What do you do...differently?
What do you do differently or better than your competitors...that your customers care so deeply about...they are willing to pay a premium?
In our recent article on ‘How to boost profit through differentiation’, we focussed on creating your elevator pitch. Closely linked to this, is having a clearly defined value proposition. Your value proposition is the core of your competitive advantage. It clearly articulates why someone would want to buy from your company instead of a competitor. It's also one of the most important conversion factors. A great value proposition could be the difference between losing a sale - and closing it. So how do you actually write a value proposition that's strong enough to lift conversion rates and sales?
Here’s 5 key points on what makes a good value proposition:
Your value proposition needs to clearly articulate how your products/services solve your customers’ problems and improves their situations. We would add here – this needs to be your target customer. There is no point in coming up with a seemingly great value proposition that doesn’t actually fit with your target customer, and therefore not relevant to them.
Easy to understandDon’t use jargon! Customers must absolutely understand you – your value proposition needs to be in their language and link with the type of conversations going on in your customers mind. You need to be sure it is from the customer’s point of view (which might not be what you think it is) and how they benefit from it.
Communicate specific results and the value the customer will get
Ensure you are clear on all the benefits you offer to customers (that is different to your competitors) and then identify what value these bring to your customers.
Explain how it is different and better
You need to prove and demonstrate to your customers how what you’re articulating is better. Some great ways of doing this are specific case studies and testimonials – ones that show who your target customer is, and how you have solved their problem in the ‘different’ way you are trying to articulate.
Easy to read
A good value proposition can be read and understood in 5 seconds!
Some great examples we found...
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