Writing a Good Value Proposition
The conversation went well and the prospect asked you to send him/her your value proposition.
You spend 2 hours putting it all together. 2 hours of not prospecting anybody else. You just wanna focus on what’s in front of you right now. Fully dedicating yourself to it.
You send it to them and you wait. 1 day goes by. No response. 4 days go by. Still no Response. A week goes by. A month goes by. And you never hear from them again.
What happened? They seemed so into it when you guys were talking, right? So, what went wrong?
That is exactly what I’m gonna talk about right now.
Imagine a box with 3 compartments. Here I’ll help you.
Problem, Solution, Value
Compartment 1 – The Problem
Compartment 2 – The Solution
Compartment 3 – Value
The first step of writing a decent value proposition is defining a problem. But wait! There’s a catch. Not like you used to do before.
We’ll have to define and describe a problem Vividly and then quantify it.
Let me explain. Let’s suppose you’re selling a matrass.
One way to do it is to sell the customer the problem it’s gonna solve like if you decide to buy this matrass, you’d be able to sleep well and wake up fresh every single day.
That’s pretty good, right? But can we dig deeper into the problem and the prospect’s pain points.
Mr. Prospect, an avg. person sleeps around 8 hours a day. That’s 240 hrs a month. That’s 87,600 hrs a year that you’d normally spend sleeping.
Since you’d be spending that,
Much of time laying in your bed don’t you want that to be comfortable.
Not only that but imagine if you didn’t sleep well on the matrass you have right now.
You go to work. You are cranky and not as productive. You fail to meet some tight deadlines and as a result you’re fired from your job.
It’s probably going to take you at least another month or so to find the next job. So, what about the bills for that month.
Hurray! You find the next job. But your lack of productivity continues. You get fired again! Companies have started blacklisting you now.
You’re struggling to meet the bare minimum. It’s a bad scene.
All because you didn’t sleep well. Is that the price you’re willing to pay.
What do you think about that?
Note – Obviously I went a little extreme. But I hope you got the idea.
Describe the problem “VIVIDLY”.
Next comes Compartment -2 “The Solution”.
Here you’re going to give a solution to the problem you described above in 3 steps.
- The Features.
- The Benefits
Compartment -3 “The Value”.
In this part we’re going to talk about the ROI – Return on Investment and ROTI – Return on Time Invested.
My Real Life Example
Let me give you a copy of a real-life Value Proposition I used to use sometime back for my Sales Training program.
1) Defining the Problem.
Mr. Prospect, right now we’re seeing a lot of organizations in your shoes dealing with :
- Reps that are getting beat down on price.
- They’re being treated as just another vendor, or finally
- They’re seeing a lot of their reps that are struggling just To Maintain Quota.
They are reluctant to prospect; Face problems getting past the Gatekeepers and are Wasting a lot of their time dealing with the Non-Prospects. People that are never really gonna Buy from them.
And if you look at how much you’re paying your reps just in basic salary. Its money going down drain, isn’t it?
(You can ever talk about Customer’s lifetime value loss)
Use your creativity but I want to keep this short.
2) Offering a Solution.
We at Empirical Consultancy offer companies:
- How to Better prospect.
- How to Handle objections.
- How to Understand prospects.
- How to be more creative in sales, and
- How to qualify them and create urgency.
That will allow you to Increase your conversions for both Inbound and Outbound.
And that means you & your team will be more adept in Closing more deals which will not only Help you expand your market share but also reduce costs in terms of less wasted opportunities.
Point of Differentiation OR Why should you trust me?
Add Social Proof. Videos, testimonials, Happy client’s experiences.
If you’re just starting up and don’t have any try using the “Inoculation method” I talked in detail in my previous book “The Subtle Art Of Closing Sales”.
This is the last and final stage of a good value proposition. And it’s going to be crucial because the last impression creates a lasting impression.
Here you’ll have to give them an ROI and quantify it. Let’s see how we can do it.
Mr. Prospect, if every sales rep in your organization closes just 1 more deal/week.
That would be 50 more deals per year.
“What does that mean to your organization?”
50 more wins per year.
If you know 50 more deals are going to close/year from the skills that you’ve learnt from us, how much is it gonna be worth to you?
Now comes the MOST IMPORTANT QUESTION.
“How is the ideal situation we’ve discussed compared to your current situation?”
That is how you write a Value proposition.
Don’t rely on my scripts word by word. Use your imagination and ask yourself how can you fit this into your business process.
Using an RPG on a nearby enemy is stupid. Use it for a sniper sitting 100 m away. Improvise, Adapt an Overcome.
Use your strengths. Fuck your weaknesses.