Day After Buzz – Value Proposition (Part 2 of many)
This post follow on from the previous post and continues the discussion around a value proposition and beginning the sales cycle.
Value propositions; they are one of the most important aspects of your offering yet so many companies get things wrong. A Compelling value proposition can open doors. A bad one will close them faster than you can open you mouth.
The number one mistake companies make is having a value proposition that is only about them. For example, a value proposition could be: “We deliver quality” or “We are Open and Honest”. In your prospects mind these will generally pass as a Cliche. Just what is wrong with these value propositions? They do nothing for your potential customers, they do not demonstrate VALUE to your customers at all. They may do something for your current customers, but will your potential customers believe “you are the best” if they do not know you?
A value proposition at its best is designed to create curiosity and demonstrate value immediately, thats value to your PROSPECT. Here are some examples of value propositions:
- Helpdesk Software “We Automate Service Management Processes”
- Hiring Software “We Reduce the risk of a bad hire”
- Web Development “We create compelling user experiences”
- Social Media “We help you engage and connect with new users”
The key concept here is to format your value proposition in such a way that it creates curiosity and generates a follow up question like for example in Helpdesk Software: “What do you mean automate processes?” If that question is asked, you have successfully created curiosity and can follow up with more value.
After creating curiosity the next step is to further demonstrate value. A follow up answer for the helpdesk question may include: “We have helped companies very similar to yours reduce the frequency and cost of a helpdesk incident due to process automation”. Again, this response will prompt more discussion.
So to wrap up, the key concepts you need to master:
- A short statement that demonstrates value to your prospect and prompts a follow up question
- Answers to the follow-up question/s that demonstrate further value and create further curiosity and an ongoing conversation.
Delivery of the message:
Deliver of the value proposition is very important. Many sales people are trained that “every word counts” and to be very clear when speaking. While this sounds good, the problem is sales people tend to speak like robots when delivering a pitch. They sound like robots because they are told there is only one chance to “get it right” and they only have a “limited amount of time”. This is true if you are only talking about yourself, but if you are talking to a customer about a proposition that is extremely valuable to them, relax. Speak at a slow pace that is easy, relaxed and just like you are having a chat is extremely valuable. Be authentic, not robotic. And dont look like a showman as this breathes sales and screams infomercial; something people do not tolerate.
In the next post we will be discussing follow-up questions and a killer strategy for demonstrating value.
What happens the day after the buzz? You’ve built your product, created your services now what? For most people this is where things start to get chaotic. If you thought building a product was hard, welcome to the hardest part of your business, selling your product. Why do I say hardest? I say hardest because most businesses fail due to lack of sales direction. A lack of a plan and a lack of a sales strategy contribute to this. I have seen countless companies fall into this trap.