How to Reduce MVP Development Costs

Updated on October 7, 2021

Read — 6 minutes

An MVP (minimum viable product) lets you test demand before paying for a full build. Developers build it quickly to get feedback from users and find problems or blind spots in the software, which protects the overall budget.

This article explains how to reduce MVP development costs.

The MVP Approach

An MVP helps you test hypotheses and get customer feedback. Some companies spend years before finding out that their idea doesn’t work, and a lack of market demand is a common reason startups fail. An MVP is a real product that customers can test, so it shows early whether the concept will sell or needs adjustment.

A look at how not to develop an MVP, and how to approach the development of an MVP.

It can be a prototype, a landing page, a simple concept or an app with a basic feature set, and it can be improved based on customer feedback. This keeps the time and effort spent on validating the concept low and avoids paying for a full product nobody needs.

Simple outline of the steps needed to build an MVP, from checking the viability, pitching to investors, and launching.

To build an MVP with Go Wombat, contact us.

Benefits of an MVP

The key benefits of minimum viable product development are:

Reduced Costs

You don’t spend money on complex software before you know users want it. A product with a limited set of features is enough for potential customers to evaluate.

Pitch to Investors

An MVP is a strong way to present your idea to potential investors. At a minimum, have a clickable prototype.

Faster Release

Launching early gets you real user feedback sooner. At Go Wombat, an MVP takes about two months to build.

Iterations

The team plans and builds a version, releases it, reviews user feedback and repeats. These short iterations are an efficient path towards the final product.

Customer Needs

Building an MVP means identifying the key pain points of your future customers. Once the market has validated the idea, you can adjust and scale the software to fit their requirements.

Reduced Errors

An MVP keeps functionality basic. Fewer features mean faster coding, and less code means fewer errors.

Lower Risks

Creating an MVP means taking fewer financial and time risks. The concept is tested early, so if it doesn’t fit the market, you can adjust or rebuild it before spending too much money and time.

Early Monetisation Strategy

An MVP lets you test early which monetisation model suits the product best.

How To Build A Minimum Viable Product

Key points when building an MVP:

A more detailed look at the steps required to build your MVP.

Pain Points

To develop the concept, you need to understand the eventual users: what problems they have and which of them the product will solve. That takes clear aims, good market research and a clear brief for the development team.

Target User

Define the target audience and identify its requirements, so the product fits them.

Competitor Analysis

Analyse your competitors’ strengths and weaknesses to decide how your product will outperform them.

Measurement

Once the MVP is live, measure it with sales metrics such as Average Revenue Per User and Customer Acquisition Cost. Metrics show how users perceive the product and guide further development.

To discuss your MVP, get in touch with Go Wombat.

Reducing The Cost Of Software Development

Seven ways to reduce MVP development costs:

A detailed look at reducing the cost of developing an MVP by first creating a POC (proof of concept)

Start with a Proof Of Concept (PoC)

If the budget is very tight, build a PoC before commissioning an MVP. A PoC is simple software that implements a single function, and Go Wombat can build one for you. It is usually enough for a first presentation to investors.

Minimise Features

Fewer features mean less development time, lower cost and an earlier release. An MVP should have few features, and they must be the right ones. Go Wombat can analyse the product, the market and user demand to decide which functions are essential. They should be enough to launch the app, test it with a sample of target users and pitch for more investment.

Use Low-Code Development Platforms

Low-code platforms let developers build with less hand-written code. Go Wombat has used Airtable for a startup client. Low-code reduces time and cost, but it cannot yet replace conventional development for complex technical applications.

Start With One Platform

You may eventually need both a web and a mobile application, but it is better to start with one platform, test the MVP and add platforms if it works. Go Wombat can build a web application first or a cross-platform mobile app, which uses a single code base for both iOS and Android. We use React Native for cross-platform mobile apps (it renders native iOS and Android components) and Python for web apps.

Build A Simple Scalable App

The first version should have basic functionality and show users the main idea. If it is built to scale, developers can upgrade it easily later, for example using cloud services such as AWS, OVH, Heroku, Microsoft Azure or DigitalOcean. Go Wombat mainly uses AWS and OVH. Building a complex app with dozens of features from the start is unnecessary and risky.

Simplify the UX Design

An MVP’s design should be simple and intuitive, with easy navigation. Good UX design doesn’t need to be expensive.

Outsource

Outsourcing to an IT contractor such as Go Wombat gives you access to a large talent pool and flexible pricing, which can lower costs. For more on the benefits and risks, read our article on outsourcing.

To plan your MVP, contact Go Wombat.