Starting any project always comes with some risks. No matter how awesome your idea is, there’s always a chance it might not work out. Sometimes, people get so fired up about their work that they don’t see the obvious problems. Skipping out on checking out the risks can pretty much doom the whole project. So, it’s smart to come up with ways to spot potential issues early and figure out how to fix them.
Why can a product fail?
A product can fail for a variety of reasons, often stemming from a mismatch between what the product offers and what the market actually needs. Sometimes, even if there’s demand, poor design, bad user experience, or ineffective marketing can turn potential customers away. Other common issues include pricing that’s too high compared to alternatives, lack of differentiation in a crowded market, or failure to adapt based on customer feedback. Ultimately, no matter how innovative a product might seem, if it doesn’t solve a real problem in a way that resonates with users, it’s likely to struggle.
Let’s highlight the most common mistakes.
Wrong Market Analysis
The first thing to understand is how your product can be helpful for your user. According to some reports, 42% of startups fail because the market does not need the product.
To make sure that your product will be helpful, you need to answer the following questions for yourself:
- What problems can your product solve?
- Who will benefit from it?
- How exactly does your product solve problems?
- How do people try to solve these problems before your program is released?
Your product can solve a significant problem, but few people face it. It leads to the fact that the project does not pay off due to a small number of potential customers.
Setting unrealistic deadlines
Experts may advise you to create a roadmap before starting work on the software, where you can set the deadlines for completing specific tasks and the approximate time for the project to be released.
You should not set too narrow a framework; most likely, you may encounter some problems in the work process that will slow down development. If you don’t release a project on time, it may raise questions from your investors and potential customers, but removing a product unfinished or testing is a ticket to nowhere. Give yourself a little extra time so that you can adequately check everything.
Unfair testing
The testing application guides state that it is impossible to release a quality product without tests. Follow checklist-based testing allows you to identify the slightest errors that may affect the program’s functionality or the user interface. If a low-quality product falls into the hands of users, they will not use it and will make a considerable amount of anti-advertising.
Misjudgment of human resources
To develop high-quality software, you need to involve a team of professionals. In addition, you can delegate part of the work to novice freelancers because they are ready to work for a minimal fee, and in some cases, for free.
Recruitment is of great importance in all areas, and in the IT field, it can play a decisive role. The more qualified a specialist you need, the more you will have to pay him.
Another critical point that concerns the personnel issue is team management. You need a person who will logically distribute tasks among team members and control their implementation. Please do not wait for the specialists to be able to organize themselves.
Choosing the wrong technology
Before you start working on a project, you need to consider what technologies you will be using. Today, there are many platforms on the web that help you create any product faster and more correctly, but you need to consider how appropriate it is to use different tools in your work.
In addition, you should not use older versions of programs. There is always a chance they will not be combined with newer versions and give a decent result.
How can risks be reduced?
Risk reduction is a rather complex process that should be systemic. You will:
- Identify risks in the early stages of development;
- Communicate risks to the team and investors;
- Prioritize risks;
- Understand the reasons;
- Develop a comprehensive risk mitigation plan.
It should be understood that there are standard risks that will be fair for all projects and personalized ones that depend on the specifics of the project. At the planning stage, you need to study the market, understand what problems your product may face, and a quality audit can help you follow a pre-determined strategy without any deviations.
All team members must understand the likelihood of failure and be committed to avoiding such a scenario.
Write down all the risks in one table and understand which of them can significantly affect your product and which ones will only spoil your mood.
The next step is to develop a comprehensive risk management plan. It should include a list of specific actions you will take to prevent the project from failing.
A good solution would be to conduct static or dynamic testing regularly. It will allow you to understand how the project is developing and whether there are any problems or deviations from the plan.