Is a poor value proposition holding your business back?
July 1, 2019
A lot of organisations don’t know what their value proposition is. And sometimes when they do, it is inconsistently expressed by people in communications, or it’s not a true reflection of their fundamental value to customers.
When this goes wrong there are three possibilities:
1. They never defined their value proposition
2. They think they know it but they’ve got it wrong
3. They know it but are not communicating it consistently
The compelling Why
We define Value Proposition as:
The compelling “why” consumers should buy your product or service.
What makes for a sound value proposition?
Is it something people want?
Is it something you can consistently deliver?
Is it not often delivered by competitors?
If you answered yes to those three questions, you have a strong value proposition. The question to ask then is: Are we communicating this clearly and consistently?
On the other hand, how do you know if your value proposition is not working?
You’ll know if you get inconsistent responses from customer surveys around what your brand stands for. Or if customers are confused about the value of what you offer. Or if different departments of the business are speaking about your value in different ways. Or if customers are unsure as to why they use you. Or if sales closure rates have decreased. Or if the number of referrals has decreased, or is low to begin with.