Your business’ value proposition is what gives you a competitive advantage in your industry. It describes why someone should buy from your company instead of buying from a competitor. A value proposition is also an important factor that will enable you to reach your conversion goals. The right value proposition could be the deciding factor between closing or losing a sale.

How to Create a Value Proposition for Your Business

Keep reading to learn the ins and outs of creating a value proposition for your business that will attract customers and drive sales.

Know What a Value Proposition Must Include

It may seem simple, but your company’s value proposition is more than just a few sentences. The words you use must offer insight into what specific benefits you offer, why a customer should purchase from you and not from a competitor, and most importantly, how your offering solves a problem or improves a situation.

Make note that a value proposition is not a slogan. A value proposition is less about your brand and more about what you can do for your target audience and why they should choose to purchase from your company.

In creating a value proposition, you have to come up with something that not only captures the main benefit of your business, but a statement that is valuable, memorable, and clear.

While there’s no must-follow formula in creating a value proposition, at a minimum you’ll want to include:

  • A headline
  • 2-3 sentence paragraph
  • Bulleted list to describe benefits and features
  • Visual element (ie. photo of product, hero shot, etc.)

The bottom line is that your value proposition should inform consumers about what your company sells, the benefits of using your products, and what makes your offering unique.

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Make It Understandable

A value proposition shouldn’t be written with all sorts of jargon and lingo that doesn’t make sense to the everyday person. Using overly technical or industry-focused language isn’t likely to resonate with your audience.

Instead, you’ll want to really focus on creating something that’s easy to read and understand. But how do you know what kind of language to use and what will captivate customers? Unsurprisingly, the right language is the language of your customer! You can use social media or even conduct interviews to pinpoint how your target audience speaks.

Research how your customer base describes your offering and how it benefits them. Instead of guessing what the right language might be, look at how consumers are already talking about and describing your business and product. Use these words and phrases when developing your value proposition.

Pinpoint Value-Adds

More often than not, it’s the little things that make a customer choose to purchase from one company versus a competitor. Even the simplest of value-adds can have a huge impact in swaying a customer to purchase from your business.

Take a look at what your competitors offer and don’t offer. From there, figure out what value-adds you can use in your value proposition to show consumers that your business provides a value-add that others don’t. 

For example, if your closest competitor offers free shipping, you can up the ante by offering fast or next-day shipping. Consumers are often willing to purchase from a business that allows them to receive their products faster. 

Or, you can offer free installation and setup, which is a huge perk if competitors charge a fee for these services. This saves money for your customers, and who doesn’t like saving a few extra dollars?

Use a Call to Action

After a consumer reads your value proposition, figure out what step or action you want them to take. Do you want them to click to learn more about your business and product? Do you want them to order a sample product, sign up for a trial version, or make a purchase?

Including a call to action at the bottom of your value proposition is a great way to encourage consumers to continue along the sales process. This way they don’t learn about the awesome perks of your product, only to click off the page because they aren’t steered to make a purchase or learn more about your business.

In order for your value proposition to be valuable, make sure that it’s above the fold and easily locatable on your website. You can also choose to include your value proposition on your social media handles.

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Creating the right value proposition can make or break your business, especially if you operate in a highly competitive industry. When creating a value proposition, be sure to keep this information in mind so that you can create one that makes your business stand out from the crowd and shows just how beneficial and unique your product or service is.