Value Proposition

Te c h n o p r e n e u r s h i p
Learning Objectives
• Explain what the value proposition is
• Explain what value is
• Craft a value proposition

2
Value Proposition
A value proposition is a statement
which identifies clear, measurable,
and demonstrable benefits
consumers get when buying a
particular product or service. It
should convince consumers that this
product or service is better than on
the market.
Value Proposition
A value proposition is a statement
that answers the ‘why’ someone
should do business with you. It
should convince a potential
customer why your service or
product will be of more value to
them than similar offerings from
your competition.
Value Proposition
A business or marketing statement
that summarizes why a customer
should buy a product or use a
service. This statement should
convince a potential consumer that
one particular product or service will
add more value or better solve a
problem than other similar offerings.
Value Proposition
A good value proposition can give you an
advantage over your competitors and is often what
your prospects use to evaluate you. And for many
consumers, your value proposition is the first thing
they encounter when exploring your brand. So, having
a clear, concise value proposition is more important
than ever.

You’ve got a less than a minute to

capture a site visitor’s attention.
Value
One aspect of this “value” is
benefit. This is generally interpreted
as the need, problem or pain point of
the customer or end-user which the
offer of product or service is
supposed to address. Value is
maximized when offering fits needs.
The second aspect of “value” is
differentiation or the reason(s) a
product is not only different but
preferable to another product.
Benefits
Tangible Benefits
It include measurable quantities
such as efficiency, savings, and
profits, to mention a few examples.

Intangible Benefits
It is very subjective benefit,
usually psychological in nature, that
cannot be touched and is difficult to
measure in terms of cost.
Writing a Good Value Proposition

• Identify all the benefits your product or

services offer
• Describing what makes these benefits
valuable in a quickly digestible way
• Identify your customer’s main problem your
value proposition helps solve.

By connecting this value to your buyer’s challenges your

value proposition will become more clear. This is what
helps you differentiate your brand as the best provider
of this product or service.
Writing a Good Value Proposition

Characteristics of a Good Value Proposition

• Be concise and easy to understand
• Define what you do
• Make it easy for someone to find you in an online
search
• Explain how your product resolves a pain point for
your potential customer
• Be displayed prominently on your website and/or
your consumer touch points
• Answer the question: “If I am your ideal customer,
why should I buy from you instead of any of your
competitors?”
Which are examples of value proposition?
• 10x faster
• 1-click purchase
•
•
Voice Activation
Inexpensive fee
None of these…
These are features, functions, and
• 2-day delivery technologies.
• Low emissions
• Fair trade certified
• Organic
Examples of Value Proposition
✓ Saves you 30 minutes everyday.
✓ Helps you stop smoking so you can live longer.
✓ Make sure you never miss your favorite TV show.
✓ Helps you look 10 years younger.
✓ Let’s people know you’re stylish and trendy.
✓ Let’s you enjoy retirement early.
✓ You’ll never be stuck without your digital documents.
✓ You’ll always be able to get a ride home.
Uber’s Unique Value Proposition
Food Panda’s Unique Value Proposition

Accessibility & Convenience

Customization

Cost Reduction

Brand or Status
Mang Inasal’s Unique Value Proposition

Unlimited Rice & Soup

Affordable on the stomach,
and on the pocket
Filipino ambiance
Value Proposition Canvas
Value Proposition Canvas

the benefits which the customer

expects and needs, what would
delight customers and the things
which may increase likelihood of
adopting a value proposition
Value Proposition Canvas

the negative experiences,

emotions and risks that the
customer experiences in the
process of getting the job done
Value Proposition Canvas

the functional, social and

emotional tasks customers
are trying to perform,
problems they are trying to
solve and needs they wish
to satisfy
 Value Proposition Canvas

how the product or service creates

customer gains and how it offers
added value to the customer
Value Proposition Canvas

a description of exactly how the

product or service alleviates
customer pains
Value Proposition Canvas

the products and services

which create gain and
relieve pain, and which
underpin the creation of
value for the customer