Proof of Concept vs. Prototype vs. MVP: A Founder’s Guide

Proof of Concept (PoC), prototype, and Minimum Viable Product (MVP) are often used interchangeably. However, each term represents a distinct stage of the software development process. 

Leveraging the right tool at the right time is a powerful way to develop a user-centric product. This guide illuminates the differences between a PoC, prototype, and MVP, offering the clarity needed to take your next step and build a successful product.

What is a Proof of Concept (PoC)

A proof of concept is a basic demonstration of a software idea's feasibility and potential value. It’s less like a product and more like a narrowly defined project. For example, it may test the viability of a single proposed app feature.

A proof of concept for software development helps determine if the digital product can be built in the real world, what technologies should be used in development, and whether the software is likely to be adopted by its intended users.

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Key Characteristics of a Proof of Concept

• Focused on core functionality, not user experience:  A PoC centers on only the features needed to prove feasibility.

• Straightforward format: Refinement comes in future stages of development. Often a rough document or demo is all that’s needed for a PoC.

• For internal, not public use, only: While user feedback is critical to any software product, PoCs are not for real users.

When to Use a Proof of Concept

A PoC might be your next software development step if you have a new or innovative idea to validate. A proof of concept can also secure internal buy-in from key stakeholders or help raise startup funding for the next development phase.

A proof of concept is free, so it’s a low-stakes way to test your idea with other people. Whether you’re adding new features to an existing software or building something new from scratch, a proof of concept will help you take the fastest, most direct route to success. 

What is a Prototype

A prototype is a working software model simulating the user interface and experience. It takes the idea one step beyond the proof of concept to test software design or usability and gather user feedback before full-scale development. 

Mobile app prototypes serve multiple functions—they can bring to light problems that need addressing before investing in the final stages of development, increase stakeholder interest and financial backing, and provide valuable insight into how future users plan to use your app.

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Key Characteristics of a Prototype

• Focused on design and usability rather than functionality: Prototypes focus on the software's look and feel, not necessarily its full functionality.

• Varying Degrees of Fidelity: Prototypes range from low-fidelity mockups, like paper sketches and wireframes, to high-fidelity interactive interfaces. More refined is not necessarily better.

• Helps facilitate internal testing: While test users will interact with the product, prototypes are not meant for the public.

When to Use a Prototype

If you’ve validated your concept with a PoC, you might be ready to build a prototype. A prototype helps refine user experience and design, and testing your interface with a prototype builds the confidence needed to proceed to an MVP.

Prototypes solve issues before they happen out in the wild. The more time you have to conduct user research before developing your final product, the better. User research and testing during the prototype phase allow you to gather valuable insight into how your product will actually be used. Better yet, it tells you if it’s even worth continuing to invest in the development of the app.

What is a Minimum Viable Product (MVP)

A minimum viable product is a basic version of the software. An MVP is the most developed of the three models, with only the core features needed to satisfy early adopters and gather feedback. 

An MVP is the simplest, most stripped-down version of your software idea, yet it still retains enough features to be released to the general public for actual use. Minimum Viable Products are a common topic in software development with a lot of buzz, so you may want to learn more about the pros and cons of creating an MVP.

Key Characteristics of an MVP

• Includes essential functionality to solve a specific problem: Only core software components are included in this initial product release.

• Prioritizes user experience over aesthetics: In an MVP, user experience and functionality trump aesthetics. This approach prioritizes getting a functional product into users' hands as quickly and efficiently as possible.

• Released to a limited group of beta users or directly to the public: This product's first version can be released to a limited group of beta users or directly to the public.

When to Use an MVP

You might be ready to develop an MVP if you’ve refined your prototype and user experience based on testing. You should opt for an MVP or PoC to test the market and gain early traction.

The MVP allows you to test the product beyond your small group of interviewees, to a wider group that’s more representative of your market or audience. It offers a great opportunity for more feedback that will tell you if the product in its current iteration resonates with users and stakeholders.

PoC vs. Prototype vs. MVP

	Proof of Concept (PoC)	Prototype	MVP
Purpose	To demonstrate feasibility	To simulate the user interface and experience	To test the product in the market, validate demand, and gather feedback to guide future iterations
Audience	Internal stakeholders	Internal teams	Limited or public users
Functionality	Rough, basic demonstration of the idea	Simulates look and feel	Functional product, essential features only
Risk	Low, minimal investment with internal exposure	Medium, some design investment with internal exposure	Higher risk, limited development investment with potential public exposure
Sequence	Early ideation	After developing a PoC and refinement	After developing a prototype and refinement
Timeline	Days	Weeks	Months

Progressing from idea validation to market testing sequentially will minimize risk and support stakeholder buy-in. 

Choosing the Right Approach

To determine which step to take next to improve your chances of a strong, user-centric product, you’ll want to consider several important factors. The project stage, budget, risk tolerance, and target audience can all inform the right approach for your software project. 

Ask yourself these key questions to determine which software development method—MVP, PoC, or prototype—will strengthen your product the most. 

• Project Stage: Are you in the early ideation phase or ready for launch? Understanding where you are in the product lifecycle will help determine the most appropriate approach.

• Budget and Resources: What resources do you have available? Some methods, like PoCs, may require fewer resources than an MVP.

• Risk Tolerance: How much risk are you willing to take before validating the idea? A prototype may help visualize an idea, but an MVP tests it in the real market.

• Target Audience: Who will be using and testing the software? Understanding this helps determine whether you need feedback from stakeholders, technical teams, or end-users.

Choosing the right approach saves time and resources and increases your chances of developing a successful, user-centered product. If you’re not sure which option to pursue, ask an expert. Finding a reliable development partner can be one of the best decisions for your product.