The Value Proposition is simply about placing a hook that decides whether people will pay attention about your business or product or just walk by.
The more unknown the company, the better the value proposition has to be. A company can not rest on existing success that because it affects both young as well as established companies. During our projects as well as the research for this article, I have looked at some websites, both by startups, SMEs and corporations. Especially with the larger companies, it seems that they lose their sense of how crucial value propositions are to the customer.
Value Proposition, what is it?
A value proposition is, as the name implies, a promise of value. It is the main reason why a potential customer buys from you.
Briefly described, the Value Proposition is a clear statement that clearly explains how your product solves your customers' problems or improves their situation. This requires relevance, specific benefits, and the differentiation that tells your ideal customer why he should buy from you.
On a website, the value proposition should be the element that catches the eye of the visitor and potential customer as the most important entry point. So it's about real people, not technically sophisticated machines that should read and understand your texts. Therefore, the value proposition should also be in the customer's language. It should join the conversation that is already in the customer's mind. This requires talking to customers in the real world, in interviews, phone calls and conversations.
What Value Proposition is not
The value proposition is not a slogan or a positioning statement. These are not value propositions:
L'Oréal. Because I am worth it.
Walmart. Save Money. Live Better.
Components of a good Value Proposition
The value proposition is usually a block of text (a headline, subheading, and a paragraph of text) with or without an image (photo, hero's photograph, graphic). There is not one right way, but if you want to get started, I suggest the following structure:
- Headline : What is the benefit you offer in a short sentence? You can mention the product and / or the customer. Attention magnet.
- Subheading or a paragraph of 2-3 sentences : A specific explanation of what you do or offer, for whom and, above all, why it is useful.
- 3 bullets : List the key benefits or features.
- Visual: Images communicate faster than words. Show the product, a hero, or an image that highlights your main message.
Evaluate your current value proposition by checking that it answers the following questions:
• What product or service does your business sell?
• What is the final benefit for the customer to use it?
• Who is your intended customer for this product or service?
• What makes your offer unique and different?
Use the Heading Paragraph Bullets Visual Formula to structure the answers.
What makes a good value proposition:
• Clear and easy to understand
• Communicates the specific results that a customer receives from the purchase and use of your products and / or services.
• Say how it is different or better than the offer of the competitor.
• Avoid hype (like "never-before-done miracle cure"), superlatives ("the best") and business jargon ("value-added interactions").
• Can be read and understood in about 5 seconds.
Examples for Value Proposition
It is not easy to find perfect examples of value propositions. Probably because it's hard to make them so outstanding. We would rather not publish the negative examples here in order not to harm a company. Therefore, we have extracted 3 of the very impressive value propositions.