Commercial Integrator December 2021 - 11

AV BRAINS & BRAWN
and what they specifically do, and not just
a general sense " of " them. As one expert
opines, " The 'perfect' value proposition is
to-the-point and appeals to a customer's
strongest decision-making drivers. "
Warren Buffett of Berkshire Hathaway
fame tells us about what he calls an " economic
moat. " An economic moat is a competitive
advantage. He states that the wider
the moat, the bigger and more resilient
the firm is to its competition. Companies
use this statement to target customers who
will benefit most from using the company's
products, and this helps maintain a
company's " economic moat. " At its best, a
great value proposition demonstrates what
a brand has to offer a buyer that no other
competitor has, and how a service or product
fulfills a need that no other company is
able to fill.
Structuring a Value Proposition
A value proposition communicates a list
of reasons why a product or service is best
suited for a customer segment. The creation
and careful editing of the " short list " is
critical since it is the most effective tool we
have to initially resonate with the buyers.
It should always be displayed prominently
on a company's website and in other buyer
touch points. It also must be intuitive, so that
a customer can easily read or hear the value
proposition and understand the delivered
value without needing further explanation.
Experts tell us that " Value propositions
that stand out tend to make use of a particular
structure. It begins with a strong, clear
headline that communicates the delivered
benefit. The headline should be a single
memorable sentence, phrase, or even a
tagline. It frequently incorporates catchy
slogans that become part of successful
advertising campaigns. Often a sub-headline
will be provided underneath the main
headline, expanding on the explanation of
delivered value and giving a specific example
of why the product or service is superior
to others the consumer has in mind. The
subheading can be a short paragraph and is
typically between two and three sentences
long. The subheading is a way to highlight
the key features or benefits of the products
and often benefits from the inclusion of bullet
points or another means of highlighting
standout details. "
Keep your creative options open. Value
propositions can follow different formats as
long as they are unique to the company and
to the consumers the company services.
Effective value propositions are easy to understand
and demonstrate specific results
for a customer selecting your company
products and/or services.
To differentiate your company, products,
and/or services from any competition,
avoid overused marketing buzzwords,
and communicate value within a short
amount of time. For a value proposition to
effectively turn a prospect into a customer,
it should clearly identify who the
customers are, what their main problems
are, and how the company's product or
service is the ideal solution to help them
solve their problem. A carefully crafted
structure allows buyers to scan the value
proposition quickly and pick up on your
company strengths and differentiation. In
order to craft a strong value proposition,
companies should conduct market research
to determine which messages resonate the
best with their customers.
Words to the Wise in Writing
a Value Proposition
Gartner provides us guidance and tips on
writing a value proposition by answering
the question as to what makes a good value
proposition:
› Clarity - Make it easy to understand.
› Communicates specific results a customer
will get.
› Explains how a product or service is
different and better.
› Can be read quickly in under 5 seconds.
In writing cover the following:
› Identify all the benefits your product
offers.
› Describe what makes these benefits
valuable.
› Identify your customer's main problem.
› Connect this value to your buyer's
problem.
› Differentiate yourself as the preferred
provider of this value.
Hopefully I have made my case (along
with support from recognized experts) on
the necessity of creating and employing a
strong value proposition. The " distance "
between wanting to create a great value
proposition and doing it can be a true journey.
The variables are significant. Today we
have very few truly disruptive technologies,
so it boils down to your company strengths,
market research to see where you stand,
marketing outreach, and the sales team.
Be honest in your approach and think of
tangible benefits that really solve customer's
problems. We are not in the solutions
business rather the problem-solving business.
If your value proposition speaks to
risk avoidance and problem solving for the
customer in a convincing way you are ready
to address and conquer the new reality of
commoditization and parity and stand out
from the competition.
A company's value proposition should be able to be read in less than 5 seconds
and point out the benefits of your service and differentiation from competitors.
commercialintegrator.com
Alan C. Brawn, CTS, ISF, ISF-C,
DSCE, DSDE, DCME, is the
principal of Brawn Consulting.
DECEMBER 2021 Commercial Integrator
11
WRIGHTSTUDIO/STOCK.ADOBE.COM
http://www.commercialintegrator.com
Commercial Integrator December 2021

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