Creating a Strong Value Proposition

Creating a Strong Value Proposition

By Samantha Garner, GoForth Institute

 

As a small business owner, you’re going to spend a considerable amount of time telling potential customers why they should do business with you. They’ll want to know what you can do for them that others can’t – and how.

A value proposition is a clear statement of the benefits your customer gets from buying your product or service. Great value propositions are specific and succinct.

 

Examples of weak value propositions

Here are some value propositions that are not as great as they may sound:

“We make your life better.”

“This is the best system on the market today.”

“We offer the best service and price.”

“Dedicated to our customers.”

“Our customers love our selection.”

Consider each of these value propositions as a consumer. What do they tell you about each company? Probably not much. A hundred other companies can say the same five things. These are weak value propositions because they do not communicate specifically how their company can benefit its customers.

 

Elements of a strong value proposition

Now that we know what makes a weak value proposition, how do we create a strong one? Here are some examples of strong value propositions:

“We designed our products to reduce your setup time.”

“We can lower your weekly grocery bill with our daily specials.”

“Save time with our streamlined process.”

“Increasing your employees’ productivity and saving you money.”

“Designing workflow solutions to help you increase revenue.”

These value propositions are actual promises made to the customer – promises they can visualize and get excited about. They clearly communicate the benefits they will receive and. As a result, these companies stand out in customers’ minds.

Use these principles to design your own value proposition. Examine your business’ product or service offerings. What specific benefits do they offer your customers? What makes them seek you out over your competitors? Don’t be modest – sing your business’ praises and your customers will too.

 

Samantha Garner is GoForth Institute's Director, Communications.  Contact Samantha by email: samantha@goforthinstitute.com