Building A Value Proposition

If you look at any successful business today, they all have one thing in common, and that is a compelling value proposition.

In the world of business, well-crafted and great value propositions tell your customers why they should buy from you and not your competition.

Having your own value proposition is crucial if you want to make your business a unique and successful one.

What Is A Value Proposition?

A value proposition is the value a company promises to deliver to potential/target customers if they decide to buy their product. Your value proposition is a part of your overall marketing strategy. Usually, it looks like a marketing statement that quickly tells your customers why they should buy your product or use your service.

There are three components of a good value proposition statement:

1. Value

Explain how your product solves your customers’ problems and improves their situation.

2. Quantified Value

The specific collection of reasons why a buyer buys.

3. Differentiation

A compelling, tangible statement telling the ideal customer why they should buy specifically from you and not your competition.

Since your unique value proposition is essentially your prospect’s first impression of your brand, your value proposition should be the first thing people see on your homepage. It should also be visible at other main entry points on your site.

Your value propositions should be designed in a way that appeals to your target audience through language, visuals, and the benefits of service/use of the product. Delve into the psychology of your type of customer and find out what causes them to buy through interviews and market research tools.

What Makes A Bad Value Proposition?

Some examples of a bad value proposition may include the following:

– Language that doesn’t appeal to your target customer, like:

“Gourmet coffee.”

– A simple slogan or catchphrase like:

“From happy pigs.”

– A simple positioning statement 

– A phrase with an unclear message that can’t be explained

What Makes A Good Value Proposition?

A compelling value proposition does the following:

  • It answers the questions: What is it? For whom? How is it useful?
  • It explains the product or service’s value clearly and concisely.
  • Communicates the concrete results your customer will get from using your product or service.
  • Conveys how it’s different or better than what your competitors offer.
  • Avoids hype phrases like “Never seen before!”
  • Avoids superlatives like “best.”
  • It can be read and understood in about five seconds.

Crafting The Presentation Of Your Strong Value Proposition

You have less than a minute to capture your buyer’s attention, so your presentation is critical to the success of your overall proposition. There are many ways to go about creating this.

A snatching value proposition will include:

What is the end benefit you’re offering in one short sentence that will grab your customer’s attention?

Usually, a two or three-sentence paragraph specifically explains what you do/offer, for whom, and why it’s useful.

You can list the key benefits and features in a visually pleasing way.

An image reinforcing your main message will communicate your brand to your potential customers much faster than words will.

If you are still unsure about whether the value proposition you have made is good or not, evaluate it by making sure it answers these questions:

● What product or service is your company selling?
● What is the end benefit of using it?
● Who is your target customer for this product or service?
● What makes your offering unique and different?

Some excellent value proposition examples come from these well-known websites:


“The smartest way to get around.”


“Payments infrastructure for the internet.”

3. Unbounce

“A/B testing without tech headaches.”

Testing Your Value Proposition

Another and most important way of evaluating your value proposition is by testing it. Here are two main ways that you can test the effectiveness of your proposition:

1. A/B testing

This is a method you can use to test out different elements of your value proposition and improve your website’s conversion rates. For example, in an A/B test, two different versions of your page are shown to a user, and conversion data and statistics are used to determine which platform is better.

2. Pay-per-click advertising

Split test ads with different value propositions that target the same customer. The ad with the higher click-through rate is no doubt the better attention grabber and interest generator.

Even though crafting a great value proposition is not easy and there are many things to consider, you are now more than prepared to make your business stand out to your customers with the help of these tools.

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