Value Proposition is one of the most important elements of your company's success. It defines the factors that connect the brand's offer to customers and what distinguishes the company from the competition. It's not just services or products that go to consumers. They are also components that help to solve emerging problems, in which they cannot cope with the competition. This allows the customer to choose you.
The value proposition allows you to optimally manage all business and marketing activities.
Value Proposition helps to:
- customer identification,
- defining the needs and problems of consumers to whom the product or service is directed,
- identifying the most important features of the offer,
- specifying how to combine functionality with customer needs,
- describe why particular benefits are valuable to the consumer,
- Identify the differentiating factors from the competition.
Value Proposition — what is the value?
Value Proposition supports directing business and marketing activities, therefore, if it is not optimally determined — it can negatively affect the effect of any actions. Among the most important reasons why a company may not achieve its intended success is that it does not provide customers with the right values. Perhaps it proposes solutions that consumers do not want to buy, direct them to inappropriate audiences or do not meet their most important needs.
If a company cannot accurately determine the value proposition, there is a high probability that it will not achieve the intended success. As a result of market research, it turned out that most companies have a Value Proposition, however, more than half of the respondents do not try to improve these parameters in any way, and only a few percent of companies correctly determined the VP. So most companies could increase revenue if they only decided to work on optimizing Value Proposition.
What is Value Proposition Design?
Value Proposition to determination of the foundations of the business, which is formed as a result of a meticulous analysis of many factors. The process of designing a value proposition begins with an understanding of the client's needs, motivations and goals. Each element of the market offer should be related to the requirements of future consumers. A multidimensional VP is needed for meet the needs of many buyers at the same time — then it will pay off in the sales results.
Of course, when creating an offer, you need to take into account the actions of your competition. So it's worth betting on innovation and creativity and focusing on factors that will help stand out from other service providers. Improvements must be driven by customer needs. So you need to check carefully whether making changes actually provides them with the values they require. The entire Value Proposition Design process involves designing prototypes, testing them and trying to find the highest quality solution.
What can Visual Proposition Design bring?
Visual Proposition Design can result in many valuable effects. Yakimi? It depends on the needs of your company. So what should you focus on?
Make sure what exactly brings value to your customers
Value Proposition Design makes it possible to create, among other things, attractive goods and services for customers that they will want to buy. This is a fundamental challenge for any company. The design of value propositions allows the creation of specific patterns of factors that are valuable in the sales market. It allows you to gain knowledge about the effective introduction of competitive products that meet the needs and requirements of customers.
Utilize the potential of your team
Develop a common language with your team, which you will use when talking and building strategies. This will help you focus more quickly on the specific needs of customers.
Don't waste time on worthless ideas
Value Proposition Design facilitates the testing process to minimize the risk of failure. It will help to introduce innovative solutions, in line with the needs of users. In addition, it allows you to accurately estimate the ideas that have the best chance of success.
Who can benefit from Value Proposition Design?
The benefits of designing value propositions can be reaped both when you create something yourself from scratch, and when you belong to an existing organization. Value proposition design techniques will work in both situations. Of course, the process will be different in a company that is just starting out, and differently in an enterprise that has been operating on the market for some time.
New ventures — for individuals or teams who want to create new values and a business model from scratch.
The main challenges are:
- prove that your ideas can be measurable on a limited budget,
- managing the degree of investor engagement,
- proposing new ideas at a time when there is a lack of funds to implement the previous assumptions.
The opportunities for success are: making decisions quickly and using the potential of motivation as a driving force for action.
Organisations in operation — for teams that exist in individual companies and whose goal is to improve value propositions and business models.
The main challenges are:
- Gain support from management and access to resources.
In this case, it is worth taking advantage of existing business models, assets and value portfolios.
What is Canva Value Proposition?
In order to create a valuable value proposition, it is necessary business model canvas, that is, the company's action plan. It is a visual tool that facilitates the success of a service or product. It allows you to study the relationships between the constituent factors, the product value map and the customer profile. This technique allows sStructuring the approach to both design and testing, development and management of services and products.
Value Proposition Canva should be used when there is a need to improve the product offering or when a completely new offer is created. However, it should be borne in mind that in order to be able to use this tool, you must carefully complete the customer profile for each of the segments. Each of them It brings different benefits and carries with it other tasks. Using this tool can help you create completely new and relevant insights.
Value Proposition Design is a process that consists of several stages. The first of These are value mapping that helps create a baseline image. It is used to make changes that can improve the offer and adapt it to the needs of customers. The second step is a supplement to the map, aimed at a specific segment of consumers, that is, listing the characteristics of products that positively affect the user.
The third step is to check that the solution offered meets the consumer's expectations and check if the product fits the market and business model of your business. Step Four is Comparison with Competitor Solutions and filling gaps and unmet needs of the user.
In stage five, focus on ideas that can improve the product and make it even better in the sales market. Then check whether the introduced solutions meet the requirements of the customers. Repeat all of the above until a noteworthy, competitive proposal of new values appears. The goal of Value Proposition Design is to test new ideas and implement them.
With VCP, you'll be able to experiment with new value propositions that help you meet customer expectations and increase sales.
Do you want to know a little more about what factors influence the success of a business? Check out the rest of the entries on our blog. Are you looking for professional advice or help with a usability audit or UX/UI design? Apply to us Together we will find the best solution.
