How to Build Value Propositions That Sell

Here's how you create a product people actually want to buy.

May 21, 2024

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The Best Value Propositions That Sell

A useful product isn't enough. Communicating the benefits clearly is just as important. Learn how to craft winning value propositions backed by real-life industry examples.

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⭐️ Creating Killer Value Propositions That Sell

A compelling value proposition clearly communicates the unique value your product offers. Compelling value propositions make your business stand out in a crowded space.

Examples of a Value Proposition:

  1. Slack: "Slack brings all your communication together in one place. It’s real-time messaging, archiving and search for modern teams."

    • This value proposition emphasizes Slack's ability to centralize team communication and improve productivity.

  2. Shopify: "Shopify is the all-in-one commerce platform to start, run, and grow a business."

    • Shopify’s value proposition highlights its comprehensive set of tools. Users can easily create and manage an online store, with everything from payment processing to marketing.

  3. Zendesk: "Build the best customer experiences with Zendesk."

    • Zendesk can help businesses improve their customer service through easy-to-use customer support tools that enhance engagement and satisfaction.

  4. Dropbox: "Keep life organized and work moving—all in one place."

    • Dropbox's value proposition centres on its file hosting service. It simplifies storing, accessing, and sharing files from any location.

  5. Salesforce: "Connect to your customers in a whole new way with the world’s #1 CRM platform."

    • Salesforce markets itself as the leading solution for customer relationship management.

Why You Need One:

Value propositions are crucial for several reasons:

  • Clear Communication: They provide clarity about what your company offers and its unique advantages. Customers and internal stakeholders can better understand the business’ focus.

  • Market Differentiation: A strong value proposition distinguishes your company from its competitors. It’s important to highlight unique benefits that appeal to customers and aid decision-making.

  • Marketing Alignment: They ensure consistency across all marketing and sales efforts. You’ll want to reinforce your business' key messages and enhance your brand recognition.

  • Customer Retention and Attraction: By clearly articulating how they meet customer needs, companies can attract new customers and retain existing ones more effectively.

  • Guides Innovation: Value propositions help direct new product development. They help businesses internally, ensuring innovations align with customer values and business goals.

Creating an Effective Value Proposition:

Step 1: Identify the Customer's Main Problem

Understanding your customer's challenges is the first step in crafting a value proposition.

This involves detailed research and discussions with various stakeholders within your organization (e.g. customer service representatives, marketing specialists, and salespeople).

These insights help you pinpoint the specific problems your product or service aims to solve.

Step 2: Highlight the Benefits

Once you understand the customer's problems, list the benefits your product offers that directly address these issues.

Each benefit should be clear and focused on a specific customer need.

This step is about translating features of your product into tangible benefits that matter to the customer.

Step 3: Explain the Value

After outlining the benefits, explain why these benefits are valuable. This involves going beyond the functional aspect of the benefits and connecting them to the emotional or business impact they have on the customer.

Step 4: Connect Benefits to the Problem

This step ties everything together by linking the benefits back to the initial problems identified.

Show how your product not only addresses but also resolves these problems effectively.

This connection is critical as it demonstrates the direct impact of your product on the customer's pain points.

Step 5: Differentiate from Competitors

Finally, establish why your product is the preferred solution over competitors.

This could be due to unique features, better pricing, superior quality, or exceptional customer service.

The goal is to articulate why a customer should choose you over anyone else in the market.

Here’s a template you can use: HubSpot’s Value Prop Template

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