There are plenty of other businesses out there offering similar services and products like yours. But how do you stand out? You know you have something better than your competitors, but what’s the most effective way to help potential and existing customers see that too? Enter Value proposition.

And if you belong to 64% of businesses with established value propositions, then you’re on the right track. Unfortunately, only 2.18% of businesses have a solid, useful value proposition. So if you’re not getting new customers or seeing once-loyal customers going to your competitors, then maybe it’s time to re-think and refine your value proposition. 

But first, you need to know the basics.

Value Proposition: What Is It And How It Benefits Your Business?

In its simplest form, a value proposition is a summary of how your service or product benefits your customers. It answers the question ’What do you do?’ and it clearly explains why a customer should try your service or product, explaining how it fills a need, specify added benefits, and why it is better than your competitors. 

A solid and effective value proposition can help potential customers quickly understand what your business has to offer. As a result, it allows you to attract the right prospects while increasing not only the number of possible leads but also quality. In addition, a good value proposition also creates a strong differential between your business and your competitors. 

Value propositions will usually include a block text (headline, sub-headline, text paragraphs) and a visual (video, photo, graphics). 

How Do You Improve Your Value Proposition?

Now that you have a better understanding of what a value proposition is and its importance to your business, here are some main points on how to tweak it to success:

1. Determine Your Strong Point 

To craft a solid proposition, you must first know for yourself what it is you’re proposing. In general, you’re probably offering several products or services. While no one’s stopping you from creating a value proposition for each, you need to look at your most vital point, the one that really generates interest in your audience.

For instance, a Korean online store may offer things like K-pop merchandise, Korean fashion, and even food supplies. While it’s good to have a variety of products to offer, you need to identify your main product. In this case, K-pop merchandise might have added value since it’s more challenging to procure original and official merchandise and generates a bigger desire for fans.

You can improve your business’s value proposition if you know the leading service or product you have to offer. It should always be on the highlight, particularly in your brand promotion campaigns.

By understanding your most vital point, you can better improve the quality of such a product or service while allowing you to stay ahead of the competition. It also makes it easier to focus on a specific product to create a clearer value proposition that presents something relevant and desirable to your target audience.

2. Understand Your Target Customer In Great Detail

After understanding your own business, the next thing you need to grasp is your target customer’s wants. Your target customer has very specific expectations about your offerings. And you need to fulfill those wishes to ensure greater engagement and satisfaction to increase sales.

You can solve this part by just building a buyer persona. This should help you understand several points about your average consumer, including the following:

• The kind of products and services they need
• Financial limitations
• Expectations on your offerings and their price

In-depth knowledge about your target audience can help you refine your value proposition to appeal more to the correct people. You enhance communication with your audience as well as sell higher-quality products that satisfy your target audience.

3. Quantify The Value

Numbers can help consumers understand what your business can do for them and thus helps refine your value proposition. Take most pizza delivery services, for instance. They include a message like ‘Pizza delivery within 30 minutes or it’s free.’

They mention a specific number of minutes to deliver their product. As a result, their target audience knows that their value proposition includes a fast and efficient delivery service.

Including a figure in your value proposition can help inform better and generates a clearer idea about what your business can offer.

4. Check Your Competitors And Industry

Since your value proposition includes differentiating your business from your competitors, it’s important that you research the propositions of your closest rivals. By finding out what other companies are doing, you can understand what works for them and improve on it as well as what doesn’t work and avoid it.

Other than checking on your competitors closely, it’s also important that you follow trends in your industry. The constant emergence of technology and a better understanding of how your niche market moves can help you stay competitive. You’ll have a better idea of where your service and product fit within the market and allow you to craft a more robust value proposition.

5. Keep It Simple But Memorable

Perhaps the reason why your value proposition isn’t qualifying any leads is that it’s too complex or bland. 

Most businesses think that using vague language like ‘industry-leading services’ or ‘result-driven software’ can wow customers. However, phrases like these don’t actually tell anything and make you seem like just any other business. Others may find it challenging to understand what you offer. In short, simplicity wins.

When crafting a more refined value proposition, you need to use simple and straightforward language. Be clear about what you’re offering and avoid the industry jargon at all costs. 

But simplicity isn’t enough. You also need to be witty to become memorable. After all, customers will read several other companies’ value propositions during their research. And you want them to remember yours. Figure out what makes your business memorable, then use simple, witty words which can attract customers’ attention.

Conclusion

A solid value proposition is essential for your business’s success. It allows your target audience to clearly understand what you have to offer and what makes you different than the rest. 

So if you’re not seeing the results you want, then refine your value proposition with the above tips.