What is a feedback loop in MVP app development? Everything you need to know

11 min read
March 25, 2024

Building an MVP for your app is one of the best ways you can validate your idea and prove it has market potential.

And setting up a feedback loop is key to creating an MVP that will meet your users’ needs.

But, what exactly is a feedback loop? And how do you set it up?

Here, we’ll talk about that (and more) so you can get it right from the start.

Let’s dive in!

What is a feedback loop in MVP app development?

A feedback loop is the process of continuously collecting, analyzing, and acting on feedback you receive from your users.

Having a feedback loop in place is essential if you want to build an MVP that actually meets your users’ needs.

The sooner you get to the feedback loop, the sooner you can give users what they actually want.

Marko Strizic, DECODE co-founder and CEO

Here’s what a typical feedback loop looks like:

Customer feedback loop

Usually, a feedback loop has 4 stages:

  • Collecting user feedback
  • Analyzing and prioritizing their feedback
  • Implementing changes based on feedback
  • Reviewing their impact and following up with users

Of course, you also need to set key metrics and goals you want to track – we’ll take a closer look at the process of setting up a feedback loop later.

But, what you should take away is this – having a feedback loop will give you a deep understanding of your users’ needs and pain points.

And that will help you build a better MVP.

Benefits of creating a feedback loop for your MVP

Now, let’s discuss some benefits of creating a feedback loop in MVP app development.

Enables faster iteration

Being able to iterate quickly is essential for successful MVP app development.

And creating a feedback loop will enable you to do it faster.

Having a feedback loop in place will help your team quickly make decisions on new features and updates, which will help them iterate faster and get your MVP to market quickly.


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And doing that is essential, especially if you’re targeting a competitive market.

Also, you’ll minimize the risk of these changes failing, too.

With a feedback loop, you eliminate guesswork and build your MVP based on what your users actually want.

And that’s the recipe for a successful app MVP.

Improves user satisfaction

Improving your users’ satisfaction and providing them with a good user experience (UX) is key to a successful MVP.

Having a feedback loop in place is the best way to make that happen.

UX isn’t just another corporate buzzword, either.

A good UX is the foundation of every successful app on the market.

And on top of that, investing in UX gives great returns – for every $1 invested in UX, you get $100 in return.


Setting up a feedback loop will give you direct insights into what your users actually need and value in your MVP.

Building your MVP in line with their needs will increase user engagement and their satisfaction with your app.

And that’s a pretty compelling reason to create a feedback loop.

Improves product-market fit

The point of building an MVP for your app is validating your idea i.e. seeing if there’s genuine demand for your app on the market.

Having a feedback loop in place is a great way to improve your MVP’s product-market fit.

Your users want it, too – 77% of users view brands that collect and accept feedback more favorably.

And achieving a product-market fit is key if you want your MVP to succeed, like Marc Andreessen, startup coach and investor, said:

The only thing that matters is getting to product/market fit. Product/market fit means being in a good market with a product that can satisfy that market.

And here’s Davor Culjak, founder of Resonate, a user research and design company, talking about why product-market fit is important:

But, why does setting up a feedback loop help improve product-market fit?

That’s because with a feedback loop in place, you’ll build an MVP that actually meets your users’ needs and solves their problems.

And that’s exactly what you should be looking for.

How to set up a feedback loop in MVP app development

We’ll now talk about how you can set up a feedback loop for your MVP.

Define key metrics and KPIs

Before you set up a feedback loop for your MVP, you need to define key metrics and KPIs you’ll track.

Like W. Edwards Deming, American economist, said: “Without data, you’re just another person with an opinion”.

And you need usable data to improve your MVP – that’s why you need to set key metrics and KPIs.

So, how do you define your key metrics and KPIs? And which metrics should you track?

A handy framework you can use is the SMART framework:


This way, you’ll set KPIs and metrics for your feedback loop that can help you make data-driven decisions.

And some top metrics you should track are:

  • Engagement rate
  • Churn rate
  • Daily/monthly active users
  • Click-through rate
  • Bounce rate

If you clearly define your key metrics and KPIs, you’ll create a structured and effective feedback loop.

And that’s exactly what you should want.

Key tips

  • Set specific and measurable metrics – every metric you set should be specific and measurable, so you can easily track the impact of any updates you make
  • Choose a mix of lagging and leading indicators – use a mix of lagging (e.g. churn rate) and leading (e.g. engagement rate) indicators to get a comprehensive overview of your MVP’s performance
  • Regularly review and adjust – make sure to regularly review and adjust your metrics and goals so they remain relevant as you build and launch your MVP

Collect user feedback

The point of a feedback loop in MVP app development is to act on user feedback to improve your MVP.

To do that, you need to first set up multiple feedback channels, like:

  • In-app surveys
  • Focus groups
  • Questionnaires
  • Feedback forms
  • Social media listening
  • User interviews

The key thing here is to not just passively collect feedback – you need to engage with your users.

And that’s why it’s a good idea to do user research, too.

Here are some top user research methods you should consider using:

User research methods

This way, you’ll get both direct and indirect feedback and get a better understanding of how your MVP can solve your users’ problems.

And that will help it succeed in the market.

Key tips

  • Diversify feedback channels – you should use both direct (surveys, user interviews) and indirect (social media listening) feedback channels to get the most out of your feedback loop
  • Incentivize your users – offer incentives like discounts or access to premium features if users give feedback
  • Ask the right questions – Use both open-ended and closed-ended questions so you get both qualitative and quantitative insights from your users

Analyze and prioritize user feedback

Once you’ve gathered enough feedback, you need to analyze and prioritize it and turn it into actionable data.

And your first step should be categorizing the feedback you’ve collected into general categories like:

  • Bug reports
  • Feature requests
  • Usability issues
  • General suggestions

If you don’t have a huge amount of feedback to go through, you don’t even need fancy tools other than a simple spreadsheet.

Once you’ve categorized everything, you need to sort the wheat from the chaff and prioritize the feedback you’ll be taking action on.

And to do that effectively, you need to use prioritization methods like:

  • Kano
  • Value vs. effort
  • RICE (Reach/Impact/Confidence/Effort)
  • MoSCoW (Must have/should have/could have/won’t have)

For example, here’s how the RICE method works:

RICE prioritization method

Using these prioritization methods will help you objectively evaluate user feedback and prioritize updates that will have the greatest impact.

And that’s how you build a successful MVP.

Key tips

  • Categorize the feedback you receive – sort the feedback you receive into categories like bug reports, usability issues, feature requests, compliments etc.
  • Use prioritization frameworks – use prioritization frameworks like RICE, MoSCoW, Kano, Value vs. effort to prioritize feedback based on their potential impact
  • Look for trends and patterns in the feedback – look for recurring trends and issues mentioned by multiple users

Implement changes based on feedback

Once you’ve figured which feedback to prioritize, your next move is implementing those changes in your MVP.

And you need to do it right.

For starters, the first updates and changes you make should be the ones with the biggest impact and that offer the highest value to your users.

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But, to do it right, you should use Agile methodologies, like:

  • Scrum
  • Kanban
  • Crystal
  • Extreme Programming (XP)

Of course, you should pick the one your team is most familiar and comfortable with.

But, Scrum is the most popular, with 81% of Agile teams using Scrum or a Scrum hybrid.


And there’s another reason why Scrum is the right fit if you have a feedback loop.

Scrum divides your MVP’s development cycle into smaller (2-4 week) iterations called sprints.

Each sprint is like a mini development cycle and this approach makes iterating on your users’ feedback much easier.

And that will make your MVP better.

Key tips

  • Prioritize high-impact changes – focus on implementing changes that offer the highest value to your users and are more likely to improve user satisfaction
  • Iterate quickly – iterating quickly with small, more frequent updates will allow you to test changes with users and reduce risks of a failed update
  • Keep users informed – you should let your users know you’re implementing changes based on their feedback

Measure and review the impact

Finally, once you’ve implemented your changes, you need to measure and review their impact.

Here’s where the key metrics and KPIs you’ve set come in.

Of course, you need to link every change you make to a specific metric, e.g. “we think adding feature X will increase our engagement rate by 10%”.

Then, once you’ve added it, you know which metrics you should keep an eye on.

Also, it’s a good idea to do A/B testing on the changes you make.

A/B testing

This will show you if they’re having the desired effect and whether or not you have to go back to the drawing board.

Finally, you need to close your feedback loop.

That means following up with your users and starting the cycle again.

And that’s how you always stay on top of your users’ needs.

Key tips

  • Monitor long-term trends – you should keep monitoring long-term trends after every update to see their long-term impact
  • Regularly review with your team – make sure you regularly review the changes you’ve implemented with your team to keep them in the loop about their impact
  • Gather qualitative feedback – you should go beyond the quantitative metrics you’ve set and collect qualitative (user comments, reviews) feedback to get deeper insights

Feedback loop in MVP app development: FAQs

What is a feedback loop in MVP app development?

A feedback loop is the process of continuously collecting, analyzing, and acting on feedback you receive from your users. It’s the best way to ensure your MVP actually meets their needs.

What are the benefits of creating a feedback loop for your MVP?

They are:

  • Faster iteration
  • Improved user satisfaction
  • Improved product-market fit

How do I set up a feedback loop when building my MVP?

The steps you need to take are:

  • Define key metrics and goals
  • Collect user feedback
  • Analyze and prioritize user feedback
  • Implement changes based on feedback
  • Measure and review the impact

Need help building your MVP?

Do you want to get your app to market quickly but don’t know how to start making that happen?

That’s where we come in.

We can take your idea, validate it, and build and launch your product – all in 6 months.

If you want to learn more, check out how we build MVPs and feel free to get in touch with us.

Written by

Ante Baus


Ante is a true expert. Another graduate from the Faculty of Electrical Engineering and Computing, he’s been a DECODEr from the very beginning. Ante is an experienced software engineer with an admirably wide knowledge of tech. But his superpower lies in iOS development, having gained valuable experience on projects in the fintech and telco industries. Ante is a man of many hobbies, but his top three are fishing, hunting, and again, fishing. He is also the state champ in curling, and represents Croatia on the national team. Impressive, right?

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