What is a value proposition, and why are they so important? Compelling value propositions help companies stand out from the crowd. They motivate prospects to want to connect with the vendor, encourage them to give consideration to the vendor's solutions, and help them to differentiate the vendor's offering when the time comes to choose if and what to buy.
Compelling value propositions help to articulate the tangible benefits that customers could get from using the vendor's product or service. They are focused on the customer, not the vendor. They satisfy interesting, important and urgent needs. And they help answer the question "what's in it for me?"
What makes a compelling value proposition?
It's a mistake to think of value propositions as a single outcome. Compelling value propositions are often layered like a Russian doll - they lead the audience on to want to learn more.
The more targeted the audience, the more specific the value proposition can be. So it's a good practice to create a strong value proposition framework for the company and then progressively refine and tune it according to offering and market.
At the heart of the value proposition should be an offer that is uniquely tailored to the specific prospect. That's why we refer to them as frameworks - the sales person will always want to apply the final "tuning".
Strong value propositions identify with the prospect's most urgent needs, align them with the vendor's most valuable and relevant capabilities, and establish credibility through proof points.
They are powerful as much for what they choose to leave out or hold back as for what they contain. And they should aim to provoke curiosity in the audience and make them want to continue the dialog.
Leave the audience wanting to hear more...
While value propositions can be used to summarise a vendor's value to the prospect, they are probably most effective when they are used to stimulate the prospect's interest and to initiate a value-based conversation.
They are often at their most powerful when combined with anecdotes that illustrate and expand upon the value proposition with specific relevant customer examples.
Creating messages that matter...
Value proposition frameworks should draw upon the experiences of both your customer-facing employees and your customers. We recommend that you consider the following:
- What prospects (roles within organisations) are you targeting?
- What needs might cause them to take action?
- What are your most relevant and powerful capabilities?
- What are the most valuable benefits you can deliver?
- How can you differentiate what you do from the competition?
- How can you establish credibility through proof points?
The sequence is important, because each point needs to be seen through the filter of the previous questions - that way your evolving value proposition stays focused on the things that are most relevant and truly valuable to your audience.
Our contribution...
We work with our clients to create simple, compelling value proposition frameworks that are interesting, relevant and actionable for their audiences.
We typically use a combination of internal brainstorming workshops combined with voice of the customer interviews. And we recognise that having a strong value proposition is just (literally) part of the story, and enble you to assemble a collection of compelling and relevant customer anecdotes that help bring the value proposition to life.
Here's how we might be able to help...
Achieving sales and marketing alignment is particularly important to any organisation that is trying to achieve a step-function improvement in marketing effectiveness or sales productivity, to out-perform strong competitors, or to successfully launch new products or enter new markets.
We've been able to help a growing number of B2B organisations to realise their ambitions by diagnosing and dealing with the constraints that have been holding them back. We may be able to help your company achieve the same. You can learn more about our approach by browsing this website.
When you are ready, please complete our contact form, drop us a line at info@inflexion-point.com or call us on +44 (0) 845 519 0295.
We look forward to finding out more about what you are trying to achieve, to sharing some ideas - and to helping you achieve the benefits of alignment throughout your sales and marketing organisation.