How can you create a good value proposition
Not quite a slogan, not quite a mission statement; a value proposition is your chance to tell your target market what makes you better than everyone else. Show
Your value proposition brings together your customers’ wants, needs, and fears with your product’s benefits and features. But your value prop shouldn’t just be a list of features… It needs to be excellent copywriting that captures your audience’s attention, using their language and tells them in a few short, simple phrases why they should buy from you rather than your competitors. A great or poor value proposition can be the key decider in whether a customer will dive deeper into your website or hit the “back” button, so it’s vital you get this right. What is a value proposition?If you run a search to try and find out what a value proposition is, chances are you’ll be overwhelmed with a plethora of results that really don’t clarify anything. But we think the best value proposition definition comes from Michael Skok:
The keyword in this value proposition definition is “uniquely.” Successful e-commerce value propositions will focus on how your brand is different from its competitors and what services you offer that nobody else does. Establishing a unique value propositionAlthough the concept of having a unique value proposition might not sound like anything new, it can be easier said than done to come up with a unique selling point (USP) in a saturated market. It’s important not to pick a unique feature for the sake of a unique feature (“our plumbers all have red hair”); the uniqueness of your brand, product, and/or services need to add value to your customers’ lives and their experience with you. Remember, what makes you unique doesn’t need to apply to every brand ever: it just needs to make you stand out in your customer’s mind. By offering something that’s better than what your competitor sells – and clearly stating what this is in your value prop – customers are more likely to remember and buy from you. Is a value proposition the same as a slogan?Although value propositions and slogans have a fair amount in common – they’re catchy, memorable statements that tell a customer who you are – they are not the same thing. A slogan or tagline is a short, catchy phrase of 3-5 words that go alongside your brand name and logo. Think of it as a logo in writing. While a slogan is an advantageous method of introducing yourself to the marketplace, it doesn’t actually offer much information. However, a value proposition statement is longer and goes deeper into who you are as a brand and why you’re different from the competition. When writing a value proposition, you’ll need to demonstrate a thorough understanding of your target market: their needs, wants, and fears, and how your product or service can address these. How to write a value proposition statementCreating a value proposition statement can feel like a daunting task, particularly if you’re new to marketing, but it doesn’t need to be. As long as you understand your target audience and have a clear idea of what your brand offers, there are some tricks that make it easier to craft an excellent value proposition. It’s a good idea to start with a reasonably small focus group to brainstorm and test the value proposition of a product. This should involve people across your business, and everyone should get a say in the final draft. Once you’re happy, it’s vital to test your value proposition with real customers. A/B testing is instrumental for crafting a quality value proposition. You should also consider your website’s layout and where the value statement will be shown on every page. Value proposition canvasThe best place to start crafting a value proposition statement is by downloading a free value proposition canvas from Strategyzer. Image source: strategyzerThis useful tool will aid with the brainstorming process and help you find the links between what your customers want and what you have to offer. One of the most useful examples of this canvas that we found comes from Peter Thomson: To complete this canvas, you’ll need to ask yourself (and the focus group) a series of questions, including: About the product:
To the customer:
Value proposition guide: 4 templatesOnce you’ve completed the value proposition canvas and have a comprehensive understanding of what your customers want/need and how your product solves a problem for them, it’s time to come up with your unique value proposition. There are a few options for phrasing the value proposition of a product, but some of the best templates we’ve found include the following: 1. Geoff MooreIn Geoff Moore’s book, Crossing the Chasm, he suggests an excellent template for formatting a value proposition example: “For [target customer] who [needs or wants X], our [product/service] is [category of industry] that [benefits]” If we pretend to be a sustainable fashion retailer, this could be: For eco-conscious fashionistas who want to look good without harming the planet, our clothing is the latest fashion that is made from sustainably sourced and recycled materials. 2. Steve BlankSteve Blank probably offers the most straightforward approach to crafting a unique value proposition: “We help [X] to [Y] by [Z]” Using our eco-friendly fashion store from earlier, this could be: “We help eco-conscious fashionistas to look great and lower their environmental impact by creating sustainable clothing in the latest trends.” 3. Peter SandeenPeter Sandeen’s approach to value propositions is to avoid “marketing bladiblaa” and ensure your value statement examples are explicit and clear, with evidence to back up your claims. To do this, he suggests thinking about the following two questions:
Sandeen’s idea is that by using studies, social proof, and testimonials to back up the most persuasive reasons people should use your brand, you’ll present a more persuasive argument and increase sales conversions. 4. Vlaskovits and CooperIn their book, The Entrepreneur’s Guide to Customer Development, Vlaskovits and Cooper crafted a customer-problem-solution value proposition guide to help you clarify exactly how your product or service adds value. To use this guide, you need to establish three things:
For our eco-friendly fashion store, this could be broken down as follows:
Once you’ve established your customer-problem-solution template, you can transform the key points into a few short and catchy sentences to capture the attention of your target audience. Structure of a value propositionOnce you’ve figured out the key points that need to be addressed, you need to learn how to write a value proposition. While successful e-commerce value propositions will vary from brand-to-brand, some of the best value props will be structured as follows:
Language mattersWhen considering value statement examples, they should always be written in the everyday language of your target audience… This means that value propositions should be free from jargon and capable of being understood in 5 seconds or less. You should also avoid hyperbole in your marketing. Unless you can prove that you actually have “New York’s Best Coffee” or your product is something “never seen before!” in some quantifiable way, these sorts of claims have no place in your value proposition statement. Occasionally, your value proposition statement won’t be quite enough to convince someone to choose you above all the other options in your industry… In this case, extra value proposition “boosters” on your landing page can be a great way to tip the scales in your favor. These little extra perks shouldn’t go in the value proposition of a product itself, but could be included in the corner of your homepage and landing page, plus mentioned throughout your website for enhanced conversion optimization. Some marketing ideas for value-adding “boosters” include:
Unique value proposition examplesNow we know how to write a value proposition and some of the things you might include in the value proposition of a product or service; here are some of the best value proposition examples you can use for inspiration. To analyze these value proposition examples, we’re going to use Vlaskovits and Cooper’s Customer-Product-Solution model. As these are some of the best value statement examples, we can expect it to be effortless to establish exactly who the customer is, what problem they’re facing, and how the company solves that problem. 1. SlackSlack makes it downright pleasant to work together. Slack offers a few variations on its value proposition statement, but they all focus on ease of use, enhanced productivity, and pleasantness. In the example above, they use a short and sweet tagline to draw the user in, demonstrating what their product looks like and a brief explanation of what they do. When you scroll down on the homepage, Slack also provides examples of layouts, features, and benefits of the product and backs any claims up with testimonials and statistics. Slack also offers an extra value proposition booster with the “try for free” call to action to entice uncertain users to learn more.
2. StripePayments infrastructure for the internet Stripe is a digital payment tool that markets itself as easily accessible and straightforward to use. The headline “payments infrastructure for the internet” is potentially a little more technical in its lanugage than other, more simple value proposition examples. Still, it clearly explains what users will get out of the service.
3. GrammarlyGreat writing, simplified Grammarly’s headline makes it simple to understand exactly what the company is offering. The super-short elaboration sentence manages to summarize the services available in everyday language that appeals to the target audience. One of the things that set this value proposition example apart from different marketing strategies is the included video: this provides a visual example of what makes Grammarly so great and ensures it’s easy to see the benefit of using this service.
4. TrelloTrello helps teams move work forward. Trello offers online software that enables teams to collaborate and manage their projects from anywhere in one simple program. To help establish how Trello is better and different from their competitors, the marketers choose to proposition a value of uniqueness on their home page: telling their audience how Trello can work with your unique business. Further down the homepage, Trello uses social proof to highlight how the software makes a difference to the workplace of “over 1,000,000 teams worldwide” and includes some big-name businesses that use it. Trello also uses a booster benefit – “join now, it’s free” – to enhance conversion optimization.
5. Apple iOS 14Looks brand new. Feels like home. Although once the iPhone revolutionized modern cell phones and the digital era, these days, Apple has plenty of competitors selling smartphones and similar devices. However, the marketers at Apple are always able to set Apple apart. The selling point for the iOS 14 is that it offers a fresh approach while still feeling familiar and simple for users. Letting customers know what features they’ll get with the upgrade - for example, improved privacy and personalization options - is a great way to showcase how the iOS 14 is different and better than anything that came before it.
6. UnbounceGrow your business with Unbounce conversion intelligence. Unbounce doesn’t use any waffle on its homepage. Instead, its marketers focus on a clear, concise message that lets you know exactly what the company is selling: “landing pages and conversion intelligence tools.” This incredibly simple marketing is backed up with testimonials, social proof, and plenty of visuals further down the homepage that explain how Unbounce can help eCommerce businesses improve their website, learn how to use popups and sticky bars, and optimize sales and conversions.
7. WordPressWelcome to the world’s most popular website builder. WordPress uses plenty of social proof in its company value proposition, highlighting its popularity among everyone from bloggers to Fortune 500 companies. The entirety of the WordPress homepage utilizes clear and concise points that highlight the benefits of being able to create a better website using WordPress.
8. ShopifyAnyone, anywhere, can start a business. Shopify is made to help people set up an online store to sell products. The short and simple tagline on the Shopify homepage gets straight to the point with a call to action offering a “free trial.” Further down the page, Shopify elaborates on the simple value proposition, letting people know the platform is offering “powerful tools that help you find customers, drive sales, and manage your day-to-day.” There are also some convenient step-by-step instructions to help you move your business online. The video alongside Shopify’s value proposition is also great for providing a different way people can view the benefits of the company’s services.
9. sixadsStart selling on Facebook/Google/Instagram in minutes… No expertise needed. Made for clarity, sixads value proposition is designed to let you know exactly what you get when signing up with sixads — you get automated ads on Facebook, Google, and Instagram this way increasing your store sales. The app helps you set up those ads, so you don’t need any previous advertising experience.
Characteristics of a compelling value propositionAs you’ve probably noticed in the above value proposition examples, the best UVPs can be very different, but they all clearly define the product, service, or brand in everyday language, free from technical jargon or hyperbole. The best company proposition examples highlight any free features and are clearly displayed on a company website, primary landing pages, about-us page, and any other consumer touchpoints. Remember, this is your chance to highlight how your company (and the products/services you sell) is different and better than anyone else, so don’t waste it! To summarize, a good value prop should:
Writing a value proposition isn’t a one-off.Even after you’ve finished creating a value proposition that clearly addresses your customers’ pain points and ticks all the other UVP boxes, that doesn’t mean your job is complete! It’s vital to test, test, test any value proposition to ensure it’s as great as it can possibly be, and that it’s in the best position on your website and landing pages. What’s more, the best value propositions will grow and change with your brand, products, customers, and market trends, so you might need to reevaluate your value proposition to see whether it’s still relevant and substantial as your company and community grow. By listening to your customers in real-time, you’ll be able to maintain a relevant and persuasive UVP that continues to convert for as long as your business is in action. What is a good value proposition?A value proposition should clearly explain how a product fills a need, communicate the specifics of its added benefit, and state the reason why it's better than similar products on the market. The ideal value proposition is to-the-point and appeals to a customer's strongest decision-making drivers.
What are the 3 elements of a successful value proposition?In a nutshell, a value proposition is a clear statement that offers three things:. Relevancy. Explain how your product solves customers' problems or improves their situation.. Quantified value. Deliver specific benefits.. Differentiation. Tell the ideal customer why they should buy from you and not from the competition.. How do you create an effective value proposition to target customers?It needs to be as specific as possible about the benefits your products and services provide to your customers. It shows how you solve a specific problem or address a specific need: Your value proposition needs to be clear on what problem or need you are addressing, and also demonstrate how you solve this problem.
What are the 5 steps to create unique value proposition?Yet, too many entrepreneurs fail to come up with a value proposition.. Define your ideal customers. ... . Match benefits to customer needs. ... . Be specific. ... . Be unique. ... . Test your value proposition.. |