Want to learn how to build a minimum viable product in an efficient way that reduces time-to-market, costs, and headaches all while improving the final product?
That’s what we’re going to show you in this guide. We’ve been building MVPs for 20 years (we wrote our first code on a clay tablet), so we know a thing or two about building software products.
Today, the Damixa team is going to show you why you should build an MVP, some tips we’ve learned over the years, a few key mistakes to avoid, and of course, how to build your own MVP step-by-step.
Ready? Let’s get started.
Table of Contents
Key Takeaways
- Define the problem and target audience: Focus on solving a clear problem for users and understanding who will use your product.
- Determine core features: Keep it simple by prioritizing only the essential features to launch faster and gather feedback.
- Choose the right tech stack: Pick tools and technologies that support scalability and match your project’s needs.
- Decide between in-house or outsourcing: Save time and money by outsourcing development to a reliable team like Daxima.
- Test with early adopters: Use real users to gather feedback and make improvements before scaling.
- Avoid common mistakes: Skip unnecessary features, collect feedback, and test thoroughly to avoid delays and bugs.
- Plan for scaling: Use user feedback to add high-value features and ensure your tech stack can handle growth.
What is an MVP?
An MVP, or Minimum Viable Product, is the simplest version of your product that solves a key problem for your users.
It includes only the most essential features to test your idea and gather feedback.
Why are you doing this? Because building software is complex and expensive.
Building an MVP helps you avoid wasting time and money on features users don’t need while letting you validate your concept quickly.
A well-known example is Instagram. Its MVP focused on photo-sharing with simple filters, leaving out extra features like direct messaging or Stories.
This allowed Instagram to launch quickly, attract users, and then improve based on real feedback.
At Damixa, we usually start with an MVP for our clients so they can see real results early in the process.
This approach helps us test ideas, refine features, and deliver a product that’s perfectly aligned with their users’ needs.
What Are The Benefits of Building an MVP?
The benefits of building an MVP include risk reduction, faster time to market, cost savings, and increasing the quality of the final product by iterating more in the early stages.
In other words: building an MVP lets you cheaply test whether or not people actually like your product before you invest a lot of time and money into it.
In our over two decades of experience, we’ve seen the following benefits of building MVPs over and over:
- Faster Time to Market: An MVP focuses only on the most important features, so you can launch quickly instead of waiting months or years for a full product. Releasing early helps you start growing your user base and gathering feedback while competitors are still developing their products. You might even be able to make some of the costs back from early adopters.
- Cost Savings: Developing software costs anywhere from $50,000 for a small app to millions for a large platform. An MVP reduces costs by focusing on the core features and eliminating unnecessary development. Building an MVP could help you save hundreds of thousands of dollars or more.
- User Feedback: An MVP puts your product in users’ hands early. You receive real-world feedback on what works and what doesn’t. This process prevents you from creating features that users don’t care about and helps us prioritize features for you that improve engagement and satisfaction.
- Risk Reduction: Launching an MVP allows you to test your idea before committing to the full product, which reduces risk. If you have a good idea that solves a problem, you should be fine, but it’s still risky to invest hundreds of thousands of dollars upfront without any validation. With an MVP, you validate whether there is real demand and adjust your approach based on what you learn from users.
- Flexibility: An MVP gives you the ability to pivot if the market changes or your user needs shift. A smaller, focused product makes it easier to adapt than a fully developed and complex solution.
What Are The Steps to Building an MVP?
Define the Problem
The first step in developing your MVP is to define the problem. But what does that mean exactly?
Defining the problem means identifying the specific issue you want your software to solve.
For example, are people struggling to manage tasks? That’s where apps like Trello and Clickup came in.
You need to clearly understand what your users are struggling with and why current solutions aren’t enough. Ask yourself questions like:
- What pain points do your users have?
- What gaps exist in the current market?
- How will your software make things easier for your users?
By clearly defining the problem, you ensure that your MVP addresses a real need. This focus helps you create a product that users will find valuable (and increases your chances of success).
Without a well-defined problem, you might build something that nobody really wants or needs – and waste a ton of time and money doing it.
Pro Tip: Talk to potential users to understand their challenges, and conduct surveys or interviews to gather insights. Listening to your audience helps you define the problem accurately and create a solution that truly helps them.
Remember, taking the time to define the problem sets a strong foundation for your MVP. If you skip this step, you risk developing a product that misses the mark and fails to attract users.
Identify Your Target Audience
Now that we’ve defined the problem, it’s time to find out who wants to pay you for your software (hopefully).
Identifying your target audience means figuring out who will use and buy your software.
Knowing your target audience helps you create a product that solves their problems, is easy for them to use, and has a greater chance of succeeding.
And there’s more than that…
It guides your design, features, and marketing efforts.
When you understand who your customers are, you can tailor your MVP to solve their specific problems, which makes it more likely they will choose your product over competitors.
Pro Tip: Create a simple profile of your ideal customer. Think about their age, job, interests, and what they need from your software. This helps you stay focused on building something that truly benefits them.
This is what we find out about a target audience before we build a product:
- Demographics: Age, gender, location, income level.
- Psychographics: Interests, values, lifestyle.
- Pain Points: Specific problems they face that your software can solve.
- Buying Behavior: How they make purchasing decisions and what motivates them to buy.
- Preferred Channels: Where they spend their time online and how they like to receive information.
If you skip identifying your target audience, you might build a product that no one wants to buy. Taking the time to understand your audience ensures your MVP has a strong chance of success.
Determine Core Features
Now that we know who wants to pay you for your software (fingers crossed!), it’s time to determine the core features. Call us tech nerds, but this is our favorite part of the development process.
Here’s why…
Focusing on core features means you keep things simple and useful (and cheap).
This way, you’re not wasting time adding things your users don’t need. By sticking to the important parts, you can launch your MVP faster and start getting feedback sooner.
Let’s say you’re building a project management tool. Instead of adding every possible feature like chat, file storage, and calendar integrations right away, focus on the basics: task creation, assignment, and tracking.
These core features will help users manage their projects well without making the tool too complicated.
Remember, if you skip determining your core features, you might end up with a product that takes too long to build and confuses your users.
Keeping it simple helps you create a product that gets the job done and appeals to your target audience.
Plan Your MVP Development
Planning your MVP development is up next.
You need to choose whether you’re going to go with no-code MVP development or code-based development. They both have their pros and cons, but it depends on which type of project you’re building.
In general, no-code builders are nice for simple projects like internal apps, but they are very limited.
On the flipside, code-based development is more complex and can be expensive, but you can build the perfect app for your customers.
Here’s a bit more about each.
No-Code MVP Development
No-Code MVP Development is when you build your software without writing any code.
Instead, you use tools that let you create apps through drag-and-drop features.
For example, tools like Bubble, Webflow, or Airtable let you build a project management tool without knowing how to code.
There are several benefits to using no-code tools.
You can create your MVP quickly since you’re using pre-made components. It’s usually cheaper because you don’t need to hire developers.
Plus, you can easily make updates based on user feedback, which is great for improving your product (without breaking the bank!).
Code-Based MVP Development
Code-based MVP Development involves writing your own code or hiring developers to build your software from scratch.
For example, you might use programming languages like JavaScript or Python or frameworks like React to create a custom project management tool.
There are several benefits to this approach.
You can build exactly what you need without limitations, making your software highly customizable.
Code-based apps can handle more users and complex features, which means better performance.
They are also scalable, so it’s easier to add new features and improve your software as your business grows.
Build the MVP
Now that we’ve determined how to build your MVP and who to build it for, it’s time to actually build it.
Building your MVP involves several steps, and having a clear plan helps you stay on track and complete it on time.
When we build an MVP, we follow a simple process to make sure everything goes smoothly.
First, we plan and design what the software will look like and decide on the main features.
Next, we start building those core features, testing them as we go to ensure they work well (notice how the previous steps are starting to come together?).
After the main parts are built, we test the MVP with a small group of users to get their feedback.
Building Phase Layout:
- Week 1: Plan and design your MVP. Sketch out what your software will look like and decide on the main features you need.
- Week 2: Start building the core features. Set up the basic structure of your software.
- Week 3-4: Continue developing and adding more features. Make sure everything works together smoothly.
- Week 5: Test your MVP with a small group of users. Get their feedback and see how they use your software.
- Week 6: Make improvements based on the feedback. Fix any issues and refine your MVP to make it better.
Pro Tip: Keep your MVP simple. Focus on the core features you need to solve the problem. Don’t add extra stuff that can slow you down.
Test with Early Adopters
Now that you’ve built your MVP, it’s time to test it with early adopters (hope you find some!).
Testing with early adopters helps you see how real users interact with your software and what they think about it.
Why do you need to test with early adopters?
Early adopters are the first people to try out your product.
They can give you valuable feedback on what works and what doesn’t.
By listening to them, you can make improvements before you launch to a bigger audience. This helps you create a better product that meets your users’ needs.
Gather Feedback and Iterate
Gathering feedback is one of the most important parts of MVP development.
It helps you understand how users interact with your product and shows you what needs improvement.
Without feedback, you risk investing in features that don’t matter or missing critical issues.
At Daxima, we usually start with the most important stuff first: surveys, interviews, and analytics.
That’s where you’ll get the clearest insights about what’s working and what needs to improve.
Focus on common themes from users and tackle urgent issues first, like bugs or missing features.
As you address their feedback, let users know what’s been fixed or updated. It shows you’re listening and builds trust, while keeping your product on the right track.
Key Considerations in MVP Development
MVP Requirements
Before you start building an MVP, make sure you understand everything it takes to bring it to life.
Here’s what we mean…
An MVP usually takes a few months to develop, depending on the complexity. And you can expect to spend anywhere from $10,000 to $100,000 just to get one live.
Translation: It’s not cheap and it takes quite a while.
You should also think about setting realistic goals.
Your MVP doesn’t need to be perfect. It just needs to solve the main problem for your users.
At Damixa, we help clients define these goals to stay focused and avoid wasting time or money.
Pro Tip: Start with one key feature that solves your users’ biggest problem. Trying to include too much too soon can lead to delays and higher costs.
Skills Needed for Software-Based MVP Development
This is a huge step. Don’t forget it.
At Damixa, we look for developers skilled in coding, UX/UI design, and project management.
Strong communication and problem-solving skills are just as important as technical expertise.
Having a well-rounded team ensures your MVP is functional, user-friendly, and aligned with your business goals.
Choosing the Right Tech Stack
Choosing the right tech stack can make or break your MVP.
The tools you use impact how quickly you can build, how well your software runs, and how easy it is to scale later.
At Damixa, we often use tools like React for front-end development, Node.js for back-end, and PostgreSQL for databases.
These are flexible, reliable, and widely supported.
When picking your tech stack, think about your project’s needs, future scalability, and the availability of developers who know the tools.
Outsourcing vs. In-House
We’ve already talked about this, but it’s worth repeating: outsourcing can save you time, money, and stress.
Hiring an in-house team means dealing with salaries, benefits, and overhead costs, which can easily add up to tens of thousands of dollars.
Outsourcing lets you scale your team up or down without worrying about those extra expenses.
At Damixa, we’ve worked with dozens of clients who needed quick, reliable teams for MVPs, and outsourcing helped them avoid headaches while staying focused on their goals.
MVP Development Models and Costs
Most people don’t know that their choice of development model has a huge effect on the cost of the project.
It does…
Agile development is popular because it allows you to make adjustments as you go.
A simple MVP might cost $10,000–$50,000, while more complex development models like Waterfall can go over $100,000.
We recommend starting small and focusing on core features to keep costs manageable.
At Damixa, we help clients balance their budgets by choosing the right model and cutting unnecessary features.
Successful MVP Development Examples
Here are some successful MVP development examples…
Dropbox started with something so simple: a video.
It showed how their product would work and helped them figure out if people were interested before they built anything.
Airbnb did something similar.
They launched a basic website to list a single apartment just to see if the idea would catch on.
At Damixa, we’ve helped clients launch MVPs that solved real problems, like building a streamlined CRM for a small business.
We’re sure we can help you, too.
MVP Best Practices
The best MVPs are built with users in mind.
Start by identifying your audience and their biggest problems.
Prioritize features that solve those issues and test often to make sure they work as expected.
And make sure to keep communication open between your team and stakeholders so everyone stays on track.
At Damixa, we focus on creating MVPs that are simple, functional, and easy to improve later.
Pro Tip: Set clear success metrics, like user engagement or revenue goals. Knowing what to measure helps you decide when your MVP is ready to grow.
Common Mistakes to Avoid
We could write an entire guide on MVP mistakes to avoid, but we’ll keep it simple here.
Follow this rule and you’ll be fine: Avoid adding too many features to your MVP.
A bloated MVP can take too long to build and miss its purpose.
Skipping feedback is another mistake that can lead to a product no one wants.
Failing to test thoroughly can also cause problems like bugs and performance issues.
Tools and Resources for MVP Development
The right tools can make MVP development faster and easier.
Our stack includes tools like Figma for design, Jira for project management, and Postman for testing APIs.
For no-code or low-code solutions, we use platforms like Airtable or Bubble.
Look for tools that match your project’s complexity and your team’s skill set.
Pro Tip: Use collaboration tools like Slack or Trello to keep everyone aligned and avoid delays.
Scaling Beyond the MVP
Once your MVP is successful, it’s time to scale.
Start by analyzing user feedback and data to decide which features to add next.
Focus on improvements that provide the most value to users, like performance upgrades or new functionality.
At Damixa, we help clients scale their MVPs into full-featured products by planning for growth from the start.
Pro Tip: Make sure your tech stack can handle more users and features. Scaling on an outdated or rigid platform can cause major headaches later.
Conclusion
Building an MVP is the smartest way to test your idea without overspending.
It lets you validate your concept, learn from users, and make improvements before scaling.
At Damixa, we’ve helped dozens of clients create MVPs that solve real problems and grow into successful products.
If you’re ready to bring your idea to life, we’re here to help.