10 Value Proposition Examples

This is a long article, but it’s jampacked with value proposition examples, and I promise you’ll leave knowing what the heck your value proposition is.

What is a Value Proposition anyway?

I know the best way to answer this for Entrepreneurs is to give examples.  First, let me give a basic definition of a value proposition.

A value proposition is the solution to your customer’s problem.  It goes hand in hand with the problem you are solving.  I am a customer, I walk in with a problem, I walk out with a solution.  The solution then is not your product or service, but the solution your product or service provides.  ie: the end result, the value given to the customer.

Here are 10 of the Best Value Proposition Examples

1.  Newness

For example, we did not know not having a TV was a problem…until we were introduced to the TV.  The value proposition examples then in this case, is newness.

Newness may be your value proposition if:

  • You have a new technology.
  • You have a new invention.
  • It is very, very unique.
  • You can’t figure out what industry you are in, because nothing fits.

2.  Performance

For example, the iphone was first to market.  Huge, big hit.  Then everyone else starting improving on what the iphone had.  The Galaxy by T-Mobile made a thinner look-a-like.  Galaxy identified what the iphone was missing, then sought to improve it.  The iMac did the same to the PC.

So, performance is your value proposition if:

  • Your product or service already exists.
  • You are bigger.
  • You are better.
  • You are faster.

(Alright..hopefully your brain hasn’t exploded yet.  My goal was to make this as “real life” as possible, so please let me know if I achieved that for you).

On to more value proposition examples…

Tip: You can have as many value propositions as you want by the way, but it’s better to focus on 3 core value propositions.  You may also have a different value proposition for different types of customers, that somehow work together, but then it gets really complicated.  This is why successful value propositions & business models focus on one customer, or one niche market.

3.  Customization

Customization is my favorite value proposition examples.  I love it when an Entrepreneur really knows his customer (and most do), and they are driven by passion for that customer.  Technology has allowed us to scale this model, which wasn’t available before.  This is also the value proposition that the majority of our small business owners offer.  It’s walking into a site or store, and being acknowledged.  Products or services are made or recommended just for you.

Customization might be your value proposition if:

  • Your technology recommends products or services based on the specific customer (like how Amazon recommends books).
  • Products or services designed for a specific customer.

4.  “Getting the Job Done”

Getting the job done is one of those really important value proposition examples.  The problem we’re seeing with a lot of this social media stuff is nothing really gets the job done.

Of course, all work and no play makes for a dull day, so non-productive products/services will always have a place in our market too.

“Getting the Job Done” may be your value proposition if:

  • Your product or service enhances a customer’s productivity.
  • Like internet marketing software, HubSpot.
  • Basecamp is another good example of this value proposition.

5.  Design & Usability

Who wants to buy a product or service that they can’t figure out how to use?  This is becoming more demanding in technology and electronics where customers expect this value proposition built into functionality.

Superior Design or Usability may also be your value proposition if:

  • You are in the fashion industry (design)
  • You are in the design industry (that was easy…)
  • Targeting a customer where design and usability are important.

6.  Price

Price is a big one.  The majority of customers will be price conscious, to some extent or another.  I really don’t think I need to give examples here…just make sure your price is balanced with your value.

7.  Reducing Costs

Reducing a customer’s cost is always a great value proposition.  People are always looking to save money.  The insurance companies are eating this up right now with the economy as an “easy way to save money”.

Cost Reduction may be your value proposition if:

  • You reduce your customer’s cost.
  • You can save them money by switching services (Geico focuses on this value proposition).

8.  Reducing Risk

Reducing risk is an insurance companies core value proposition.  Anytime you buy insurance, that’s what you’re paying for.

Reducing risk may be your value proposition if:

  • You are an insurance company.
  • You prey on making insecure people feel safe.
  • You provide in-depth data that can make people feel safe.

9.  Accessibility & Convenience

Why do we go to the convenience store around the corner, instead of the cheaper grocery store 15 minutes away?  Convenience.  It’s easily accessible.  Good value proposition example of this include Facebook and convience stores.  Two very different types of businesses, yet both offer the same value (see how creative you can get?).

This might be your value proposition if:

  • You can stay in front of your customers.
  • You combine products or services (like Super Walmart)

10.  Brand or Status

I included this last because most start ups won’t have an established brand or status…but you can partner with someone who does!

Brand may be your value proposition if:

  • You are well known.
  • You’ve purchased something well known (JcPenny bought Liz Claiborne)
  • Or maybe you can create a brand that is powerful & unique.

Hope you enjoyed my value proposition examples.

 

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