In 2020, the volume of the European e-commerce segment passed the €717 billion mark. At the same time, the share of online shoppers was 83%. This monetary fact attracts more entrepreneurs who want to make money online, and it includes not only online marketplaces but also sites, like a legal sportsbook in India. Here’s how to create a convenient and selling web product.
Determine Your Target Audience and Market Demand
Before the direct development of any IT product, you need to form a clear concept. First, you should answer the questions of what problem the product will solve and what the consumer will get from its use. You should learn as much as possible about the whole system and the market in which you are about to launch. The initial strategy is based on this knowledge.
When conceptualizing a future product, you should not rely on the request of a broad audience. Thinking that your project will solve the problem of all customers is a flawed strategy that increases the likelihood of failure many times over. It is better to concentrate on a certain circle of users. Narrowing your target audience will allow you to target your future product more accurately.
Try to create a portrait of the ideal user, who will buy your product without hesitation and will be happy with its features. Describe his gender, age, social status, and income level. You should also consider the user’s needs, habits, technology they use, and common problems. The more parameters you specify, the more chances to hit the audience’s demand.
Besides, you should study the difference in your competitors’ offerings. You should be different from the existing solutions – you should offer an innovative way or significantly modernize it.
Launch the MVP
Many IT companies suggest that their customers create an MVP, a minimally viable product that contains the basic features they need. MVP allows you to get feedback from users and understand what is already working well and what still needs to be improved. As a rule, this project is offered to focus groups for evaluation. This provides an opportunity to optimize production costs and, importantly, not to redo too much.
The key point of the MVP idea is that the company produces not just a prototype, but a real product, which is then delivered to the market. It can be a one-page website or a seemingly fully automated service that is actually done manually. Developers observe the behavior of users who use the service for the first time. Based on the information gained from the experiment, the team continues, adjusts, or cancels work on the product.
The point of MVP is to test a hypothesis on quantitative data: to estimate conversions, return rates, cost per lead, average check, operating costs. It’s just the first version of your product. MVP is a process that helps you gather information on how you can improve the product. At the release of each future version, you will receive new data and customer feedback to help you identify gaps, fix them, and incorporate them into the development of the next version.
For your MVP to produce reliable results, you need to set up a feedback channel. Try to keep track of all feedback, summarize it, and convert it into ideas for further team tasks. The feedback you receive through interviews or one of the other channels should be systematic, with real and rapid impact on your product.
Remember to collect metrics. Everything you gather at this stage, and how you interpret it, will determine the future life of your development, and therefore the entire product.
Build New Hypotheses With the MPV Result in Mind
Based on the feedback and financial model, as well as the audience needs that were revealed during the MVP, you need to build new hypotheses about the product’s performance and shape them.
The more hypotheses you can test and debunk early in the development of a new product introduction, the better your chance of success. Remember that you need to test and debunk hypotheses as quickly as possible. The less time it takes you to test, the sooner you’ll find your audience’s pains and be able to close them. Hypothesis building is also important to be systematic – they should cover the consumer needs that emerge during the launch and testing of the MVP.
Get the Product out Into the Marketplace
Once bugs have been addressed and new hypotheses created, you can launch the product. Keep in mind that once launched, the work on the product does not end. You need to continue to collect, store and analyze feedback, from statistics to user behavior and feedback data.