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How To Make A Great Value Proposition For Your Business?

By on Mar 5, 2017 in Business Creation

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With the modern technologies, possibilities to open new startup are growing. Startups are also rapidly acquiring more chances to enhance audience and improve their products. For those companies that have been around for years, there are also many options to hit the top if they are ready to embrace technological revolution that has been happening since the 2000s. It’s time of the amazing opportunities.

Here and there you can hear something like “everything is possible”.

A lot of motivating stuff look at you from almost every website you enter. But if you have got to think about your own business, you may find a place for skepticism there.

There’s a lot of enterprises that are providing similar services or making products that remind each other a lot. So what it the secret?

The answer is to do it differently. This is why thousands of people may want to buy shoes in an exact store and would never look at the nearby one. The one that has appeared at the top has something unique that tells it apart from the scope of similar shops. Understanding it roughly means to overcome a half of the road to the success. This is why I would like to focus in this article on the unique value proposition – the key thing that would make your customers prefer you to the hundreds and thousands of your competitors.

 

unique value proposition

 

How it may work

 

Customer value proposition is what should be associated with your company at first instance in the minds of your customers. You need to do everything it takes to create this strong association between your business proposition and what your customers need. To clarify the importance, I want to provide you with a short excursus in the way associations work.

You may have been advised in school to create association when learning something. Especially when the subject was unnaturally complicated for your mind. You had to take something difficult (that you wanted to keep in your memory) and connect it to something easy with a sense line that was known only to you. It could be funny and didn’t make actually any real sense but a small work that your brain made even the most difficult for understanding subjects stay in memory.

This is not a trick. No, it’s how the human brain works. And how it has developed. We understand things in terms of other things.

It helps our brain to organize information into the proper chunks and retrieve when it’s needed.

Making associations is like putting information on the shelves that are placed in a tight dependence with your needs. If you’re making it explicitly it means that you are forcing your mind to put information on the exact shelves where you would like it to find.

In business marketing, it’s important to realize how associations work and how useful they can be. Strong association means that retrieving one thing from the memory involves immediate calling another thing that is connected (by means of the association) with the first one. Advertising aims exactly at creating strong associations between the kind of the product people may want to buy and the brand.

 

startup value proposition

 

The unique value proposition of your company may become the thing that is associated with a certain kind of services/products or customer’s need. What does it give you? An advantage, of course! Every time your customer or prospect would think about acquiring something that is related to what you provide, he/she would recall your company. Of course, making it happen isn’t a simple task as it involves strong and wise strategic planning. But the key to making it would always be your unique value proposition.

 

Where to start

 

Think about unique value proposition in terms of motivation you would like to provide your customers to purchase your product. It should strictly reflect the main benefits your customers get while preferring your product over others. Try to express in the most engaging way why should all buy from you but don’t overstuff it with more words than needed.

Never forget to highlight the costs. Customers always pursue a kind of harmony between quality and costs of the product. Motivation to buy anything always lies on the intersection of benefits and costs. Just keep in mind that in marketing, value proposition always relies on the both sides – advantages and spendings, which should be obviously advisable. Don’t make your customers guess why the price is like that or like this – instead, make it clear by reflecting it in your unique value proposition.

Keep in mind what we talked about earlier – associations. To help prospects and customers create a special association in mind between what you offer and what they need, be careful with where you place unique value proposition. Be sure it won’t help if you just write it on the page something like “About us” – the one nobody usually looks at. Therefore, you need to place it where the attention of your website visitors appear at first. Also, if you leverage target advertising, don’t miss an opportunity to insert it there.

This is what you need to keep in mind while creating the customer value proposition:

  1. Clarify what your customers receive and make sure it’s easily understandable by your target audience
  2. Come up with the comparison (people can see difference only in the relation)
  3. Keep it brief

 

Get your hands on

 

I won’t lie to you just to make the pill sweeter: creating customer value proposition is difficult. It’s not about inventing catchy slogan or appealing title – it has to reflect whole business proposition in the appropriate for your target audience words. It’s deeper than marketing strategy as it should describe what stays behind technical steps. Let’s try to create a plan of the main steps you need to take:

1. Find out what your target audience is

You know it’s what business marketing should start with, a very important thing that is never missed by any marketing guides. Your target audience consists of people whom you expect to buy from you. They may have certain features that unite them. It can be a field of work, age, gender, nationality, location, interests, etc. To figure out what those features are you need to perform a sort of analysis that results in creating buyer persona.

 

buyer persona for effective marketing

 

Buyer persona will help you to define what language to use and what references to insert in order to help people create strong associations in their minds.

2. Define your strong sides

You have a bunch of strong sides. Defining them is one of the essentials of creating a successful marketing strategy. Sit down and think about it. Try, to be honest. What is the best thing you can do for your customers? What is that exact point you are doing really your best to satisfy the needs of your audience? To get the point as objective as possible, ask your colleagues to do the same.

 

swot analysis for business

 

Also, what you can take use of is SWOT analysis. Among the strong sides, your company possesses you may be able to find certain advantages it provides the customers by means of the products.

3. Get to know your competitors and compare

Another important thing without which your marketing strategy is impossible is awareness of your competitors. It’s not about knowing just the names of the potential ones. You need to understand what your advantages over them are and where you still need to reach them. After you get to clearly see it, you will find easier to reflect your benefits (on the background of your competitors) in your customer value proposition.

 

marketing competitor analysis

 

The most common practice in business marketing that enables you to get to know competitor companies on the most profound basis is competitor analysis. It takes time but yields results that help along the whole road.of strategic planning and communication your business proposition.

4. Combining

Now, when you have a clear vision of your audience, competitors and your benefits, you can bring them together in your unique value proposition. Think about your mission or the one you would want to become yours. Try to express your unique value proposition by combining what you have and putting into the frame of your mission. Take your time. The perfect one won’t appear at once. Write down as many as you need. Then, pick the best ones and work on them to come up with the one you were

 

The frame of customer value proposition

 

1. Title

Make sure that it communicates the main benefits your customers can expect from purchasing your offer.

2. Subtitle and/or paragraph

Explain your customer value proposition. Keep it brief and pointful.

3. Bullet points

Emphasize on the certain advantages or features. Additional visuals (video or image) would be a plus if they do help to catch up with the whole idea.

Remember just as everything in marketing, value proposition needs a consistent approach.

 

Summary

 

In marketing, the value proposition is one of the essentials on the road to success. It’s very difficult to sell until you realize what your unique value proposition is. In other words: what are the benefits you can offer to get an undoubtful advantage over your competitors. Successful marketing strategy often springs from the unique value proposition as it communicates all its sides and shows how all of them are reflected in the product.

 

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