVP First
When it comes to most startups and small businesses, the advantages of creating an MVP are much more than the advantages of creating a full product.
Faster Market Entry
The MVP approach helps in getting the product to market faster and therefore, gives you an opportunity to get feedback from the users in a shorter period. This faster time-to-market is especially beneficial in the industries where the first mover can capture a large market share.
Cost Efficiency
There is also one more significant advantage of creating an MVP first – the possibility to save money. Instead of investing a lot of time and money into every single feature, you can prioritize on the basic ones and ensure that your product is valuable to the users without having to spend too much.
Risk Mitigation
It also helps to minimize risks since it enables you to launch a basic version of the product first. Thus, by releasing a stripped-down version of your product, you can validate your hypotheses regarding the users' requirements and their behavior in the context of your solution.
When using an MVP, the feedback of the users is incorporated into the development process right from the start. This feedback-based approach means that with each cycle you are able to make changes to your product in order to get it right.
When Building a Full Product First Makes Sense
Even though the MVP-first approach is beneficial for most companies, there are situations when it would be better to create a complete product.
Mature Markets with High Expectations
This is especially the case in markets that have been around for a while and where users have certain expectations, and releasing a product that is not even close to being feature complete can damage your brand. In such cases, the aim is not to prove that your product concept is viable but to position yourself as a direct competitor to the incumbents.
Feature-Dependent Products
It can also be right to develop a full product first if your product has to have some features to be useful. For example:
- Enterprise applications that require numerous integrations
- Data-driven applications with complex functionality
- Products where core features are interdependent
Well-Funded Companies
Furthermore, there are companies that have more financial muscle and a longer time before they need to raise more capital and such companies may be willing to invest in full product development.
Choosing the Right Path: MVP or Full Product?
There are certain factors that will help you determine whether to develop an MVP or a full product:
- Your budget and available resources
- Time constraints and market timing
- Level of competition in your market
- User expectations and market maturity
- Product complexity and feature dependencies
When it comes to startups and small business, it is usually more reasonable to start with an MVP. But if you are going into a market which is already saturated or if your product is dependent on all features to work from the first day, then it would be better to build a full product first.
In the end, the decision between MVP vs full product should be made based on the business objectives, users, and competitors.
Conclusion
When it comes to creating software, the ongoing discussion about the merits of MVP vs full product is still very much relevant. But for the majority of companies, especially those that either have few funds or want to minimize the risk, the creation of an MVP is the only right decision. An MVP helps you check whether your product is viable, get the users' feedback, and iterate your product many times to make it better with less investment and less risk. On the other hand, in some cases it may be necessary to develop a full product from the scratch for instance in the mature markets or where there is high complexity of the product functionality. In the end, it will depend on your personal factors and objectives. It is therefore possible to decide on the most appropriate development path that will help prepare the product for success. No matter which of the two approaches you choose – MVP or a fully-fledged product – the main principle is to be prepared for changes and make adjustments based on the users' feedback to enhance the product's value.
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Introduction
One of the biggest questions that is asked when starting a software development project is whether to go for the minimum viable product or to build the full product. This decision affects a number of factors including, the time and resources you are likely to spend in the development process, the success of your product in the market among others. Most especially, startups prefer creating an MVP, but is this the best approach? With this distinction in mind, it will be easier to make the right choice between the MVP and the full product.
The aim of this article is to present the difference between MVP vs full product development strategy. We will find out how to choose between the two approaches that would be most effective for your enterprise, as well as look at the advantages and disadvantages of each.
At the end of this article, you should be able to distinguish between cases when it is better to start with an MVP and cases when it would be more beneficial to create a fully-fledged software solution.
Understanding the Minimum Viable Product (MVP)
First of all, let's find out what MVP means. The term MVP stands for Minimum Viable Product which means the product that has the basic features that can be launched in the market. It has only the necessary features that are required to solve the main issue it was developed for, which makes it rather practical and handy for the early users. An MVP is a product that is developed to be minimalistic and can be launched on the market in a short period of time, tested by the users and improved based on their feedback. Basically, MVP is not a half-baked product launch; it is the launch of a product with minimum features to take the idea to the market and validate it. The main aim is to check your hypothesis and see if there is market interest in your product. If users find value in it and interact with it in a positive manner, then you are able to expand and include other more complex functions. When you build an MVP, you are not trying to address a set of challenges for everyone, but a particular group of people. For instance, let's assume you are creating a new mobile application in the fitness niche. It can be as simple as tracking steps and providing basic insights about the user's activity, and more advanced features such as generating workout routines or connecting to other devices can be added later on.
Key Benefits of MVP Approach
The concept of MVP is beneficial in many ways:
- It helps you enter the market quickly and gain feedback from real users in a short period of time
- This feedback is very useful as it helps you understand how your consumers are interacting with your product
- Unlike the conventional approach that involves coming up with products and assume that they meet the needs of consumers, MVP approach allows one to make decisions based on facts
What Defines a Full Product?
On the other hand, a full product is a fully featured version of your software solution which is ready to be released into the market. Creating a full product means to create all aspects of the product that your team has planned for the product, including both the basic and the complex ones. The objective is to present users with a complete solution from the initial version instead of expanding it in the future. A complete product takes time and a lot of effort to come into fruition, and that is why the initial investment is rather high. This approach is based on the assumption that you already know your users' needs and that you don't have to validate your product in the market first.
Ready to Build Your MVP?
Start your development journey with expert guidance and proven strategies.
Get StartedFor instance, let us consider a case of developing a new e-commerce website. If you go the full product route, you would probably spend money on not only basic things like the ability to search for products, shopping cart, and checkout but also other features such as:
- Customer reviews
- Complex recommendation systems
- User profiles
- Wish lists Although this approach can be quite effective at times, it has its drawbacks and is rather dangerous. If you do not launch an MVP first, you are likely going to create features that are not only unnecessary but unneeded. Also, since the full product development process may take much longer, the competitors may come up with a similar product and capture the market before you can even release yours.
Key Differences Between MVP and Full Product Development
However, there are certain differences between creating an MVP and a full-fledged product that you should be aware of since each of them has its consequences for your project.
| Aspect | MVP | Full Product |
|---|---|---|
| Time to Launch | Few months | 1+ years |
| Resource Investment | Lower | Higher |
| Risk Level | Lower | Higher |
| Flexibility | High | Low |
| User Feedback Integration | Early and continuous | Post-launch only |
Time to Market
The first and the most apparent is the time it takes to launch. MVP development is a process that is centered on the development of a product and its release to the market and this may take only a few months. On the other hand, developing a complete product might take much longer; it may even take one year or even more based on the project's requirements.
Resource Allocation
Another important factor is resources distribution. When building a full product, you are required to spend a lot of resources to create all the features and make sure that all these features integrate well with each other before the launch. On the other hand, MVP development helps you to manage your resources better by focusing only on the most important components.
Risk Management
There is also the element of risk which cannot be ignored when it comes to comparing MVP vs full product. The full product approach, by its nature, is riskier, because it is based on the premise that you know what your users need at the outset. MVP is a more adaptive model of product creation that gives you the opportunity to collect users' feedback and adjust the product accordingly.
The Benefits of Building an MVP First
When it comes to most startups and small businesses, the advantages of creating an MVP are much more than the advantages of creating a full product.
Faster Market Entry
The MVP approach helps in getting the product to market faster and therefore, gives you an opportunity to get feedback from the users in a shorter period. This faster time-to-market is especially beneficial in the industries where the first mover can capture a large market share.
Cost Efficiency
There is also one more significant advantage of creating an MVP first – the possibility to save money. Instead of investing a lot of time and money into every single feature, you can prioritize on the basic ones and ensure that your product is valuable to the users without having to spend too much.
Risk Mitigation
It also helps to minimize risks since it enables you to launch a basic version of the product first. Thus, by releasing a stripped-down version of your product, you can validate your hypotheses regarding the users' requirements and their behavior in the context of your solution.
When using an MVP, the feedback of the users is incorporated into the development process right from the start. This feedback-based approach means that with each cycle you are able to make changes to your product in order to get it right.
When Building a Full Product First Makes Sense
Even though the MVP-first approach is beneficial for most companies, there are situations when it would be better to create a complete product.
Mature Markets with High Expectations
This is especially the case in markets that have been around for a while and where users have certain expectations, and releasing a product that is not even close to being feature complete can damage your brand. In such cases, the aim is not to prove that your product concept is viable but to position yourself as a direct competitor to the incumbents.
Feature-Dependent Products
It can also be right to develop a full product first if your product has to have some features to be useful. For example:
- Enterprise applications that require numerous integrations
- Data-driven applications with complex functionality
- Products where core features are interdependent
Well-Funded Companies
Furthermore, there are companies that have more financial muscle and a longer time before they need to raise more capital and such companies may be willing to invest in full product development.
Choosing the Right Path: MVP or Full Product?
There are certain factors that will help you determine whether to develop an MVP or a full product:
- Your budget and available resources
- Time constraints and market timing
- Level of competition in your market
- User expectations and market maturity
- Product complexity and feature dependencies
When it comes to startups and small business, it is usually more reasonable to start with an MVP. But if you are going into a market which is already saturated or if your product is dependent on all features to work from the first day, then it would be better to build a full product first.
In the end, the decision between MVP vs full product should be made based on the business objectives, users, and competitors.
Conclusion
When it comes to creating software, the ongoing discussion about the merits of MVP vs full product is still very much relevant. But for the majority of companies, especially those that either have few funds or want to minimize the risk, the creation of an MVP is the only right decision. An MVP helps you check whether your product is viable, get the users' feedback, and iterate your product many times to make it better with less investment and less risk. On the other hand, in some cases it may be necessary to develop a full product from the scratch for instance in the mature markets or where there is high complexity of the product functionality. In the end, it will depend on your personal factors and objectives. It is therefore possible to decide on the most appropriate development path that will help prepare the product for success. No matter which of the two approaches you choose – MVP or a fully-fledged product – the main principle is to be prepared for changes and make adjustments based on the users' feedback to enhance the product's value.
