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What’s a Business Value Proposition
A BVP should clearly explain how your product or service fills the need of the buyer personas you’ve developed. It should also cover other areas, such as the benefits you communicate and how these perks can stand out from the competitors. Sometimes a BVP can be referred to as a Unique Selling Proposition (USP).
The BVP should also refer to the value your company promises to deliver. It has to declare your company’s intent, values, and operation processes and explain the Unique Selling Proposition.
Companies worldwide use this method to determine precisely how they will target their customers and as a foundational item in the UX strategy.
Understand Your Audience
You must discover the customer base, not just develop the “ideal” consumer. This means diving in deep and researching to find the same pains and problems your users need to solve. This will give your company a competitive advantage.
Understanding your customer is critical to obtain positive results by continuously developing a better digital product. Your consumers should feel that you know them. Without further explanation, the audience needs to fully understand the benefits of the product or service you’re selling.
Develop your Business Value Proposition
The tricky part is developing the BVP, but we’ve outlined some simple tips you can keep in mind that will help you drive results in your product design and product marketing efforts.
- Discovery Process
Knowing your customers’ problems and how you solve them helps you understand what they’re thinking. This includes user surveys and data visualization to ensure relevant team members are on the same page. This will also help you with the following step.
- Speak to the Customer Directly
When creating your BVP, your consumers and users need to be at the forefront of your mind. Fill in your BVP template about how you would speak to a user. It helps immensely to ensure that they will undoubtedly grasp what they’ll benefit from spending their money with your company.
- Use Real-Life Stories
Don’t just make up ideal scenarios. Use real stories from real users. This will help you understand where you’ve been successful but also where you’ve fallen short.
- Ask Your Team for Help.
You don’t have to go it alone. You can ask other people on your team for help improving your BVP. If they’re not up to the task, you can look for an external partner with experience in this process.
Common Business Value Proposition Mistakes
It’s safe to assume your ultimate goal is to keep your company profitable and growing. BVPs are a foundational document on which all your efforts should be built- without a strong foundation, the house will crumble.
Companies change over time, and so do consumers. As we’ve seen with the most recent crisis, internal and external factors can impact user behavior, and it’s your job to ensure that your efforts are not wasted. Sometimes the right decision is to take some time to iterate on past documents, like your BVPs.
Incorrect Solution Prioritization to Your Customers’ Pains
Determining what your users’ pain areas are is just the first step. Once you’ve got your list of problems, you need to organize them to help you figure out which should be dealt with first and which will help you achieve your KPIs. Strategyzer has developed a helpful way to manage your solutions’ priorities.
- Important (There will be severe consequences if this goes wrong)
- Tangible (Users can see a result)
- Unsatisfied (No other company has been able to solve this problem)
- Lucrative (It’s worth paying for the solution because it brings results)
Not Iterating on Essential Documents
Laziness is a sure way to see results drop. And you might be saying: “I’m not lazy. I’m just swamped.” However true that might be, you cannot build any strategy on a weak foundation. If your company already has a BVP, then it’s probably time to go back over it and see where improvements can be made.
Maybe your user base has changed slightly, or you’ve implemented new features that aren’t being highlighted as benefits to the consumer. In a world that is moving quickly, your company needs to make sure it can adapt or else get left behind.
Not Understanding the Value Your Company Offers
To continue driving positive results, you must ensure you’re setting your company apart from your competitors. Make sure you have clearly outlined the unique experience and value you’re offering, why your product or service will make a consumer happy, and how you can solve their problems in a way no one else can.
Figure out what it is about your company that makes you stand out from the crowd. This can be the visuals you use on your platform or how smooth a user’s experience is while using your service. These will significantly influence customers and their decision about where to put their money.
Helpful Business Value Proposition and Business Model Canvas Templates
You might have already downloaded a BVP template and felt you needed to dig deeper into your company to fill it out. Fair enough! That’s a pervasive feeling, so it’s often recommended to fill out a Business Model Canvas first. A business model canvas is a more detailed document that helps you collect the information you’ll need to build your BVP.
Don’t Risk Your Results
With an intense, regularly validated, and updated BVP, you can avoid seeing declining results and, therefore, profits. Since your ultimate goal is to drive results, you need to ensure you’re targeting the right audience and communicating your company’s value clearly and concisely. Potential and existing customers shouldn’t have any guesswork as to why you’re better than your competitor.
Whether you need to build your Business Value Proposition from scratch or iterate on your existing one, it’s always a good time to ensure your targets are on point. Keeping profits on the rise isn’t always easy, but you can certainly take steps to make it easier by providing you’ve developed a strong foundation for your company.
Takeaways:
- Business Value Proposition is crucial for your overall strategy.
- Understanding your customers’ pains and proving that you can solve them.
- Make sure you fully understand and demonstrate the value your company provides.
- Filling out a Business Model Canvas can help you organize your thoughts.
Re-discovering your customer base doesn’t have to be difficult. At Freeport Metrics, we’ve got experience helping companies like yours from concept to launch. Let us know how we can help with your BVP.
