How to Develop a New Software Product?

Updated on Mar 19th, 2024


Without a doubt, the process of building a software product is extensive and difficult. 

Presently, software technologies are used in almost every industry and type of business worldwide. However, every startup faces a number of difficulties as they go through the ideation and product launch phases in order to build reliable software. Therefore, we have chosen to compile the best practices for building software products.   

This blog will offer you everything you need to know about building new software products and the procedures involved in the process.  

But first, let’s talk about, 

Top Types of Software Products!

Software products come in a variety of forms depending on how and why they are developed. The main types of software product are: –  

  • Generic software product – Generic software products are those that were built with the intention of being sold to anybody who was entitled to purchase them without being tailored for any particular buyer.  
  • Custom software product – Software products that were created specifically to meet the needs of a certain business. Custom software can be built from the start by gathering all requirements of the customers, assessing them, and developing them using different software development process models. 
  • Embedded software product – Products for embedded system software are used to control machinery and equipment via communication networks, as well as industrial robots, automobiles, and other devices.  


As you’ve seen, the top types of software product. Now, let’s move forward and discuss, 

How to Develop a New Software Product?

The steps involved in developing a software product are the same as those in developing any other kind of product. It begins with gathering information about and assessing demands, followed by design, development, testing, product launch, and support & maintenance.  

Before beginning the real software product development process, we have compiled a list of essential stages. Check it out!  

Start with a planning phase 

Discussing, evaluating, and confirming the client’s idea is the first step in the development of a successful custom software product. 

The first and most crucial phase in developing a software product is proper planning, which entails determining the project’s scope, outlining how the new software system will achieve the goals of the business model, as well as addressing cost-related challenges, resource availability, and timetables. When planning is complete, you ought to have the information needed to build a high-level scope of work. Also, you can get help from a top software product development company.  

Do a competitor analysis 

It’s so important to conduct a competitor analysis. By doing so, you may determine the software product’s potential audience and incorporate the necessary functionality. So, before developing a software product, make sure to research your competition. Also, try to answer the following questions: 

  • What are the goals of your product?
  • Who are the software product’s intended users? 
  • Do users of products search for ones similar to yours? 
  • Who are your main rivals? 
  • What are the features & functionalities that they’re offering? 

You can learn more about the market need for the software you’re building by answering such questions, which will also enable you to fill any gaps left by your competitors.  

 Find the right development partner 

You will certainly wonder how to turn your idea into reality at the outset of any new software product development process. Where can I locate seasoned experts, and how do I set up a team for development? We know how difficult this decision can indeed be! 

In order to develop your software product, you need to hire the right development partner like: 

Team of In-house developers 

A group of professionals called in-house developers will work for your company. You will oversee the entire process, from hiring to growth strategies. Putting together a team won’t be quick, so you must have a plan and all the appropriate skills. When working with an internal team, you have complete control over the procedures the development team employs to ensure the success of the project.  

Benefits of hiring a team of in-house developers: 

    • Full control 
    • Easy & effective communication 
    • No language barriers 
    • Increased agility 

Dedicated developers 

It is far smarter to hire dedicated developers for your software product development project rather than using others. Employing dedicated developers offers flexibility in every manner. First of all, you may decide whether to recruit them as an addition to your own IT development team or to assign them one single project that they can complete totally on their own.   

There are many benefits of hiring dedicated developers like: 

    • Huge set of skills 
    • Access to wide talent pools
    • No-fuss hiring 
    • Cost-effective approach 
    • Effective communication 

Enterprise Software development company 

Work with a reputable company that offers custom enterprise software development  and can handle the technical aspects of your project from the development to the deployment phase. The benefit of hiring a product development company is that because they have a team of versatile developers, they are better at some things than others. Working with skilled multidisciplinary developers and hiring software product development services can assist you in finishing quick projects, lowering hiring costs, and accelerating the development process.  

The top advantages of partnering with software product development companies are: 

    • Less hiring stress 
    • Access to experienced developers 
    • Scalability 

Staff augmentation services

These services aid in finding skilled developers where they are difficult to find. Staff augmentation services give direct access to these professionals, wherever they are in the world! By collaborating with a staff augmentation company, you can have access to IT specialists with the highest level of proficiency for the position, bringing their complete expertise to the business. It helps you avoid the hassle of employing new employees and makes it simple to scale up and down your workforce, giving you greater quality control, direct communication, and increased transparency between the multiple groups.  

Apart from the above benefits, some other benefits of this approach are:  

    • Full control adaptability 
    •  Lower operational costs 
    •  Access to a wide talent pool  
    • Quality assurance  
    • Faster project development 


This stage covers planning for usability, interactivity, and graphic rendering. It enables design teams to design and simulate products to develop more original designs and more precise digital prototypes. Additionally, prototyping is a phase in the software product development process that occurs between conceptualization and implementation. It resembles a product mock-up very much. Prototypes resemble the original iterations of a finished product. Making a prototype will enable you to test and refine your product until it satisfies the required criteria.  

Build MVP 

The development of the minimum viable product is the most important step in the process of developing software products. An MVP is a most basic version of your product with simplified functionality. You’ll be able to make corrections to your product to better suit the needs of your customers. Therefore, the goal of MVP is to create a usable product with the least number of resources. Also, it’s beneficial to partner with top software product development companies to build MVP in less time & money. As a leading provider of software product development services, Matellio always advises clients to consider starting their projects with an MVP. A new software system’s integration is not necessarily an easy and quick task. The same solution, MVP, but with much less capability, demonstrates how appropriate and practical the solution actually is and what adjustments need to be made in order to meet all requirements.  

Read More: MVP Development for Startups

Do test your product 

The software product development team needs to test every feature and address bugs or issues before proceeding to the deployment stage. The product will undergo a quality assurance process once it is developed, followed by system testing to evaluate and enhance its compatibility with various hardware and software.  

The Quality Assurance (OA) team performs a number of tests, including user acceptability testing, functionality testing, and system integration testing. This is done to ensure that the code is clear and that the solution’s business objectives are satisfied. The software application gets deployed if there are no longer any issues with it.  

Launch the product 

The software product can be deployed after it has successfully completed the testing stage. The initial version of the product is released and made available to the public after it is finished. During this stage of software product development, changes that are necessary due to user input or any issues that were missed during the testing phase can be fixed and implemented.  


The process of creating software products ends with maintenance. To keep the software operating smoothly, it also entails software updates, upgrades, and refining. To ensure the product runs well and better matches customer demands, additional functions may be implemented during the maintenance phase and in response to user feedback.  


Due to the varying demands and details of projects, the software product development life cycle has several stages and aspects that are dynamic. Project execution and software development will be more fluid if you follow a set software product development approach, as described in this blog.  

However, if you have any questions, for example, how much do services for software product development cost, feel free to ask. Feel free to discuss all of your concerns with our specialists, including why an MVP should be developed before a software product is built, among others. 


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