Proof of Concept
When creating a technology company, it is important to prove the concept prior to development. Proof of concept can be defined as collecting evidence that will determine if the product idea is feasible. This step in the process of starting your company is significant. Many first-time entrepreneurs skip this step, which costs them a lot of time and resources. This trap can easily be avoided with these simple steps:
Create a test group.
Ask the right questions.
Analyze the data and Implement feedback.
Following these steps will ensure that you are building the product the customer wants.
1. Creating a Test Group
When creating a test group, keep in mind the diverse audience your product serves.
Your test group should consist of each type of customer identities: end-user, influencer, recommender, economic buyer, decision-maker, and saboteur. This diversity allows you to collect more insightful data.
End-user – the day-to-day user of the product, and/or service.
Influencers – and individual that can influence trends in the industry or community on social media platforms.
Recommenders – Individuals or entities that have the power to make or break a deal due to their recommendation. For example, a widely read blog, or the head of an organization in your target market.
Economic Buyers – The individual who approves the purchasing or budget of the company. Depending on the type of company you are starting, you will have to know the mindset of the person who oversees purchasing the product and the benefits of using your company vs another.
Decision Maker – The decision-maker might be the economic buyer, or they could be higher up in the company. They have the ultimate purchasing and implementation power.
Saboteurs – This customer is known to slow down the process. Often known as the person who likes the old method of doing things and does not want to change.
2. Ask the Right Questions
Now that you have your test group and a demo of your product, it is time to receive constructive feedback. You do this by asking a collection of open-ended and leading questions in a test group meeting. Open-ended questions are designed for individuals to respond with a meaningful answer that is based on their knowledge and feelings about the product. A leading question is asked in a way that produces the desired answer. These types of questions are essential towards the end of each meeting.
3. Analyze the Data & Implement Feedback
The feedback that you receive in the test group is crucial for the development of your company. Their feedback will determine the features your product needs. Whether it is the MVP, or version 6, it takes time to build a relationship with your customer and understand what the customer wants.
What’s Next?
Now that you have heard the concerns of the customer, and determined their true wants and needs, it is time to implement those features into your product. This ensures your product adds value to the market; thus, giving it the best chance to be successful.
Proving your concept is a great way to understand the value of your business. It allows you to save time and resources while you begin an ongoing relationship with your customers. This allows you to create a feasible product that adds value to the market. So, remember, always create a test group, ask the right questions, analyze their responses, and then, implement their feedback.
Here at Innovative Software Solutions, we help entrepreneurs validate their business concept through our Concept Development Program. The program is designed to help turn business concepts into validated solutions that are ready to enter the market. In this program, we connect you with your target customers and receive live data on your product. This allows us to determine the feasibility of your product, while giving you the confidence you need to start and run your business.
Discover how we can help guide you through your journey of starting a technology business.
Your Concept, Our Commitment!