In the world of digital design, the Double Diamond model is most commonly used to describe the product development process. It represents perhaps the clearest depiction of how to optimally approach product development. The first diamond represents the process of exploring an idea, and the second focuses on the targeted creation of a solution.
I covered the first phase, the exploration of development ideas, in a previous article. During this phase, the product team evaluates each idea through a combination of qualitative and quantitative methods. The outcome of the exploration is a comprehensive understanding of the idea, including a set of confirmed problems and opportunities, and even prioritization of ideas. Today, we will look at the second phase—how to determine which of these ideas are worth incorporating into development.
How to validate product ideas
Product development ideas should always be validated with respect to your original intent. Validation should be examined from these four aspects:
- Do you want to introduce a new service but are unsure if there will be demand? Validate market demand.
- Do you want to change the functionality of an existing product and are unsure if it is feasible? Validate feasibility.
- Do you want to verify whether a newly designed conversion method makes sense to customers? Validate solution approach.
- Do you want to know if your new design will generate more conversions? Validate solution performance.
Clearly define the idea's goal, the opportunities it opens, and systematically confirm (or disprove) individual possible solutions.
Let's look at a simple example:
Idea Definition
[What] What are we solving? What key problem or opportunity does the proposed idea address?
Add the option to pay with Bitcoin in our e-commerce store. We want to be perceived as a progressive e-shop and potentially capitalize on the high value of cryptocurrencies, given that their value increases over time* (*or maybe it doesn't, this is just an illustrative example).
[Who] Who is affected? Who is the target group in this case?
All e-shop customers, but primarily targeting tech-savvy or progressive customers.
[Why] How will we know if we have successfully solved the problem? What exactly do we expect from the idea, and how could we measure it?
Given the high transactional costs of this idea (high cryptocurrency volatility, complex integration into internal processes, security, and reputational risks), we need to estimate whether implementing this feature is worthwhile (what the demand for it will be) and under what conditions we would want to keep or maintain it.
Idea Validation
In this case, we need to identify demand for Bitcoin payments. We create a Fake Door Test and measure whether we achieve at least a 10% CTR when selecting the payment method.
Techniques for Idea Validation
So how do you validate the different aspects?
1. Market demand validation
Fake door test
The goal of a "fake door test" is to determine whether a solution is viable and whether users are interested in it. You integrate a clickable option for the new feature into the existing customer journey. However, the feature does not yet exist, and when users click on it, they are transparently informed that it is still in development. During the test, you measure the CTR (click-through rate).
Landing page test
Create a landing page showcasing the new service or product. Explain its benefits and prompt customers to take action (call to action). Then drive as much traffic as possible to the page within a set budget and measure the conversion rate. The rate should be at least at the level of your usual conversion rate.
Recruiting early adopters
"Earlyvangelists" can be helpful in idea validation. When planning a new service or product, assemble a group of 6-8 enthusiasts who will provide feedback on a test version. They are a valuable source of regular feedback and likely a gateway to more customers.
2. Feasibility validation
To validate feasibility, you must first gather and analyze requirements and constraints to understand implementation complexity and potential risks. Then, conduct testing on a small sample of users to reveal technical and business risks and determine implementation difficulty. After evaluating the data, propose an optimized implementation plan along with risk mitigation strategies.
Example: Changing the order of search results based on different product scoring parameters in an e-shop (e.g., older products with higher stock availability appear higher in search results).
3. Solution approach validation
Prototypes
The purpose of prototypes is to quickly verify the feasibility of a solution. Prototype validation typically includes:
- First impression test (does the solution address the problem?)
- Usability test (can users complete the task?)
- Value test (does the solution have proven value for the user?)
- Value discussion (under what conditions would the solution be valuable to the respondent?)
Prototypes should be tested with minimal time and investment. Sometimes, even validated prototypes fail in real operations.
Wizard of Oz
Provide the service as if it were functioning, but perform all the work manually in the background. This method allows you to realistically test how users would interact with the real service without fully developing it. Users should not detect the trick during testing.
4. Solution performance validation
Conversion Rate Optimization (CRO) is more of a company culture question, but for businesses with at least 1,000 conversions per month, A/B testing design changes in performance channels makes sense. The goal is to prove that the new solution is statistically better or at least does not worsen performance.
A/B Testing is one of the more expensive methods in Product Discovery but is still cheaper than implementing a non-functional or suboptimal solution. Live Data Prototypes can also be used for performance validation. However, this requires implementing the solution and testing it in live operations with a limited number of users (e.g., 10%).
From ideas to the roadmap
There are many ways to validate a new idea. We have compiled 30 experiments that we use daily. Among them, you will find both complex and simple methods that can help you validate your ideas.
