Do you know what value you bring to the market?
This is a question that many business owners in the world simply are not able to answer. When you look at your business, do you feel as if you are simply going through the motions? Do you feel that what you are offering is just like the “other guy” down the street? If you answered yes to either of these questions, then it’s time to take a look at how you are positioning yourself in the market, beginning with your value proposition.
What is a value proposition?
Your value proposition is simply what value people assign to your products and services that you offer. The key to having a successful value proposition is that it is higher than what you ask from clients in terms of their investment. The value your business provides can be an arbitrary value, as it will depend on timing and what specific problems you are solving. As an example, if you just finished running a marathon and you saw a water station at the end of the race, what value do you place upon the water station? Obviously if you are thirsty, it is near priceless. However, if you were trying to sell water next to a public water fountain, what’s the value? Obviously in this case its substantially lower because of the environment.
Understanding what problem you solve.
Clarity in your business is one a key factor in attracting clients, and ultimately generating referrals. Compare the value between a handyman and an electrician, which of the two will earn more per hour of their time? The electrician will because they have a clearly defined value, as opposed to the handyman which is not as defined. When you look at your business, what is the specific problem you solve that people will seek you out for? The more clear you are, the easier it will be for prospective clients to understand what value you provide.
What benefits are you providing?
Always remember that people buy benefits, not features. If there is ever any doubt, ask someone why did they buy their current vehicle. More often than not, you will find that a particular benefit stood out to them. Some of the benefits may be more apparent than others, but the benefits will be there. As you look at the products and services you offer, what benefits are you providing?
When you provide benefits that resonate with an individual’s belief system, you will have a combination that helps position you above and beyond your competition. These are key components of your value proposition. The more people believe in you and your product, the higher the value they place upon you. What level of belief do people have in your business?
You vs The Competition!
In most industries you will come across people that provide similar services as yourself. It is your duty to position yourself in a manner that makes you stand out in a crowded market. You absolutely must position yourself in a way that compels people to choose your services over others because it is the only logical choice.
When everything is equal in the market, it’s the value YOU bring to the marketplace that will make you stand out. At the end of the day, people are investing in people. It is up to you to give them a reason to invest in you vs your competitors. What are you doing on a daily basis to convey your value, to give them a reason to invest in you vs the competition?
Do people know what you stand for?
One of the simplest ways to convey your value and stand out in a crowded market is to take a stand for what you believe in. We live in a world where people are afraid of offending someone. If you try to be everything to everyone, you will end up being special to no one. It is absolutely imperative that you decide on what you represent in the market and plant your flag.
Planting your flag will let people know what you stand for, what you bring to the market and what you will not compromise for. Look at the number of businesses that are willing to do anything to generate business. As an example, look at Apple. If you want a product from Apple, you buy it in one of the few ways that they deem appropriate for their brand. There’s no negotiating on their prices because they know the value of their product.
Let’s compare this to brands such as HP, Dell, Lenovo, Samsung, etc. How many times do you see their products on sale at your local electronics store? Practically every week. How many different models do each of them have? There are products to sell to every type of consumer from low end to high end.
It is up to you to decide what value you bring to the market in your business. When you understand your value, you can quickly create your value proposition and ultimately attract your ideal client to your business.
Take a moment and write out what value you specifically bring to the market in your business that’s different than the competition. Once you’ve written this out, share in the comments below what your value proposition is.