PoC vs. MVP vs. prototype: what is the difference?

Every software product begins with a great idea, but how can you tell if it’s worth pursuing?

A successful venture depends on three things: demand, unique value, and the right fit in the market. Each of these elements is important, and if one is missing, the project could fail. Before investing time and money, it’s essential to validate the idea.

‘35% of startups fail due to lack of market need, another 20% due to industry competition. 

An impressive idea that is isolated from its market positioning and hasn't been validated is vulnerable to collapse. Alarmingly, over half of businesses fall into this trap.’

Natalia Ivleva, Lead Business Analyst at SolveIt

For entrepreneurs and startup innovators, Proof of Concept (PoC), Minimum Viable Product (MVP), and prototypes are familiar terms. However, they are often confused. Let’s clarify each approach and find out which one is the best fit for your business.

PoC, prototype, and MVP in a nutshell

A Proof of Concept (PoC) is a small project designed to show whether an idea can work in practice. It tests specific technical assumptions, helping to confirm the feasibility of a concept before investing resources at the very beginning.

A prototype is an early version of a product that shows how it looks and works. It helps stakeholders visualize the product and get feedback before it’s fully developed. Prototypes focus on user experience and design, making sure it’s easy and enjoyable to use.

A Minimum Viable Product (MVP) is the simplest version of a product released to customers. It has just enough features to satisfy early users. The goal of an MVP is to test the product in real life, gather feedback, and improve it based on what users say.

What is a PoC?

Main focus: Technology
Question to answer: Can this concept work in practice?
Key deliverables: Project plan, requirements documentation, technical feasibility report

A PoC is typically a small-scale project that tests specific assumptions or technical capabilities to determine whether a proposed solution can be successfully implemented. Its purpose is to demonstrate the viability and value of an idea, paving the way for further development and investment. 

Unlike other validation concepts, a PoC is a narrowly focused process that may even not encompass the entire product but is concentrated on specific hypotheses, functionalities, or technical components. 

A PoC may not be ready for production or intended for deployment to end users, as it is primarily designed for internal purposes and rarely includes user interfaces, security features, or best development practices. Its code is often not reusable, resulting in hard-coded solutions with mock APIs and basic UI elements.

Why to choose a PoC

Choosing a proof of concept is particularly beneficial when there are significant uncertainties about technical feasibility, market demand, or user acceptance. It provides critical insights when exploring new ideas, new markets, or new technologies.

A PoC is ideal during the early stages of a project, especially in the discovery phase, as it requires minimal resource investment. Typically, its development takes anywhere from a few days to a couple of weeks leveraging low budget spend, and as a result, you get the understanding whether the seed of your idea can grow into a financially and technically successful product.

Use cases

• Technology validation: Testing new technologies to see if they can meet the project's requirements.

• Market research: Gathering initial feedback from user sampling to understand their needs and preferences.

• Stakeholder buy-in: Demonstrating the potential of an idea to investors or stakeholders to secure funding or support.

• Risk assessment: Identifying technical challenges and feasibility issues early in the development process.

Examples of a PoC

Before building the full product, Dropbox launched a PoC in the form of a simple explainer video. This video showcased the core functionality of file sharing and storage, which helped gauge user interest and validate the concept.

Before launching Amazon Go, the company tested the feasibility of its checkout-free shopping experience through trials with internal employees. The PoC included an optimal set of technologies for the test, helping to refine the system and validate the concept.

What is a prototype?

Main focus: UX/UI
Question to answer: How will the product look and function?
Key deliverables: Wireframes, mockups, interactive models

A prototype is an early model of a software product used to visualize and test design concepts and user interactions. It focuses on the user interface and user experience, helping stakeholders to witness the final product.

Prototypes can range from low-fidelity sketches, essentially like wireframes, to high-fidelity interactive models. Usually, they are not functional in the traditional sense but are essential for exploring design ideas and gathering feedback from users and stakeholders. 

Prototypes are often iterative, allowing teams to make changes based on feedback before moving into development. They can help identify usability issues and design flaws early in the process, saving time and money later on. 

Why choose a prototype

Prefer prototyping when product requirements are uncertain, when you need to visualize complex interactions, or when aligning the team’s vision is essential. This phase of UX/UI design allows the prototype to acquire a brand identity and design system, empowering stakeholders to move from mere imagination to tangible experience.

“In some cases, when the budget is limited, we recommend focusing solely on a prototype without the further actual development of MVP, even if the client's plan was to dive straight into it. 

A well-crafted prototype that showcases the idea, or a rushed MVP created under constraints? It's wiser to invest in quality design.

However, the function of a prototype as a validation concept is so valuable that at SolveIt, we prefer not to skip the prototyping phase, even when creating an MVP. Especially when creating an MVP.”

Maria Kravchinskaja, Chief Design Officer at SolveIt

Development time can range from a few days for simple artifacts to several weeks for detailed interactive models. When it comes to cost, hiring a UX designer with sufficient experience isn't cheap. However, it is still less expensive than full-scale development and is priceless if its building helps to reduce critical errors or secure funding before entering the coding stage.

Use cases

• User testing: Gathering feedback on design and functionality from the group of selected target users.

• Design validation: Ensuring that design concepts meet user needs and expectations.

• Stakeholder alignment: Communicating design vision and functionality to stakeholders for approval.

• Feature prioritization: Helping teams decide which features to develop based on user feedback and interactions.

Examples of a prototype

When Mark Zuckerberg created "Thefacebook" as a prototype, it was a simple version of the social network that included basic features like user profiles and friend connections. This prototype was used to gather feedback from Harvard students before expanding the platform.

The initial prototype of Trello was a basic card and board interface that allowed users to organize tasks. This prototype was tested with a small group of users to refine the user experience before launching the full product.

What is an MVP?

Main focus: Functionality
Question to answer: Can this product meet user needs?
Key deliverables: Minimum feature set, user feedback, product roadmap

An MVP is a version of a new product that includes only the essential features necessary to satisfy early adopters and gather feedback for future full-scale development. Its primary objective is to validate the product concept in the market while minimizing development costs and time.

In contrast to other product validation conceptions, an MVP is focused on delivering a real product to real users. This allows teams to assess how well it addresses the audience's needs and preferences, providing insights that inform further iterations.

The MVP embodies the essence of the product, stripped of all excess, yet it contains a powerful killer feature that is essential for achieving true triumph. While it doesn't need to be polished, it should be operational enough for users to interact with, allowing for genuine feedback.

Why choose an MVP

Developing an MVP is a perfect option when you want to enter the market quickly and validate assumptions about user needs and product functionality. It enables teams to test hypotheses not about the realization itself but about customer behavior without investing heavily in full product development.

An MVP is particularly useful in the early stages of a startup or new product line, facilitating rapid learning and adaptation. Development time can range from a few weeks to a few months, depending on the complexity of the product and the features included, the same as app development cost. 

Use cases

• User feedback: Collecting real user data to refine product features and improve usability.

• Market testing: Validating market demand and identifying the target audience.

• Funding: Demonstrating product potential to investors or stakeholders to secure further investment.

• Iterative development: Facilitating a cycle of continuous improvement based on user insights.

Examples of an MVP

Instagram started as an MVP called Burbn, which allowed users to check in at locations, share photos, and earn points. By focusing on photo sharing, the team quickly pivoted to develop the streamlined photo-sharing app that got worldwide popularity.

Slack began as an MVP called Glitch, a simple messaging platform designed for game developers to communicate. Recognizing the demand for the collaboration tool, the team pivoted to enhance its functionalities, transforming it into the product we know today.

PoC vs. MVP vs. prototype: what is the difference?

“These concepts are not mutually exclusive; often, they complement one another in the development process.

In real projects, a PoC often lays the groundwork for prototyping, leading to an MVP. However, if resources are limited or the project requires investments, teams might skip any or approach only one of them.”

Natalia Ivleva, Lead Business Analyst at SolveIt

POC vs. prototype vs. MVP. How to choose the best approach?

Step 1: Define your goal

Ask yourself what do I want to achieve?

• PoC: You want to test if an idea is possible.

• Prototype: You want to explore design and get user feedback.

• MVP: You want to launch a product and learn from real users.

Step 2: Assess your resources

Evaluate your available time, budget, and team capabilities.

• PoC: Generally requires less time and money.

• Prototype: Takes more resources as it needs design and some functionality.

• MVP: Requires a bigger investment to ensure it’s usable and appealing.

Step 3: Evaluate your market

Research who are your potential users and what they need.

• PoC: Good for innovative ideas where user needs are unclear.

• Prototype: Great for getting feedback on design and usability.

• MVP: Essential when you have a clear user base and want to test market demand.

Step 4: Plan your development

Outline the specific actions needed to execute your project.

• PoC: Focus on demonstrating feasibility (e.g., a simple demo or simulation).

• Prototype: Create a version that looks like the real product, even if it doesn’t work completely.

• MVP: Develop a product with core features to satisfy early adopters.

Step 5: Gather feedback

Focus on collecting input from your audience to improve the product.

• PoC: Share with stakeholders to confirm the idea’s validity.

• Prototype: Test with potential users to refine design and functionality.

• MVP: Launch to users, gather data, and learn what works and what doesn’t.

“After following these steps, you should have a clearer idea of which approach to take. Here’s a quick recap:

• Choose a PoC if you need to prove your idea can work.

• Choose a prototype if you want to visualize and test the design.

• Choose an MVP if you're ready to launch and learn from real users.”

 Natalia Ivleva, Lead Business Analyst at SolveIt

Final words

With eight years of experience with SMBs and startups, we know that validation is key to building a viable product that will be commercially successful and valued by users. We don’t wait for ready-made solutions: instead, we help identify the best approach for your business, whether it’s a POC, prototype, or MVP. 

If you’re unsure which path to take, come to us for guidance. Need a dedicated development team or a complete A to Z service? Contact us for a free consultation!

FAQ: PoC vs. MVP vs. Prototype

1 | What is the difference between a PoC, prototype, and MVP?

A Proof of Concept (PoC) tests the feasibility of the product idea, showing whether it can work in practice. A prototype focuses on design and user experience, allowing stakeholders to visualize and refine the product. A Minimum Viable Product (MVP) is a functional version released to early users to test product-market fit.

2 | What are the key deliverables for each approach (PoC, prototype, MVP)?

PoC key deliverables: project plan, requirements documentation, and a technical feasibility report.

Prototype key deliverables: wireframes, mockups, and interactive models.

MVP key deliverables: minimum feature set, user feedback, product roadmap.

3 | How do PoC, prototype, and MVP influence the development stages?

A PoC is typically a quick and low-cost initial step to validate technical assumptions. A prototype is more resource-intensive and focuses on user experience, helping refine design before development. An MVP requires a larger investment as it aims to deliver a functional product to early adopters for real-world validation and feedback.

4 | What are some real-world examples of PoC, prototype, and MVP in practice?

Proof of Concept (PoC). Dropbox launched a simple explainer video showcasing the core functionality of file sharing and storage, which helped prove user interest and validate the concept before further development.

Prototype. Facebook created "Thefacebook," a basic version of the social network that included user profiles and friend connections, allowing feedback from Harvard students before expanding the platform.

Minimum Viable Product (MVP). Instagram initially started as Burbn, an MVP that allowed users to check in at locations, share photos, and earn points. The focus on photo sharing led to a successful pivot to develop the streamlined photo-sharing app that became world-famous.