In the world of startups, passion for an innovative idea is the initial fuel. However, the most critical question that every founder must ask themselves, even before writing the first line of code, is: "does my solution solve a real problem?". Ignoring this question is the surest route to failure.
The most common fault: building the wrong solution
"There is nothing so useless as doing efficiently what should not be done". Peter Drucker's famous phrase exemplifies a common misconception of many entrepreneurs: they fall in love with their own solution and start from "guesswork", assuming that the market needs what they have to offer. This is a fatal mistake. The first step in a startup's journey is not to develop a product, but to validate the existence of a problem. The ideation phase requires research, conversations with potential customers and an in-depth investigation into their "pains" and unmet needs. After all, 42% of the startups that close their doors do so because they don't meet a market need.
The aim is to answer, with sufficient evidence, the fundamental question: "Does this problem really exist?". Only after confirming that the problem is real and relevant to a specific audience should you start thinking about the solution.
MVP as a discovery tool, not a product
This is where the Minimum Viable Product (MVP) comes in. There is a common myth that the MVP is just a simplified or incomplete version of the final product. In reality, the MVP is not a product, but a scientific experiment for your business. As defined by Eric Ries, author of "The Lean Startup", the MVP is "that version of a new product that allows the team to collect maximum validated learning about customers with minimum effort".
The focus of the MVP is not to generate revenue, but to generate learning. It should only contain the essential functionalities to test the central hypothesis: "can my solution solve this problem?".7
How to validate in practice: The "Build-Measure-Learn" Cycle
The validation of an idea through an MVP operates in a continuous cycle known as "Build-Measure-Learn".8
- Build: This stage involves creating the simplest and cheapest experiment possible to test your hypothesis. An MVP doesn't have to be a complex piece of software. It can be:
- One Landing Page which describes the solution and measures interest through subscriptions.
- One demonstration videoDropbox did this to validate the demand for file synchronization before building the platform.9
- One MVP Conciergewhere the service is delivered manually to the first customers, allowing in-depth learning about their needs without investing in automation.
- Measure: After launching the MVP, the focus is on collecting data and feedback. It's not about vanity metrics like downloads, but metrics that indicate engagement and real value for the user.10 Observe how customers use the solution, talk to them and understand what works and what doesn't.
- Learning: The analysis of the data collected is what feeds strategic decisions. User feedback will prove or disprove your initial hypothesis.9 Based on this learning, you can decide whether to persevere in the current direction, make small adjustments (iterate) or change the strategy fundamentally (pivot).
Anyone who thinks that the launch of the MVP is the finish line is mistaken. It's just the start of a continuous process of experimentation that must continue in order to guarantee sales, retention and, ultimately, the building of a scalable business.
In short, the success of a startup doesn't depend on the genius of the solution, but on the relevance of the problem it sets out to solve. By using validation and MVP as discovery tools, you ensure that you are building something that people not only want, but need, and then, of course, are willing to pay for.
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