A value proposition states why a customer should pay money for your product and service. Therefore, in order to define a value proposition for your product or service, it is important to get inside the minds of your intended customers.
Value propositions are a promise of value to your customers. This promise is based on trust. If they buy your product, and the promise you made turns out to be false or misleading, you will have lost that customer forever. Only promise what you can realistically deliver.
To craft a powerful and unique value proposition, you must first answer a few questions. Most importantly, what will be the end result for your customer? What kind of need does your product or service fulfill? Will your product or service help a customer’s business, home, or love life?
To find this out, ask your current clients what makes your product or service valuable to them. If you don’t have any current clients, try to ask customers of a similar product or service. Why would they choose your product or service over a competitor’s?
When creating a value proposition, focus solely on the target customer. Forget about your boss, suppliers, or other partners in the process. Never forget that your product or service is ultimately there to serve a certain segment of the population, even if others are involved in the creation, marketing, or money-making processes.
There a couple different approaches to writing a value proposition. The simplest way is to list all the benefits your product or services claims to provide. A more effective way is to compare your product or service with your competitors’ and highlight the ways in which your product or service is superior.
It is critical to figure out what are the most important attributes of your product or service. That is, what is it about your product or service that most appeals to your customers? Once you have found these most valued attributes, you know what to focus your attention on when creating a value proposition.
In an article called “Why They Should Buy”, author Kirsten Korosec says it is important to take your value proposition and turn it into a meaningful marketing slogan for your customers. Often when we create value propositions, they are in “company speak” and may not connect with your target clients.
Effective value propositions are good for marketing because they are short, simple, and appeal to the customers’ core needs. You want your customers to understand, believe, and remember your value proposition.
John Bradley Jackson
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