Without a doubt the app market is one of the fastest growing markets today. In Brazil for example 94% of the population has already installed apps on their phones to perform tasks, whether it is for dating, to watching movies or even to find transportation. Due to the fact that the sector is greatly expanding, more entrepreneurs are interested in investing. But the challenge is how can someone enter this market with the certainty of profiting?
Below we will provide you with a breakdown of how to validate and gauge the profitability of your app idea(s).
First, when it comes to technology, time optimization is one of the most sought after features. After all, considering the high competition in the sector, the sooner you execute your app ideas, the better it will be. In order to help people who wish to invest in this area, there are a few methods already in practice, such as the one from the lean startup. The proposal consists of basically reducing the “waste” during the creation of products and services. This can increase the frequency of contact with clients, in order to validate the business activities as soon as possible.
However, some other steps need to be taken into account to validate your app ideas. These steps will help you find out if an app idea is really worth investing in and if the financial return will be as expected.
Usually, when we have ideas related to apps, we always (wishfully) think we will become rich from them. However, we tend to forget the main step when it comes to validating our convictions — the research.
Yes you might need to press the pause button on the excitement behind your idea because the task of finding more information about a certain app subject is essential. After gathering some knowledge you will be able to monitor the market you are interested in investing, the risks you might have, and the best marketing strategy for the sector, among other information.
Usually, most of the ideas for apps already exist, that’s why some investors might quickly give up on moving forward. It’s important, however, to remember that competition in different proportions is part of any venture, and it could even be something healthy, depending on the situation. When an investor reaches this analysis point, it is important to think if the app idea has an aspect/edge that is something new and still not explored by the competitors. If the answer is yes, the chances of your idea being successfully recognized are high.
A good entrepreneur tries to understand all the ins and outs of how the market he is involved in is operating. This is a standard method that can generate some very good rewards. After all, at the moment that the research is being carried out, the market might be booming, but it is always important to include prospects for the years to come.
An app, when properly designed, might have its lifespan increased with an update, improvements in its functions and user experience, among other things. As long as an app has quality functions and benefits, it will remain breathing.
2. Gather feedback on your app ideas
After going through the theoretical research phase, it’s time to get some feedback. You might be insecure about sharing your app for a few reasons, but it’s crucial to get people’s candid opinions about it. By getting feedback you can also take the opportunity to carry out an approval research. This step is also useful when determining the viability of your project.
This process, which proceeds the decision of whether or not to invest is an essential part of your future app. Make sure you get real feedback- the good and the bad. Appreciate the criticism and take it in a constructive way. This way, you’ll minimize the chances of mistakes.
If you find yourself doubting the security of your app ideas, ask your friend, relatives and strangers who you survey/interview to sign a simple non-disclosure agreement. This is a great option to make sure you have the rights to your project.
3. Build an MVP
Creating a Minimum Viable Product (MVP) is a strategy to prevent expenses with the development of a product that is not yet fully defined. The idea is to quickly develop a minimum set of resources, just enough to implant and test the product with a certain group, and analyze the interactions between the clients and the product developed. This means that you could perform tests with your app ideas, analyze which ones are viable and which improvements are necessary so that your product can go into the market as competitive as can be.
According to Eric Ries, a famous entrepreneur from Silicon Valley and author of The Lean Startup, the ‘MVP’ is the minimum version of a product that allows a team to gather as much learning as possible, validate with the clients, with the least amount of effort and investment. This step is for you to know if your idea is good enough for other people to buy it.
And if the test is proved efficient, you can start researching about the companies that could develop your app. It’s important to be careful, after all, it will be a big investment and choosing well will save you time and money solving problems in the future. For more help with this process you can contact UseMobile.
4. Start building your identity
Once you have successfully built and analyzed your MVP, it’s now time to build your brand. In a world with brand new information every day, a validated idea today could be obsolete tomorrow- not to mention that those who aren’t seen, aren’t remembered- so you must act quickly and build your brand identity.
It’s important that your image, brand and related things carry the essence you want to bring to your app. After all, thinking of a good visual identity and design could guarantee your public’s approval, besides helping people easily grasp the functionalities and value of your app idea.
5. Create a sales plan
Before diving into an extensive business plan, you must focus on the following question: “How can I get my first clients?”
You can have the best business plan in the world, but without clients, your business means nothing. Thus, you must create a business plan that embraces your marketing strategies. It is necessary to be prepared to show it to investors, partners and other people who might be interested.
These are some important steps to follow when you have app ideas. After all, validating an app idea is the starting point for those who want to reach success.
Any questions? Comment and let us know.