Lean Startup Chapter 6

Here are my notes from Lean Startup Chapter 6

What is an MVP?

A minimum viable product (MVP) helps entrepreneurs start the process of learning as quickly as possible. It is the fastest way to get through the Build-Measure-Learn feedback loop with the minimum amount of effort.  It is not suppose to be perfect. Early adopters (your first batch of customers) are suspicious of something that is too polished. It leaves the question to be asked “ Why isn't everyone using this?   As a result, additional features beyond what early adopters demand is a waste of resources and time. The lesson of the MVP is that any additional work beyond what was required to start learning is waste, no matter how important it might have seemed at the time.

Example of different type of MVP

Dropbox made an MVP to test its leap-of-faith question: if we can provide a superior customer experience, will people give our product a try?  The challenge was that it was hard to demonstrate the working software in a prototype form. So, Drew, the founder, did something unexpectedly easy: he made a video. “It drove hundreds of thousands of people to the website. Our beta waiting list went from 5,000 people to 75,000 people literally overnight. It totally blew us away”, said Drew.  Today, Dropbox is worth more than $1.5 billion. In this case, the video was the minimum viable product. The MVP validated Drew’s leap-of-faith assumption that customers wanted the product he was developing because they actually signed up.  

The low quality Misconception

One of the most confusing aspects of the minimum viable product is that it challenges traditional notions of quality. It is natural for people to aspire to build the best quality product. A “low-quality” MVP can act as a catalyst for a future high-quality product. Yes, MVPs are an opportunity to learn what attributes customers care about, making a foundation on which to build future products.

Customer still can love “low-quality” products  

Ex. What if Craig Newmark, in the early days of Craigslist, had refused to publish his e-mail newsletter because it lacked sufficient technological design.

Fear of Competitors

Many startup are afraid of other companies stealing a their ideas. The thing about being a startup is the near impossibility of having your idea, company, or product be noticed by anyone, let alone a competitor. Ries suggest to take one of your ideas and write your competitor a memo. The truth is that most managers in most companies are already overwhelmed with good ideas. Their challenge lies in prioritization and execution, which gives a startup hope of surviving.