I advise several teams of undergraduate students in their final project. It is an annual softward-development project that they do during their 3rd year of studies. Most of them develop a web application in a topic they choose. The development proceeds in several phases. One of the final phases, after the application itself is mostly ready, is to give the application to end users (e.g. family and friends), watch them use the application, ask for their feedback, and prepare a report on issues such as: ease of use, enjoyment, user interface, unexpected errors, etc. This report is 10% of the final grade.
Most teams do a pretty good job, but some teams submit a report with generic answers, and I have a gut feeling that they made it up (or, at least, did not do much effort to elicit substantial feedback from the users). This is quite understandable, since they do not intend to bring this application to the market - they just want to get the grade and proceed with their other chores.
My question: how can I incentivize students to take this exercise more seriously?
One thing I considered is: after they submit the report, I can test the system by my own. For every bug that I find, deduct 10% of the grade for this phase. This will incentivize them to test the system thouroughly for bugs. But this does not handle other usability issues that are not proper bugs.
What else can I do to incentivize students to test their system with end-users?