Being the first isn't always an advantage - there's a nice Harvard Business Review research piece [1] into this. They broke innovation down into 'Market Led', where you create a solution the market wants/needs, and 'Technology Led', where your innovation is novel but the customer needs to be educated. The First Mover Advantage only applied in Market Led situations - for Technology Led solutions, the first mover had to invest heavily in educating the market which subsequent competitors benefited from (without having to make that investment themselves).
Applying this to your bugs and first impression: I would posit that if your product clearly met a market need, some customers would have been willing to work around those issues. If not, then you were educating/convincing them that this innovation was worthwhile and their lack of desire would have made your flaws harder to work around.
Reid Hoffman's great quote was that if you're not embarrassed by your first product version then you launched too late. What I would focus on is whether your potential customers are super clear about the problem they have, and whether you are super clear about how you solve that problem. If it's not a massive need for the market, that's ok, just be aware that your rollout process will take longer and cost more as you invest in educating them. Good luck!
[1] https://hbr.org/2005/04/the-half-truth-of-first-mover-advant...