Where’s The BEEF?
The Value Proposition is a concept which helps to explain ‘why customers buy a product or service’. The Value Proposition can be made up of multiple ‘reasons’, which you must fully understand. Once the proposition is understood, only then can a startup formulate a marketing/selling process, which is effective in communicating value.
The value proposition can contain a number of reasons (rational), for customers to make the buying decision. However, three significant elements are often present in a valid proposition:
- Resonates With Buyer: Want and need for your offering exists.
- Differentiates Your Offering: Makes it possible for customer to see why your offering stands out from others.
- Substantiates You Promise: Buyers believe you will deliver on your promise.
Resonates: Want & Need
Differentiates: How Your Offer ‘stands out’
Substantiates: You Can Deliver
Value Proposition Canvas (3:00)
Design products and services that customers actually want.