Markets are fast-moving. To remain competitive, an immediate response to customer needs is necessary. Long development phases for new products, business models or services give the competition a head start and create a major risk for the company. The Minimum Viable Product is one possible strategy for responding to market needs in a timely manner and with minimal effort. The MVP is a version of a new product, service or business idea that is created at low cost and used to gain customer feedback. It is referred to as a first “usable” product, usually with minimal functionality.

Although there are critics of this strategy, it holds a few advantages for the new, agile world of work and compared to dynamic start-ups.

  1. Quick response to changing needs in the market.
  2. An MVP enable testing a gap in the market with as little development effort as possible. This gives your company clarity on whether there is a market for a product, service or new business idea.
  3. Customer feedback is directly integrated into the further development process. In this way, the product can be improved step by step and you avoid products that your customers don’t even want.
  4. The information gained about customer wishes enables you to direct the capital investment to the best product.
  5. Overall, the risk is reduced in the course of developing products, services or business models.
  6. You save resources, money and time.
  7. Your customers become early adopters, which can increase loyalty. There is a strong incentive to belgeiten the development process, and the incorporation of customer feedback leads to a feeling of appreciation on the part of the customer.
  8. Releases are great to promote. Your company can attract brand ambassadors or engage influencers, for example, through beta testing on social media.
  9. You create an ideal relationship between capital investment and success on the market.
  10. A quick market entry becomes possible and you create attention among potential investors.

In addition to their use in software and app development, MVPs play a key role in the transfer of science into practice, especially in times of digital transformation. According to the basic principle, the “build-measure-learn” cycle is followed. This approach can also be transferred to the work in project teams and aligns with the iterative way of working of the fellows in the Graduate School of Logistics.