A value proposition is a promise to your potential customers.
Think of it like a very first handshake. This is your initial contact with your customers.
This early interaction must contain all the benefits you can bring to the person on the receiving end, the person you are selling to.
It tells them who they are shaking hands with and why they want to get to know you better.
Your value proposition should say exactly who you are and what you do and why your potential customers need you. It is your way of being first in the queue when someone is looking for your particular service or product.
You are surrounded by competition and if done right, your value proposition puts you in front.
A value proposition is basically you telling your customers what your value is, why it is unique, and why it is better than your competitors.
So, this is a promise of a value yet to be delivered. This is your very first handshake. So, you’d better make sure it’s accurate and you’d better make sure it’s good!
The first thing you need to understand before crafting an effective value proposition is, who are your customers.
Understanding who you will be talking to is vital and this will help you to shape your value proposition appropriately. Many businesses fail at this first hurdle because they don’t want to shut out any portions of society or focus on any one group of people.
But the truth is, you can’t please everyone and if you do focus on who your target audience is you can also focus on keeping them happy and keeping them coming back.
Talk to your customers. This should be how you are building your business anyway, from the customers up, but by talking to them you can identify pain points and then make sure your value proposition addresses how you will solve these.
Next, you need to really understand your business. This might sound obvious, but have you ever tried to explain to your friends just what makes your business unique?
It’s not always as easy as it might sound.
But get that simple message honed and you know exactly who you are as a brand. And then you can sell this brand to your customers.
This is about your vision. Why are you in business in the first place? What did you want to achieve? What do you do that people need and want, and how do you do it better than everyone else?
You should be able to craft this message so it’s simple and easy to understand. Think of it as a first impression, and make sure you get it right.
Customers are your driving force and should always be at the centre of what you do, but it’s also important that your employees understand this too, and that they understand your value proposition.
If your customers are all aligned around the same value proposition, your employees should be too.
At Comurce we can help you do this by allowing you to share between project boards and departments just what your value proposition is and why it’s so vital.
Once you have created your customer personas, using Comurce, and you understand them you can share these personas across project boards.
This means when updates are made, and they will be as your business grows and reacts, everyone stays in the loop and learns at the same pace.
Doing this means individuals and teams maintain alignment. This not only puts your value at the centre of your business, it also keeps the customers there too.
So, you’re ready to write your value proposition. Not quite.
There’s one last thing you need to do before you begin, and that is to research and understand your competitors.
As stated above, you can learn a lot from successful value propositions, but you also need to make sure yours is offering customers something that persuades them you are the ones to run with.
Make sure your value proposition is offering your customers better benefits and that you stay ahead.
And be prepared for your value proposition to change as the market changes.
Your business is a constantly evolving animal and you need to be ready to change and grow.
Your value proposition should include the specific benefits customers can expect from your service or product, how your product or service solves problems, what makes your product or service unique and why customers should buy from you instead of your competitors.
A good value proposition will communicate your brand’s promise clearly and concisely. You need to get to the nub of who you are, what you do, and why you are better at this than the rest. If you look at some famous and successful brands you’ll see how their value proposition gets straight to the point, is succinct, and confident.
The presentation of your value proposition is vital. Remember, this is the thing that will hook your customers, so you need to be direct. Your value proposition is going to be one of the first things customers see on your website’s home page. A large block of text is often off-putting, so break it down and offer the information in bullet points. And, sometimes, short is sweet.
Good value proposition examples come from the likes of Apple, Spotify, Uber, and Facebook. These brands have succeeded in understanding who they are, what they do, and who they are selling to, and they know who to present that. If we look at Spotify’s value proposition, we can see that it states 5 main values – price, accessibility, performance, customisation, and brand.