The Value Proposition

While working at my last job, I was in charge of email communications that would be sent out to a large distribution list. The company sent out usually one to two mass-distribution email a week announcing events, promotions, and reminders. With so many emails going out, it became very easy to write up a quick note that announced the event with the general details and leave it there.

After one such email, I got a phone call from a friend who received the invite to an event. He kindly said, “Kyle, I get invited to events all the time from you guys, but I need you to know I will not be going to this one. It’s not that I don’t want to, but your email gives no value to why I should attend. It simply told me the name of the event, where it was, when it was, but never told me what value I would receive in attending.”

This honesty was humbling, but so helpful in understanding how critical it was to attribute value to what we do and what we invite others to participate in. Attributing value is known in business strategy as creating a value proposition.

“Developing a value proposition is based on a review and analysis  of the benefits, costs  and value that an organization can deliver to its customers, prospective customers, and other constituent groups within and outside the organization. It is also a positioning of value, where Value = Benefits – Cost (cost includes risk)”

A strong value proposition does more than just tell your potential client why they should buy your product or hire you for your services. It clearly defines why you are the best solution for their needs and what they will receive in return that goes beyond the immediate need. If all business transactions are a give and take exchange then a value proposition needs to communicate what the incentive is to give time, money, or resources in exchange for coming to the event, buying the product, or receiving the service.

To create value proposition, think of yourself in the mind of the buyer. If you truly have the best product out there or this is an event not to miss, then what would convince you to buy it or show up to the event? Sure there are some traits that are unique to you, but think generally. What sets this product apart? Why is this the best conference to attend on the topic? Create a simple answer. Tie that answer to your marketing, your promotional materials, and your communications.

For more on this topic, check out this article by Kinesis marketing.