Could your company capture new success through redeveloping its value proposition?
A value proposition is where your company’s product offer intersects with your customer’s desires. It’s the magic fit between what you make and why people buy it. It’s difficult to know for sure, but one thing is for certain. If a company doesn’t refine its value proposition at the right time, it could lose that opportunity forever!
When is Value Proposition development important?
- declining sales
- product/service is a commodity
- declining margins due to price competition
- loosing market share to competitors
- changing customer demand
- market disruption requiring strategic change
Business case for value proposition development:
- 43% more margin
- 39% higher turnover
- 38% improved customer loyalty
- 61% higher dealsize
Having accepted the need to redefine customer value, the question for many organizations is how to go about actual value proposition development in a structured way. How to determine the best value proposition as there are several possibilities. How to translate the proposition to marketing, sales and delivery? And how to measure whether the proposition is actually delivering the desired outcome to the customer?
Developing a viable value proposition
Your best value proposition is not about what you do or the products/services you sell, but articulate a highly valued outcome the customer desires as it contributes to the business results or the corporate strategy of the customer.
R2R’s value proposition house helps you to develop a viable value proposition in a structured way. The aim is to define it on a single page. So it can be easily used by marketing to further develop the market communication of the proposition, by sales in the qualification process in order to determine whether or not the proposition matches the customer’s needs, and by operations as input for the delivery process.
By involving your employees in the proposition development process and by making the evaluation transparent, we ensure new propositions are supported internally and propagated externally.
The Value Proposition House helps you focus on executing better and faster. It is a simple framework that quickly gets you to the ‘minimum viable clarity’ required to start building and testing.
The Road2Results approach for Value Proposition development helps you to improve your view on customer needs and to translate this view into a new product or service that customers truly value. Sprint-by-sprint we will help your organization to accelerate in the right direction, enabling it with the capabilities, commitment and behaviors needed to deliver end-state success.