… start-ups do not have sufficient competence within their in-house team
Building a quality and reliable product is one of the key factors of start-up success. It is definitely a challenge on each stage. In many cases, the best way for smooth software development is via the cooperation with an external partner. Building an in-house team is very time-consuming and expensive.
However, the decision to establish the cooperation with a software house does not solve the problem. First of all, you have to choose an effective partner. There are many companies offering IT services on the market, so the choice should be very thought-out. It is also important to choose the right technology. If you do not have an experienced employee in your team (e.g. a CTO), then it is difficult to make such decisions by yourself. You must count on your partner's help. If you choose the wrong one, your product may be developing in the wrong direction.
… poor quality of a product translates into unsatisfactory sales and poor product performance assessment
As a product user, how many times have you stopped using a product after you experienced the lack of smooth functioning, many bugs and other disadvantages? The quality of the built product (here, software) is of paramount importance for achieving your business goals. Start-ups are not able to sell their products if users critically rate them.
In the era of fierce competition on the market, features such as reliability, speed of operation and product intuitiveness are of great importance. Statistics clearly show that if the initial user experience is positive, then in 90% of cases the users will return to the product in the future. Therefore, my tip for you is simple – bet on quality, you will quickly notice that such a strategy simply pays off.
… start-ups do not secure a sufficient budget for software development
Software development is probably one of the highest costs that start-ups must take into account while entering the market and commencing product development. Depending on the type of product and its advancement, these expenses vary greatly. The initial phase of building the product is particularly important, so the stage prior to entering the market. In other words, it is the time roughly until the product starts generating profits. Until then, you need to be sure that you have a high enough budget to build a quality product.
At this point, it is worth mentioning the very popular product development approach (especially for start-ups), namely MVP. I believe that this is the best way to do it as the MVP allows you, among other things, to optimize the budget under product development.
… building a product and implementing it on the market is not everything!
Investing in a product and software development is a constantly evolving process. It is not enough that something is built, it does not end the cooperation with your external software development company. The product often requires regular maintenance and, above all, the implementation of new functionalities, not to mention improving the existing ones. I noticed that start-ups misinterpret this process, which is a big mistake. You cannot forget about constant development, because your competition does not sleep.
… the adopted product development strategy is wrong
Start-ups are under constant pressure to prove that their product has value to users. They regularly try to search for new solutions, improve the product and add functionalities useful for the target group. Throughout this process, there are many uninformed decisions, not based on research, analysis and specific figures.
Such decisions are often made spontaneously, simply because the decision-makers want it so. This is a very common mistake with very bad consequences. It may lead to a lack of cooperation with specialists in the field of Product Design, who are responsible for building a product that will correspond with the customer needs. They also work on an engaging design that increases conversion.
The road to start-up success is winding and full of potential problems. One of them, as it turns out, is very often the process of product development. However, your start-up will overcome such a challenge if you remember the comments made in this article. I am sure that using these tips will give you a chance to avoid similar problems. And that's what I wish for you!