Without the right Value Proposition options to be used with the right targets at the right points in the sales cycle, the Go-to-Market strategy and Demand Creation plans will remain undifferentiated; be oriented towards products rather than markets served; and therefore deliver sub-standard business results.
Here is Step One of building a Value Proposition Statement that works: determining the target audiences that your company is going after.
The one Value Proposition formula I have been using is here (there are many; some are good, some are dumb; this one works for me):
To [your target audience], is the [vendor category description]
of [product or solution description] that delivers [your benefit statement]
because [proof & reasons to believe you]
Continuing with the series on how to build the right Value Proposition Statement that works for your organization, I will focus now on “Key Players” in your model.
So take out pen and paper — and start!
Determining Your Key Players
Whether or not you are in-market already, jot down a description of your business model.
Think about: How do you generate revenues? And profits? Where is the demand for your product/service/solution coming from now? Where is the pent-up demand? (and how do you know that?).
For some people, it may be easier to draw a diagram or a flowchart. Just make sure you capture all the multiple players in your ecosystem, and identify “key” ones.
Do not forget to include: client/customer decision-makers, influencers, investors, channel partners, competitors… all of them. And, especially in the online space, don’t forget to identify “who pays”!
How many key players have you identified?
Now rank them and list them vertically. Then add two columns:
#1: Who are they?
For each “key player” identified: What are their demographic and psychographic characteristics? What is the primary problem you solve for them? And what are the secondary ones?
If BtoB, what are the key player’s Roles and Job titles? Is their compensation and/or performance evaluation tied to resolution of the problem you solve for them? (If not, then why should they care about what you have to offer?)
#2: What are they trying to accomplish?
For each “key player” identified: What keeps them awake at night that you can solve? What social needs does your product/service/solution meet? (Yes: this applies to both BtoC and BtoB)
Now step back and review the table you have created.
You have now completed Step One of building a Value Proposition Statement that works: determining the target audiences that your company is going after. Next posts will deal with the other elements of the formula.