UVP Defined
Unique Value Proposition, is a vital piece of information every company needs. By working out your UVP you are in effect defining and describing what you are giving your customers. It will give you more understanding of your own company, its strengths and weaknesses will be highlighted and it should enable you to define and produce brand, marketing and advertising that is better focused at your target audience.
The term Unique Value Proposition can be best understood by breaking it down into its parts.
Unique
This refers to the characteristics of your product or service that distinguish you from as many of your competitors as possible. What you do that sets you apart? It is important that you take the time to really understand how you are different from your competition. remember a UVP is not an offer or a gimmick
Value
Is the intrinsic worth of your offering to your customers. In other words, it defines what your customers get for their money. Describe how your service or product helps your customers. Take this input and translate it into several concise statements.
The Internet is a tremendous resource for gaining a better understanding for the UVP concept. There are numerous examples that you can find online through a search on the terms ‘Unique Value Proposition.’ Using the results of your search as a model, construct your own Unique Value Proposition.
As an example, IBM Global Services Consulting, the world leader in international Information Technology consulting, defines their Value Proposition in the following way:
Experienced resources
A proven approach
Global presence and scale
Flexibility to adapt to your situation
Unique capabilities
End to end offering capability
Insights to address the cultural issues
You don’t need 7 one will do just fine, Google have their’s
The search engine of the world
Write it down
Documenting your Unique Value Proposition and making it easy to understand is very important. Ultimately, your customer will determine how well you have captured your Unique Value but at the start of the process written everything down, these elements will combine to give you a better oversight into what you are offering your customers and will build into your UVP
What Is It About What We Do …
As an aid in this process, ask yourself this question: “What is it about what we do that makes us better and why should anybody care?” Combining your honest answer to this question with some objectivity and customer input will get you far along the path to identifying and documenting your Unique Value Proposition.
CCI – Customer Composite Index
In defining your UVP it is essential that you identify, as specifically as you possibly can, who your potential customers are. This is the foundation up which “ Target Marketing ” is based.
An easy way to tackle this problem is through the development of a Customer Composite Index. Your CCI is a detailed list of characteristics that very specifically and succinctly define your customers. Ask yourself these questions; where do our customers live, (in the case of consumer products)? Or, where are they located (in the case of businesses)? Does their location have any significance to the product or service I’m offering? Does how they live have any bearing? What business are they in – product, service, specialty, commodity? What’s their annual income or revenue?
Additionally, are there customer personality or lifestyle traits that are important to your business? And, who are their customers? This is especially important, because if you understand their customer’s needs, you truly know what makes them tick!