What is a Proof of Concept (PoC) and why does it matter?

Have you ever had a brilliant idea for a new app, software tool, or process improvement, only to find yourself halfway thinking, “Does this actually work the way I imagine?” Then you’ve already, perhaps unconsciously, considered a Proof of Concept. In this article, we explore what a PoC actually is, why it’s such an important part of software development, and how to use it smartly.

What is a Proof of Concept (PoC)?

A Proof of Concept, or PoC, is a small-scale test version of an idea to examine its feasibility. It’s not a fully developed app or complete web application, but a simple test setup that shows the core functionality works.

You use a PoC to answer questions like:

• Is the technology behind my idea really viable?
• Do users understand how it works?
• Is there actual demand for this product or service?

A PoC isn’t about perfection. it’s about proof. Proof that your idea is more than just a cool concept in your head.

Why is a Proof of Concept important?

1. It prevents large investments in something that doesn’t work

A PoC quickly shows whether an idea is viable. Imagine investing €50,000 in software development, only to realize six months later that no one understands your solution. A PoC reveals that risk in just a few weeks and for a fraction of the cost.

2. It gives you faster feedback

A PoC can be shown to customers, users, or colleagues. Their responses help you improve or adapt the idea before you begin full-scale development.

3. It convinces investors or stakeholders

Whether you’re looking for funding or internal support, a working PoC speaks louder than a thousand words. People want to see that something works. Not just hear that you think it will.

4. It helps you avoid failure costs

Early testing prevents expensive fixes later in complex systems. A mistake discovered late in development is far more costly to fix than one found during the PoC stage.

When should you use a Proof of Concept?

A PoC is ideal when:

• You’re using new technology you haven’t applied before.
• You’re proposing a workflow that deviates from the norm.
• You want to prove your approach is faster, cheaper, or better.
• You’re unsure whether users understand or need the concept.

Especially in custom software development, a PoC is extremely valuable. Clients often don’t know exactly what they want until they can see and test something tangible. A PoC helps clarify expectations together.

What does a Proof of Concept look like?

A PoC doesn’t have to be pretty. In fact, it can be messy. As long as it proves one thing: the idea works.

Examples include:

• A simple web page with a form that stores submitted data.
• A dummy app that sends a notification.
• A test API linking two systems.
• An Excel sheet showing a new calculation tool produces faster results.

The difference between a PoC, Prototype, and MVP

You’ll often hear “Proof of Concept,” “prototype,” and “MVP” used interchangeably, but they’re different:

• Proof of Concept: Tests whether the idea is technically and functionally feasible.
• Prototype: Demonstrates what the product could look like, focused on experience and usability.
• MVP (Minimum Viable Product): A minimally functional product that’s launched to gather real-world feedback.

In short:

• PoC; does it work?
• Pprototype; does it look good?
• MVP; do people want to use it?

Tips for a successful PoC

• Limit the scope: Focus on answering one core question. You don’t need to show everything in a PoC.
• Work fast: A PoC should be done in days or weeks, not months.
• Involve users: Let real users test it and give honest feedback.
• Document your findings: What works, what doesn’t, and why. That’s crucial for next steps.

Examples of Proof of Concepts in software development

• Testing an API connection: You want to link Exact Online to your webshop. Create a quick PoC to see if the APIs can communicate.
• New app functionality: You’re building a smart employee scheduling tool. Build a small app that automates just one task and test it with users.
• Smart inventory management: Build a simple web app that scans and updates stock data. Instantly see whether your idea improves floor efficiency.

Got a great idea? Prove it.

A Proof of Concept can save you a lot of time, money, and frustration. By testing your idea early and smartly, you reduce risk and increase your chances of success. Whether you’re building a new app, web application, or automating business processes: a good PoC lays the groundwork for something strong. So next time you have an idea? Start with a Proof of Concept first!