Updated: May 17
What is a good first step to create business growth? Clearly define what your sell and why customers chose you! Your value proposition will help you focus on your target market, clearly articulate your value and center your promotion strategy. In fact, one of my first steps when working with any new client is to help create the value proposition for her business.
In two sentences your value proposition defines your business: your product or service, your target market and why customers choose you. It is an internal statement but will be the basis of your marketing strategy. It is very important to note that your value proposition is an internal statement. Since it is descriptive it may be long and not use “marketing” language. You will see what I mean later in the blog.
There are many forms your value proposition can take but I prefer:
Name of business helps target market value to customer by product or service. Competitive advantage.
Looks easy, right? It can be challenging and may take a bit of time. Let’s start off by walking through an example. Below is the value proposition of a fictious interior design business:
Stefanie’s Interior Design helps residential clients without decorating skills create a comfortable and modern home interior by sourcing furniture and decorations and recommending paint colors and flooring choices. Through Stefanie’s rigorous client on-boarding process, she learns their taste, budget and level of desired involvement to create a customized design, maximizing client satisfaction.
So let’s break it down:
Target market – residential clients without decorating skills
Now we understand why it is an internal statement! Stefanie would never tell her prospective clients that they do not have decorating skills . . . Note that your target market does not need to be a traditional demographic. It is the best description of who you are trying to reach with your product or service.
Value to customer – create a comfortable and modern home interior
The value is specific to Stefanie’s business and fuels her business growth. She is a specialist in modern home décor and creates comfortable spaces. By being specific it also eliminates what she does not do such as traditional or bohemian. In her advertising she will make sure she has pictures of modern, comfortable spaces that resonate with her clients.
Product or service – sourcing furniture and decorations and recommending paint colors and flooring choices
This is specific to exactly how Stefanie helps her clients. It does not say “by providing interior decorating services.” By being specific you flush out what you really do which is critical for your marketing strategy.
Competitive advantage – rigorous client on-boarding process, customizes service to their taste and budget
This describes why clients should choose Stefanie. She does her homework up front and customizes each quote she makes sure the client in satisfied.
I suggest spending thirty minutes to an hour writing a rough draft of your value proposition. Then put it away and come back to it a day or two later to review and update. After this review run it by a few people to see if is accurate and makes sense.
Want to learn how to increase revenues, expand profitability, improve quality, invest wisely and develop personally? Let’s connect! Book a complimentary meeting with me today and be well on your way to growing your business this year!