When transitioning from a nonprofit executive to an entrepreneur, I realized one key truth: a killer value proposition can make or break your business. It’s not about fancy words or complicated jargon—it’s about being clear, simple, and to the point.
Let me walk you through how to build your value proposition, step by step.
1. Start with Market Research
You need to know your audience before you can create a strong value proposition. For example, at my company, ForwardBrands, our value proposition is “We help founders clarify their marketing message so they can increase sales and decrease confusion.”
Step 1: Know who you’re talking to.
- Who are your customers? What do they care about? What problems are they trying to solve?
- Don’t guess—go out and talk to them. Run surveys, and interviews, and analyze data.
Step 2: Understand your competitors.
- What are your competitors offering? What do their customers like or dislike? Look at reviews, pricing, and messaging.
- See where you can do the opposite of what others are doing. In a sea of sameness, sometimes the best way to stand out is by being different while still delivering the value your customers seek.
Step 3: Create customer personas.
- Imagine a few of your ideal customers. How old are they? What do they do for work? What are their main struggles?
- For example, let’s say you’re selling project management software to small businesses. Your customer persona might be “Sarah, a 35-year-old small business owner who feels overwhelmed managing multiple projects at once.”
2. Focus on Benefits, Not Features
Your value proposition should be simple and direct. Don’t confuse your customers by listing a bunch of features they might not understand. Focus on benefits—how does your product or service help people?
Example:
Instead of saying:
“Our project management software has an easy-to-use interface and customizable features.”
Say this:
“Our software helps you save time and reduces stress by keeping your tasks organized in one place.”
Why it works:
- The first example talks about features (things your product has), but the second one talks about benefits (how your product helps). Benefits are what customers care about because it shows them how their lives will be better with your product.
Remember: Keep it simple! Write like you’re explaining it to a 5th grader.
Once you have this down, you can begin to take your core message and use different copywriting tactics and formulas for your sales team. But always remember—talk more about your customers’ problems, not about yourself. It might be cool that you’re a 4th generation business owner, but unless you’re delivering a product or service that solves their problems, your customers won’t care.
3. Communicate Strategically
Now that you’ve nailed down your value proposition, it’s time to spread the word—but do it in the right places.
Step 1: Know where your audience hangs out.
- Are they on social media? Do they attend industry events? Use this knowledge to put your message in front of them.
Step 2: Engage with your audience.
- Don’t just post and disappear. Reply to comments, answer questions, and participate in discussions. Your audience wants to see that you’re invested in their success.
4. Take Action and Keep Iterating
Don’t get stuck in the planning phase. Once you have your value proposition, put it into action.
- Start small—test it out by creating a simple landing page or sending it in an email campaign. Get feedback and see what works.
- Example: I once sold a product before I had any inventory, just to make sure people were interested. It worked, and I didn’t spend a dollar on stock until I knew it would sell.
Adjust as you go: Learn from your audience’s feedback and make changes to improve your value proposition over time.
5. Build Trust Through Consistency
Consistency builds trust. Every interaction with your customers should reinforce your value proposition.
- Deliver on your promises. If you say your product will save them time, make sure it does exactly that.
- Trust comes from reliability. You can have the best value proposition in the world, but if you don’t follow through, it won’t matter.
6. Learn, Adapt, and Grow
Running a business means constantly learning and adapting. Pay attention to what works and what doesn’t.
- Check your metrics: Are people responding well to your messaging? Are they buying your product? Use this data to refine your approach.
A killer value proposition doesn’t need to be complicated. It needs to be clear, simple, and focused on benefits. By understanding your market, focusing on how your product helps, and being consistent in delivering that message, you can create a value proposition for your business that truly resonates with your audience.
Start today: Keep it simple. Write for your customer—not yourself. And remember—don’t compete in a sea of sameness. Sometimes the most value comes from being different, while still solving your customer’s problem. At the end of the day, people want their problems solved—that’s what keeps us all in business.