Proof of concept: what is it & how does it work?

Introduction

Most product introductions fail. Test whether your idea is also a GOOD idea. The sooner you can test a concept to the market through proof of concept, the better. The stage does not matter: only a concept or half-finished product or service is also possible. With a proof of concept you collect valuable data and feedback that you would otherwise not have collected until after the product launch. This can prevent a huge cost. After all, people tend to exhibit behavior in line with previous decisions. Make better decisions by verifying your idea.

What is a proof of concept?

In product development, Proof of Concept (POC) is a way to find out in a structured way whether a concept or idea will work as conceived. POC helps to discover obstacles and risks in time. And thus prevents expensive mistakes.

Proof of Value (POV) looks at the potential (market) value of a concept or idea, from the impact it can have on the organization. Such as development costs, expected revenue, long-term financials and TCO (total cost of ownership, including maintenance and marketing).

In both POC and POV, an important question is whether the concept fits the organization's strategic goals and success criteria.

Formulate clear objectives

A good proof of concept starts with formulating clear and concrete objectives (smart). Instead of focusing solely on technical feasibility, this is about testing market interest, customer need and buying intention. The objectives should be measurable, but because the product or service cannot yet be sold, other signals will be used as predictors of future sales. For example, consider obtaining positive user feedback, such as leaving an e-mail address to learn more or placing pre-orders.

By explicitly naming these goals, it becomes possible to unambiguously assess after the fact whether the concept has enough traction to justify further investment. Clarity prevents confusion about what counts as "success," both internally and toward potential investors or stakeholders.

Approach

The approach to a commercial proof of concept focuses primarily on rapid and targeted testing of market relevance. This involves first sharply defining the target group, followed by developing a minimal representation of the concept that is suitable for gathering feedback from the market. This can range from an interactive demo to a landing page with conversion measurement. The focus is on creating a realistic user experience that provides sufficient context for evaluation, without investing in full product development. In parallel, a clear schedule is established with short feedback loops so that insights can be incorporated immediately.

Methodology

The methodology focuses on collecting quantitative and qualitative data to substantiate market fit. Think A/B testing, interviews, user testing or measuring behaviors through analytics tools. A combination of these methods makes it possible to map both intent and behavior. The choice of methods depends on the type of product and the stage of the idea: for a new concept, testing problem recognition through interviews may be more effective than conversion measurements. It is important to determine in advance which signals will be accepted as evidence of interest or potential, and how they will be analyzed.

Analysis and evaluation

The analysis and evaluation of a commercial proof of concept is all about objectively interpreting market data in relation to pre-set goals. It is important to look not only at raw numbers such as clicks, subscriptions or conversion rates, but also at the context and motivation behind user behavior. For example, high interest without willingness to pay indicates a concept with appeal but no immediate market value. Evaluation here also means mirroring assumptions against reality: are the assumptions about the target audience, problem or value proposition correct? This phase calls for critical reflection - not only to recognize success, but also to uncover weaknesses that guide possible next steps such as readjustment or repositioning.

Online concept validation?

Do you have an idea for an online concept but first want to know if there is real interest. Or do you want to strengthen your case before raising money from investors by providing evidence that people are interested? Tasmanic offers the opportunity to research online whether there is a market for an undeveloped service or product. This ensures that investments are not only made based on assumptions and gut feeling but also on hard data.

We create a special landing page in the style of your organization or company on which we pretend that the product or service is already ready for the market. We develop this POC landing page in close collaboration with your project team. We then use campaigns on social media and Google Ads to ensure that the page is seen by the desired target group(s). We take care of everything related to the test: landing page, texts, campaigns, analytics, dashboard and media budget optimization.

We make sure to collect as much data as possible such as number and origin of visitors, visit duration, device used, heatmap and more. Through A/B testing it is also possible to find out in real life what adaptation and variation of the concept yields. All data is presented in clear reports. Contact us to discuss the possibilities.