The internet is full of different definitions of startups. The one thing they all seem to agree on is that a startup is a startup company. Another characteristic of startups is that they are innovative. A special startup is the Lean Startup. A characteristic of this type of startup is that a prototype (MVP) is first developed to test the need. Want to know more about lean startups? In this blog you can read everything about the Lean Startup Method.
“The only way to win is to learn faster than anyone else.” ~ Eric Ries
THE DIFFERENCE BETWEEN AN ORDINARY STARTUP AND THE LEAN STARTUP
Eric Ries is the founder of the Lean Startup method. The core concept of the Lean Startup method is testing. Startups that work according to the Lean method enter the market before their actual product is ready, they do this with a so-called Minimum Viable Product: a product with just enough features to add value for early joining customers¹. This allows feedback to be collected from the intended potential customer. This feedback can be used to test whether the idea behind the startup needs to be further developed, or whether there is too little demand from the market (to measure is to know).
“As you consider building your own minimum viable product, let this simple rule suffice: remove any feature, process, or effort that does not contribute directly to the learning you seek” ~ Eric Ries
In this way, the idea can also be refined before a final product is launched on the market. The MVP may already appear to be market-ready, but there is a good chance that the feedback will provide many valuable insights with points for improvement. In short, the Lean Startup differs from a normal startup because you first go to market with a prototype and continue to test, test and test it.
Build → Measure → Learn
CASE STUDY
Duodeka, together with GG4U, validated the concept of an online gaming platform according to the Lean Startup Method. With a riskiest assumption test, DUODEKA tested whether there is a market for such an online gaming platform. The test has shown that the concept has a lot of potential. That is why it has been decided to make it possible for interested gamers to register on the website now. Entirely in line with the riskiest assumption test, the number of registrations in the first weeks has been overwhelming.
THE COMBINATION WITH THE BUSINESS MODEL CANVAS
Starting entrepreneurs often use the Lean Canvas method in combination with the Business Model Canvas. Want to know more about the Business Model Canvas? Read our blog about the BMC!
THE BOOK OF ERIC RIES
Eric Ries has written a book about how the Lean Startup Method leads to a successful business through continuous innovation. Interested in Eric Ries’ book? You can just buy it at Bol.com.
Would you like to know more about our vision on the Lean Startup Method? Feel free to contact us!
Sources:
https://www.techopedia.com/definition/27809/minimum-viable-product-mvp