What is a Value Proposition Statement?
Concisely describe the value of your business
A value proposition statement concisely describes who you serve, why customers buy from you and what sets you apart from competitors. It's typically developed as part of your overall business and marketing strategy and is condensed down into a short, impactful statement: no more than a few sentences long.
Having a value proposition is important because it clearly and concisely communicates what customers can gain from selecting you over someone else. Crafting this statement gives you clarity and is a tool you can use in several ways such as:
On your business's website to help attract and convert customers
When pitching your company to investors, bankers or partners
To confidently answer the question, "So, what exactly do you do?"
If you want to run a business, you need to talk about your business! As a business leader, it's your job to be your organization's number one promoter. A short, clear value proposition statement is a great tool for doing this. It creates a memorable message for potential customers, employees, partners, friends, relatives and others to make sure your business value never gets lost in translation.
Make it easier for people to talk about the real value and uniqueness of what you do!
When you’re able to clearly understand and articulate your Value Proposition, you become a champion evangelist for yourself and your business. You gain a new superpower that you can use to connect with those who truly value what you do.
But while it’s easy to define what a Value Proposition is, crafting one that authentically reflects your business takes some time and hard work.
First, you need clarity and knowledge about a few things:
WHO your Core Customer is,
WHY they buy from you - what Benefits they realize as your customer, and
HOW you uniquely serve them - the unique Attributes you bring to the table.
And you also need to strengthen and use a few important skills:
Your ability to communicate with confidence about what you do, and
Your ability to envision your future business and differentiate, dissect and distill the essence of what you do, how and for whom.
Making time for this work can be challenging for busy business leaders. Your work and business and life are all wrapped up in a holistic bundle full of deadlines, chores and pressures. It may be a bit daunting to think about doing the work needed to craft your Value Proposition Statement. And once you start, it can be hard to keep the momentum going when you’re constantly interrupted with more urgent day to day matters.
Here at Creatography, we’ve developed workshops and structured self-paced programs with the tools and exercises to help small creative business leaders craft their value proposition statement. If you’re interested, you can see more about our full range of courses and coaching on our Creatography website (http://vertriccreative.com)
Let’s review the A, B, Cs of our Value Proposition: Attributes, Benefits and Core Customer.
Attributes
Attributes are characteristics of your product or service, especially those that are distinctive and unique. Attributes describe what your product or service is. Getting to a clear picture of what attributes are most unique and valuable requires that we analyze and fully understand our products or services, so we understand how we fit into the competitive market and how we align with our core customers’ preferences and needs.
By dissecting and analyzing these elements, we gain a deeper understanding of our value and uniqueness. This clarity and confidence can be a powerful tool!
Benefits
The benefits associated with your product or service is the value your customers realize when they buy from you. Benefits are what your customers experience from their point of view. When reaching out to customers, keep in mind that they are generally more interested in how your offering benefits them (as opposed to the specific details or features of your product.)
By understanding and focusing on your customer’s experience rather than your product itself, you can better inform your core customer, trigger their senses and create the connection between what you offer and what they want and need.
Core Customer
The concept of Core Customer is important for you as a small business owner to understand when it comes to marketing your business, developing your products and services, and prioritizing how you spend your time and money. Your Core Customer doesn’t have to be your only customer, it’s just the type of customer you focus on because they are the type of customer who most values what you do, and who is willing to pay for what you sell.
Think of Core Customer as the type of customer who provides half or more of your revenue. By focusing in, you will be able to tailor your marketing to your unique niche. When time and money is limited, knowing and serving your core customer will help you serve all customers better - your business will be healthier, and your priorities will be aligned with where you need to go.
Value Proposition Statement
Crafting a Value Proposition Statement leverages our newfound knowledge about the A, B, Cs and can begin with a simple formula:
“My business serves C, by providing B. My business is uniquely positioned to do this because A.”
At Vertric Creatography, we lead you through this whole process so getting to the heart of your business’ value is a journey you don’t have to take alone.
As small business leaders, it’s sometimes hard to step back and consider how we are uniquely positioned to serve our customers. But taking the time to really see what sets us apart can be an important and persuasive part of our marketing message. Understanding this can also help us decide how to invest our valuable product development time and money for the future.
Getting your value proposition right is important. When you gain clarity, confidence and a new ability to articulate your ideas into something concrete and authentic, you will have a great tool to propel yourself forward – In the direction that’s right for you.
Whether you have an established business or a new “small business dream,” this foundation and the concepts involved are essential elements for moving your business forward.