Value propositions are suppose to be simple and clear. "Simplify your finances" is that a good value proposition?
I really like the idea of specific benefits. "Have more time" is vague, but "get to your daughter's dance concert" is specific.
Generally, if you can make the value proposition specific and something that your prospective clients can relate to, you've got a much stronger position than if you offer them the opportunity to: "gain control of your life", or "have more freedom."
No... it is not a good value proposition. Because it isn't a value proposition. It could be a slogan from an accountant, from some software, from a hand-held calculator, from a book-keeper... tonnes of things. And, As such, by default, it is NOT a value proposition at all.
These 2 videos are ALL you ever need to know about value propositions. Ignore everything else anyone else ever tells you about them - especially if they say it can be a short sloganesque type thing. This myth is propogated all over the damn internet and startup world. It irritates me hugely.
Michael Skok is a legend. Listen to him. Best 1.5hours you will ever spend on your business.
A value proposition is NOT a short nifty slogan. It is virtually NEVER articulated directly on someone's marketing material.... and it has to have an UNLIKE.
I agree value propositions should be simple and clear. "Simplify your finances" is a great start. You should then follow up with how your product does that etc.
Start with a best guess value proposition then let the market tell you what the real best value proposition statement should be. Do this by split testing various versions to see what the outcome is. Once you get customers ask them via a survey or phone call what they think the value proposition should be.
Always defer to the market for the answer to best anything.
Being simple and clear is important. However, a great value proposition also differentiates you from the competition. For that reason, I'd argue that "simplify your finances" is not a great value proposition. From a customer's perspective, it tells me very little about why they should choose you over another option.
Specifics are key to standing out and appealing to the needs, wants and desires of your audience. Your value proposition should clearly define the service you offer, and the end benefit of using your product or service.
To formulate a great proposition, consider the following questions:
1) Who is your target audience?
2) What are they currently struggling with?
3) How does your product/service specifically help them overcome this obstacle?
4) What alternative solutions are available? Why is your product/service better than these alternatives?
These questions will help you zero in on your main focus, and better appeal to your audience.
If you'd like to bounce around some ideas, and further dial this in, please feel free to set up a call with me.
Talk to you soon,