How to create a Value Proposition Statement
A four step process for creating a value proposition.
A value proposition is a concise statement that describes that value that a business or brand brings to customers which was initially mentioned in a McKinsey Staff Paper in 1988.
Examples of Value Propositions
Below are some examples of Value Propositions:
- Uber: The smartest way to get around.
- HubSpot: An easy-to-use CRM.
- Fedex: Mange your home deliveries.
- Imperfect Foods: Groceries that help you fight food waste.
- Hulu: All the TV you love.
How to create a value proposition
Follow the steps below to learn how to create a value proposition.
If you have already carried out and synthesized the research, jump to step four.
Step One: Write a Hypothesis
Before you can write a value proposition statement, you must define the problem that you are trying to solve or the idea that you want to validate.
Please note that this hypothesis could relate to an existing feature, product, service or experience and could pertain to an entirely new creation or an addition to an existing creation.
Step Two: Define the target audience
Value proposition statements are meant to define the value you bring to a target audience.
In order to know who to create for, you must define your target audience.
Step Three: Carry out the Research
Perform user research, desk research and carry out interviews and remember to record your findings in ways that can be synthesized into insights and other products that augment your ability to generate meaningful solutions for your target audience.
To learn more about the products that could arise from synthesizing your research consult the link below.
Part of the synthesis should be uncovering what the customers "jobs" are and how a product, service or experience could reduce the bio-cost, which is known as the amount of energy or time required to carry out the "job."
For more information, consult the Value Proposition Canvas and Harvard Business School article linked below.
Step Four: Write the Value Proposition Statement
Consult the insights and products of research synthesis and write the value proposition statement.
Questions that may help you write the statement include:
- What the company or brand does.
- What customers can gain from selecting the company or brand over that of your competitors.
- What market the company or brand is competing within.
- What the company or brand fulfills.
- What separates the company or brand from the competition.
For more information, consult the Harvard Business School article linked below.
Learn about different design thinking products and methodologies
We recommend that you consult our Methods for Synthesizing User Research article linked below to learn about design thinking products that could come out of the research that you have conducted.
These products are created using popular design research methodologies which are intended to help you and your organization innovate effectively.
Always remember, the work is never done
delasign's process
When creating a value proposition statement, it is important to note that they are neither a start nor an end.
They should serve as a sound board to help you make meaningful decisions as you generate meaningful, intentional and focused ideas that are valuable to the target audience and which result in a return on investment.
As you transform the lives of your users, they might change. This is what you're looking for and will mean that you will have to redo this process to produce a meaningful addition to your value proposition statement.
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