MVPs are Small but Lovable: The By the Letter Definition and Defense of Minimum Viable Products

I remember where I was when I first heard the concept of an MVP that didn't have to do with being the best player on a team or in a given sport. In the years that have followed I have become a bit of a strong advocate– maybe even zealous evangelist– of the Minimum Viable Product.

The term MVP has become so ubiquitous and overused that it has nearly lost all meaning. Some assume it refers to a first prototype, others a fully featured first release. Some assume it is about being "scrappy" while others use it as a license to build "crappy" products. And into this confusion others have injected their own take on the right three letter acronym that capture the idea. Two of the most common are MLP– Minimum Lovable Product– and MMP– Minimum Marketable Product.

In Defense of MVP

Let me get straight to the point. I am not against building products that are lovable or marketable. I don't have an issue with these words or even using these acronyms. My issue is that people use these acronyms to attempt to create more clarity, when in reality, I think it only creates more confusion. Here is why:

In order to be viable– MVP's should be both lovable and marketable.

Whenever the topic of MVP arises one of the first things I do is find the MVP pyramid visual created by Jussi Pasanen and referenced in Dan Oslen's The Lean Product Playbook– and also the header image of this article– because it clearly illustrates the point. MVP's aren't poorly delivered broad based functionality of a big idea. Proper MVPs are narrow. They focus in on the most essential functionality, deliver it well and do so in a way that maximizes learning. More on that in a second.

So when I hear amazing product leaders like Jiaona Zhang talk about MLP's and the importance of table stakes quality bars I don't disagree. To me this is a result of the misuse and misunderstanding that so many people have towards MVPs. So lets get a clear understanding of what an MVP is and why it is so popular.

The Definition of an MVP

When confusion and ambiguity prevails I always default to turning to the original source materials for clarity. So when it comes to the definition and purpose of an MVP, I always return to Eric Reis' definition from the Lean Startup. Here Reis defines an MVP as "[the] version of a new product which allows a team to collect the maximum amount of validated learning about customers with the least effort." This definition is clear about the purpose of an MVP– maximize learning.

MVPs are designed to test assumptions. They are a hypotheses. MVPs aren't about cutting time to market or hitting a tight budget for a first release. Therefore, MVP's exist to help teams and entrepreneurs navigate the uncertainty and unknowns of a complex market. Because as Reis also says, "In today's marketplace of uncertainty, whoever learns fastest wins."

Unfortunately, simply pointing at this quote doesn't create the clarity teams needs around the purpose and scopes of MVPs. Therefore, I like digging into MVPs letter-by-letter. In my experience, the discourse and confusion around MVP's is typically centered around the words "minimum" and "viable" and debating, "Is it possible to be too minimum?" and "What is needed to be viable?" These are good questions, however, as you analyze the phrase these words are descriptors of the word product. Therefore, as we breakdown what a MVP really means it is best to start with the end and clearly define, "What is a product?"

P is for "Product"

Starting with the end in mind, a good definition of product will set the tone for everything else. When defining "product" I like Melissa Perri's simple description– "a vehicle of value"– where value is transacted between a user and the business.

This offers three key implications that are important to consider for an MVP:

• Products deliver value– the first and most important part of this definition is that products deliver value. They are the the things that you offer that deliver value to the customers and users. This matters when thinking about MVPs. It isn't about the smallest makable thing. It is about delivering value– even if it is only a small amount.
  
  

• Products transact in market– the second implication of this idea is that it involves a transaction of value in market. It requires getting out of highly recruited and controlled lab environments where we pay people to give us feedback on concepts and prototypes and pushing the ideas out of the preverbal nest and into the market. But we must get one thing crystal clear. Testing in market doesn't mean firing up the launch rocket. However minimum your product is, choose an even more minimum market. Small experiments first. Big launch later.

  
  

• Products is a broad term– The final implication is that the definition of a product is broad. If the aim is to provide value, then a Minimum Viable Product (MVP) includes all types of products, whether digital or not, as well as services. In fact, some of the best SaaS MVPs focus on the service aspect first, before creating software. (For example, Concierge or Wizard of Oz MVPs.) However, traditionally products are pursued with scalability in mind. According to Perri's definition, a product is "something that delivers value repeatedly to customers and users, without requiring the company to create something new every time." But remember, "MVPs are optimized for learning, not for scale" (Reis, The Lean Startup).

Having a clear and robust definition of product gives us the foundation we need to understand MVPs. As we explore making them minimum and viable, an MVP cannot cease to be a product.

V is for "Viable"

As we discussed in the open, most of the debate about alternatives to MVPs come from swapping out "viable" for a different word and letter. But rather than grabbing a whole new word I propose a new understanding of the word viable. For most people in the business world the word viable has connotations of financials and feasibility, however, I recommend taking some inspiration from the world of botany.

A viable seed has the ability to germinate– "to grow and put out shoots." Seeds lie dormant until they are put into the soil at which point the water and nutrients activate them. MVPs are like seeds. Viable doesn't mean a functional first version. It doesn't mean a revenue generating business model. An MVP has the ability to awaken an idea, test an assumption and germinate a new product in market.

And three essential truths of seeds apply to good MVPS:

1. Like seeds, MVP's only activate when placed in the soil (aka the market).

2. Like seeds, MVP's contain just the essential elements and nutrients to grow.

3. Like seeds, MVP's will transform– often changing rapidly in the beginning.

This could be an article all to itself– but for now the metaphor speaks volumes enough. An MVP is a way to seed an idea– to start the growth. Plant it. Water it. As it grows, prune it as necessary. And always remember the following:

Do all seeds succeed?
No.

Does it happen immediately– or even quickly?
No– and often not.

And just like the old adage, when is the best time to plant a seed?
20 years ago.

When is the next best time?
Today.

M is for "Minimum"

This brings us to the first letter in MVP– minimum. When we consider the word minimum there are two essential questions we should ask ourselves; 1.) What do we mean by minimum? and 2.) Why do we want to be minimum?

Much like traditional definitions of "viable" might constrain our understanding lets expand our understanding of "minimum" be looking at the world of physics– MVPs are atomic.

Atomic refers to "the smallest or single most irreducible unit or component in a larger system." MVPs should be ruthlessly pruned and prioritized for scope creep. Continue to reduce the idea, focusing on the most critical elements until you feel it can be reduced no further. It is tempting to convince yourself that everything that you want to build is essential. The struggle is real. It is hard.

This begs the question– why? Why do we want to be minimum? Let's return to the original definition and purpose of MVPs– to maximize learning. And not just any type of learning but "validated learning"– the type of learning that can only be found by measuring real behaviors of real people in real environments. Not prototypes with research groups– MVPs in market. This type of learning is achieved by getting through the Build, Measure, Learn loop as efficiently and frequently as possible. The more bloated the MVP build, the less frequently you can learn and the slower you can iterate you way to success.

This is the key to understanding minimum. The focus of an MVP– the most irreducible element– is where the learning is most critical. The riskiest assumptions and hypotheses that need to (in)validated. The emphasis on minimum is an emphasis on learning– allowing you to focus your learning in the right areas and increasing the pace at which you can learn. Your goal is to find the place where you get the greatest learning return on effort.

When understood this way MVPs adopt another key meaning of the word atomic– "a source of immense energy and power." MVPs are powerful. Use them wisely.

Closing Arguments

So ladies and gentleman of the jury, I have presented to you the case and defense of the MVP. The most irreducible part of a big idea, containing only the most essential parts necessary to evolve grow, capable of delivering and receiving value from the market– all in an effort to maximize learning for teams trying to navigate the uncertainty of complex products and markets as fast and frequently as possible.

The MVP has many different definitions because it isn't a one size fits all solution. It doesn't define a specific state of a thing but rather a way to use the process of creating value early and often. Mitigating risk. Learning frequently. MVPs acknowledge that we might be wrong and are a commitment to experimentation with the goal of eventually getting it right.

If you want to learn more, my [UPCOMING] course on MVP's we walk through a process to define an MVP strategy and three common types of MVPs that can help you build MVPs designed to maximize learning and build momentum behind your idea.