Are you offering your customers the value they deserve? For success in today’s market, you need to be different to make a difference. The one characteristic you might notice about most successful companies is the fact they have some type of value proposition that makes them different.
A value proposition is defined as a promise of value to be delivered and acknowledged and a belief from the customer that value will be desired and experienced. It’s simply a statement, which tells a customer why they should buy your product or use your service. Normally this statement will try and convince a potential customer that your product or service will add more value than your competitions.
So, why should a customer buy from you? If you are having trouble answering this question, you might want to spend a little time working on a statement that tells, “Why your company is the best choice.”
Have you ever heard of the term “Elevator Speech”? This is where you can describe what you do in thirty-seconds or less. If you have something like this, this might be a good starting point for your value proposition.
To get started, you are going to need some help. I recommend getting together with your key people and get them to assist you in developing it. When beginning this process, you will need to ask yourself a few questions:
- What’s my target market and what does my customer look like?
- What does my product or services look like?
- What is the benefit of my products or services?
- What makes me different or unique in marketplace?
One important thing to remember is that your value proposition must clearly describe your desires and it must communicate what makes your company different from your competition. Keep it short and simple—two or three lines at most. If it’s too long, do what you can to shorten it and remove any unnecessary words. You may even want to review some other company’s value propositions to help you get started. Here are a few examples I found:
- BidSketch – “Create professional client proposals in minutes.” It clearly offers a way to create professional proposals fast.
- Square – “Start accepting credit cards today.” Great example of being able to accept credit cards on the go.
- Trader Joe’s – “We shop the world for you.” It implies a promise of exclusive products and a variable assortment.
Now one thing you need to realize is that a Value Proposition is not a slogan. A slogan is a memorable motto or phrase used as a repetitive expression of an idea or purpose like:
- McDonalds – “I’m lovin’ it”
- Nike – “Just Do it”
- Harley Davidson – “American by Birth, Rebel by Choice
These are easy to remember and are probably some of the most well-known, but they really don’t state a clear message of what they do.
One thing that you may start to notice after you do some investigating is that some companies will reinvent themselves after they develop their value proposition. You might even have to change some of the things your company is currently doing to reach the success level you are trying to achieve.
A value proposition is a great way to get your entire team aligned and become the standout company in your marketplace.