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I have been researching the best value proposition definition. In doing so, I have discovered that very few salespeople see to be able to communicate one and find defining a value proposition difficult here are my other findings.
Your business's value proposition definition is arguably an essential element of your overall marketing messaging. As I stated in other articles, the value proposition definition is an aggregation of your total sales acumen. The better the value proposition definition, the better a sales professional you are, and analytics show that you will earn more commission, but it has to be compelling.
A compelling value proposition definition allows you to interrupt prospects and lets them know they should do business with you rather than your competitors. Making the benefits of your products or services address a persistent problem in your target market.
My research highlighted that many businesses either bury their value proposition definition in buzzwords or meaningless slogans.
Others don't bother it on their marketing campaigns or website. Its not a tag line, like Ford quality is job #1. It's a communication from one person to another that tells someone why they must pay attention to you.
No value proposition fits all the situations all the time. So here is how I build a value proposition definition on the fly.
I begin with its ingredients.
The first ingredient, I start with the target. So who is your target market, and in most cases, its multiple people in your value chain. What helps me narrowing down the goal is by asking whom do you support? Picture the stereotypical target in which people use to throw darts in to. Your value proposition definition starts in the center, not capturing the outliers but only concentrating on the perfect client. Build your value proposition definition for one ideal client, and no one else because if you try to hug your entire addressable market, you will be too general in your value proposition definition and not appeal to anyone.
The second ingredient to the value proposition definition is the insight or the problem statement. So what problem do you solve for the target market or better yet for your perfect client? The problem is whatever the client thinks is the issue most pressing issue currently, and will allow you to bring the most value to them. The trick is to know their priorities because if your value proposition definition is on something that its not essential to the client, you will not deserve their attention.
The third ingredient of your value proposition definition is knowing what alternatives directly or indirectly, they have in the marketplace. Also, we need to understand how the other options are not addressing the problem because if they were fully satisfying, you wouldn't have a market for your offering. Spend time understanding your competitors in and out I will show you how to use it later in this article. Also, note your competitors are not idiots! Too often, I have been in conversations where your sales and operations like to think of everyone else in dim light if they suck and are competing with you what does that say about you?
The fourth ingredient is straightforward: what is your benefit. It's easy because if we already established the problem statement, then the benefit could only be a promise that your solution will deliver the expected results toward solving the clients' problem. Benefits are NOT a list of features but a carefully curated set of real benefits that your target market can understand and appreciated.
The fifth ingredient of the value proposition definition is associated with the fourth ingredient and its proof. Can you deliver on the benefits that you promised above and address the insight? Now that we know what thew problem that your target market is dealing with and we have told them that our product/service benefits would address their pain point, we must provide a reason for the prospect to believe that you can do what you said you could. The proof this could be a business case, references, or white paper, and it must be unequivocally; thus, no one must able to challenge its outcome, or the impact will evaporate along with the opportunity.
The last ingredient is your unfair advantage. Now is the only time that the value proposition definition allows you to boast about you. What is your unique selling proposition or unfair advantage in the market? Why is it vital for the prospect to deal with you and no one else.
If someone is buying your solution, your unfair advantage might be why you win over the competition. Your unfair advantage could represent why you are the best person for the task for clients. You might have knowledge, experience, understanding of a particular industry, or have an inside coach; perhaps you have written several books on the subject.
finally, these are the ingredients of a good value proposition definition:
- know your target.
- Have good insight.
- Understand all alternatives.
- List the benefits.
- Reason to believe.
- Your market superiority.
Putting it all together is where the art to the above science comes in. There is no set linear progression to the way you communicate the sections of the value proposition. It depends on what media vehicle you are delivering with: verbal, a post, or an article. It also matters on what interaction presided the value proposition.
If you need help with your Value Proposition Definition reach out and I will help you out.