MVP (Minimum Viable Product)

What is an MVP?

The Minimum Viable Product (MVP) is the minimally functional version of a product or service that offers just enough features to be used by real customers and provide valuable feedback. The concept was popularized by Eric Ries in the Lean Startup method.

The core idea: An MVP is not a half-finished product, but a learning experiment. It answers the question: “Does our solution actually solve a problem that customers are willing to pay for?” – with minimal effort and maximum insight.

Why an MVP?

• Reduce risk: Instead of investing months in a product nobody wants, test the core hypothesis early.
• Learn faster: Real customer feedback beats any market research – the MVP puts you into the build-measure-learn loop.
• Conserve resources: Invest minimally until the direction is validated – especially important for startups and SMEs with limited budgets.
• Find Product-Market Fit faster: An iterative approach shortens the path to the right solution.
• Convince investors: An MVP with real users and data strengthens any pitch deck.

MVP Types and Examples

• Landing Page MVP: A website describes the product and measures interest through sign-ups – before anything is built.
• Concierge MVP: The service is provided manually and personally – simulating the solution before it is automated.
• Wizard-of-Oz MVP: The interface appears automated but is operated manually in the background.
• Single-Feature MVP: Only the most important feature is built – everything else is omitted.
• Crowdfunding MVP: A campaign video tests demand and simultaneously raises funding.
• No-Code MVP: A functional solution is created without programming, using tools like Bubble, Webflow, or Zapier.

Well-known MVPs: Dropbox (explainer video), Zappos (manual shoe shipping), Airbnb (own apartment on event website). All started minimally and scaled only after validation.

Developing an MVP: Step by Step

1. Validate the problem: Is there a real problem? Conduct Jobs-to-be-Done interviews and target group analysis.
2. Formulate the core hypothesis: What exactly do you want to test? “We believe that [target group] has [problem] and is willing to pay for [solution].”
3. Define scope: What is the absolute minimum functionality? Eliminate everything that does not contribute to the core hypothesis.
4. Build quickly: Utilize rapid prototyping and no-code tools – weeks, not months.
5. Give to real customers: Do not test within the team, but with the actual target group.
6. Measure: Evaluate defined success metrics – usage, retention, willingness to pay.
7. Decide: Iterate (improve), pivot (change direction), or scale (grow)?

MVP vs. Prototype vs. Pilot

• Prototype: A test model for learning – does not have to be functional or market-ready. Tests the idea (→ Prototyping).
• MVP: A minimally functional version for real customers – tests the business model and willingness to pay.
• Pilot: A limited market test with the (almost) finished product – tests scalability and operations.

The three concepts build upon each other: Prototype → MVP → Pilot → Scale. Each stage validates a different level of the business model.

Common MVP Mistakes

• Too much “V”, too little “M”: Overengineering – if the MVP takes months, it’s not an MVP.
• Too little “V”: So minimal that customers don’t recognize value – the “Viable” is just as important as the “Minimum.”
• Features instead of hypotheses: An MVP tests a hypothesis, not a feature set.
• No real customer feedback: Team feedback and friends’ opinions do not replace a real market test.
• Build once and forget: An MVP is the start of an iterative process, not the end product.
• Wrong metrics: Not just “likes” count – willingness to pay and retention are the real validation signals.