The 3 Building Blocks of Value PropositionJohn Sanders
The 3 Building Blocks Of Value Propositions
It’s not good enough to sell your product in the market. You must sell the need and the value it creates for your buyers. Customers won’t spend their money on your product/service without a relevant value proposition.
Value Proposition And What It Means
A value proposition is an essential element driving your sales. The term refers to letting customers know what they’ll get from using your product.
Business operations usually stay stagnant for years. That’s because changing the way things work is not only risky but expensive as well. You need to present the customer with a strong value proposition to show your solution is worth it.
Telling the company that your product will provide greater peace of mind. You must use facts and figures. The key purpose behind a value proposition is to justify how you’ll accomplish the defined objectives. Moreover, a clearly defined benefit would open more doors for you. You’ll get a meeting by saying, “Our solution would increase sales conversion rate up to 40%.”
The Three Elements That Make A Strong Value Proposition
A strong value proposition always includes three fundamental aspects that help entice the buyer. The following is a detailed breakdown of them.
An insurance product in this competitive market can only survive by becoming customer focused. That’s why a good value proposition would always consider the primary reason why potential buyers might be looking for your service. The reasons could include factors such as:
- Improved agent attention
- Improving employee satisfaction
- Increasing lead conversion rate
- Reducing operational costs
- And so much more.
A good value proposition clarifies how it’s going to change the agent’s sales quo for the better. Quantifying the improvements, you’re offering is essential. Try to include words such as:
- Increase / improve / accelerate
- Decrease / minimize / cut down
- Maximize / enhance
prospects need justification for incorporating your solutions in their lives. Here, vague statements are not going to be enough. You’ll need facts and figures to show authenticity in your service and analytics. Try to include the following factors in your value proposition:
- Time frame to see results
Understanding your service and an accurate breakdown of your costs is necessary. Moreover, in-depth knowledge about the industry your buyer operates in will give you an edge.
The value proposition is the first contact that you have with your potential prospect. And as the saying goes, first impressions are difficult to change. If increasing your sales is your primary objective, you need to design a statement that encapsulates everything you’re offering. Prospects will look at your proposition briefly. For them to reach out, you need to be unique and communicate the value of your product.