This post was written as part of the IBM for Midsize Business program, which provides midsize businesses with the tools, expertise and solutions they need to become engines of a smarter planet.
You want your value proposition to compel your dream client to take action? Here are seven questions you need to ask and answer to test the potency and effectiveness of your value proposition.
(1) Is it different? If you want your value proposition to do its job for you, you need it to speak to your differentiation strategy. You need it do drive a wedge between your dream client and your competitors. Can anybody do what you do the way you do it?
(2) Is it compelling? If your value proposition doesn’t speak to your dream client’s business drivers and their strategic goals, then it isn’t compelling. If it isn’t compelling, then it isn’t an effective value proposition. How does it speak to the need for change?
(3) Is it tailored? You start with a very general value proposition as to how your company creates value. But as you engage with the stakeholders within your dream client company, you create a more specific value proposition tailored to their needs. If it isn’t tailored to their individual needs, it isn’t compelling.
(4) Is it measurable? Your value proposition must be measurable. You may not need to get to a complex or complicated return on investment analysis, but you do need to describe how you will measure the new results you help your dream clients produce.
(5) Is it time-bound? Part of what makes a value proposition compelling is that it describes a benefit against time. Without making your value proposition time-bound your dream client doesn’t have to act with any urgency. By tying it to some measure of time you can better describe the cost of inaction.
(6) Is it easy to remember? Your value proposition can’t be so complex and complicated that your contacts can’t remember it. it It needs to be a simple summary of the value you create. Remember, you can support it with as much documentation and as much proof as necessary. The value prop is a summary statement.
(7) Is it defendable? The contacts within your dream client company are going to have to defend the value you create within their company. The more clearly and concisely you can define that value, and the more clearly it is tied to their strategic initiatives and outcomes, the easier it is to defend. Remember, you won’t be there when these conversations take place.
Did your value proposition pass these tests?