What is Great Value's Best Product

Value Propositions: What They Are And How To Create Them (With Examples)

Why do customers buy from you? Why do people choose you or your products, even though there are hundreds of alternatives? What sets your company and your products apart from others?

The solution: With your very own value proposition. This term is not a contentless invention of marketing, but a serious aspect of your branding. What distinguishes your products and what makes you stand out from the sea of ​​providers is one of the most elementary questions when hosting an online shop. You should not only answer this yourself, but above all communicate this answer to your users. We'll tell you how to do this in the following blog post.


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  • What is a value proposition?
  • The anatomy of the value proposition
  • Examples of successful value porpositions
  • Types of Value Propositions
  • This is how you create your value proposition
  • This is how your value proposition becomes perfect
  • What is a value proposition?

    The value proposition is the added value that your customers get by buying your products. So far, so unspectacular. Now you are facing a major challenge, especially in e-commerce: Since potential customers usually cannot test your goods before buying, it is largely based on one thing: trust. This is particularly important if the visitors to your shop do not know your articles and you want to win them over as new customers.

    If you manage to perfect your value proposition, you can increase your conversions and improve your marketing across many channels. Knowing how to present your company and products in irresistible ways is an incredibly important part of your marketing.

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    Specifically: What is the value proposition?

    A solid value proposition meets three criteria:

    1. It is specific: What are the specific advantages for the customer?
    2. It is problem-related: How does your product eliminate the customer's problem or improve their life?
    3. It is exclusive: What makes it both desirable and exclusive? How does the value proposition set you apart from the competition?

    Whether and to what extent your products meet these points can only be seen after the purchase. In no case should you confuse advertising slogans and buzzwords with value propositions, because these are two completely different pairs of boots.

    The following illustration shows you how you can avoid this trap.

    Only in the rarest of cases is your value proposition about the product itself or its features. Rather, a value proposition is about how the brand or product improves your customers' lives and how you feel when you use it.

    A value proposition should be paramount when a visitor lands on your website. Often it says "above the fold" on a homepage. This means that it is visible to visitors to your website without scrolling - basically the very first impression for which, as is well known, there is no second chance. The value proposition can also be found in blog posts, on category and product pages.

    No matter how irresistible your value proposition is, there is no way it will drive sales if it is gathering dust in a corner of your website or if it is missing from the pages that customers click with high intent to buy.


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    The anatomy of a value proposition

    What does an effective value proposition consist of? In order to be able to answer this question as best as possible for you, you should definitely keep the following three points in mind.

    The voice of the customer

    The best value propositions reflect the voices of customers. That means you adapt what current customers say in order to fish for future ones. What words do your customers use to describe your products? How do these products improve your life? How do they describe your company? Why do they choose your brand?

    Interview your customers or ask them to take a survey to find out how they think about your products. Above all, pay attention to recurring things - they describe properties that obviously stand out in your articles and are valued by buyers. The visitors to your website should recognize themselves in your value proposition. With the language you use, the user's perspective can be influenced very well.

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    Clarity is the most important thing

    First and foremost, your value proposition should be clear. Sounds obvious, doesn't it? Your value proposition serves several purposes, however, so it can be difficult to get it crystal clear.

    You should ask yourself the following questions:

    1. What product are you selling?
    2. Who should buy your product?
    3. How will buying your product improve the buyer or their life?
    4. Why should someone buy your product instead of the competition?
    5. When does the customer start to benefit from the value?

    Your value proposition should be relatively short, no more than two or three short sentences. Every single word should describe your product more clearly or make it more irresistible, otherwise it is superfluous.

    Advantages, not hype

    How many signs saying “World's Best Coffee” do you see in the shop windows of a busy street in a big city? Dozens. And with each sign, the message on the previous sign becomes a little more implausible.

    Hype that arises from superlatives (“best”) and exaggerations (“world best”) can be dangerous in this regard. Instead, draw attention to the decisive advantages and specific value of your product.

    If hype is needed to sell your products, this is a sign that your value proposition is not clearly defined. Or even that your product may not be as great as you think it is.

    Examples of convincing value propositions

    To get a feel for how value propositions work and what it is all about, there are a few solid examples you should look at.

    1. Babbel

    Babbel uses the following sentence on its homepage as a value proposition. "Learn what is needed."

    This hides an important message for the user: The service provides them with everything they need to learn a new language. In the case of Babbel, this involves a total of 10,000 hours of learning content and interactive functions such as speech recognition or a personalized vocabulary trainer. With features like these, the provider wants to meet the demands of its customers. That should also be the declared goal of your offer, because a value proposition naturally always fuels expectations of the end customer that want to be met.

    By the way: In this interview, you revealed to us how Babbel makes language offerings accessible to business customers.

    2. NOVO Watch

    NOVO Watch promises “Watches, handcrafted in Alberta from repurposed objects from history”.

    You immediately know the difference between a NOVO watch and the watches of the competition. The value is unique and undoubtedly different. When you land on the website, the value proposition fills the entire page. It is also on the individual product pages.

    Continuity from the homepage to the product page is immediately apparent. Sentences like “hand-wound clock” and “132 year old railroad track” underpin the value proposition and ensure a clear message.

    3. Studio Neat

    Studio Neat makes simple products that solve everyday problems. The value proposition and brand ethos come across well everywhere, even if it is not expressly stated on the homepage.

    Simple products that deliver simple but desirable value. “Tripod mounts for smartphones”, “Wooden charging docks for Apple products”, “Stylus with a wide grip”, “Making syrup and storing it made easy”, etc.

    The same motif can be found on all product pages.

    No exaggerations, no complicated product details. "On your bedside table or desk, it's nice to have a designated place to charge your mobile devices." The sentence sounds like it was written by a customer, doesn't it?

    Reading tip: 9 tips for better product descriptions and more online sales are available here.

    4 different types of value propositions

    In e-commerce, the value proposition is more than just the big bold headline on your homepage. There are four different types of value propositions that you should know if you want to get the most out of your online store.

    1. Your company's value proposition

    Did you know that there is a difference between your company's value proposition and that of your product?

    For example, let's take a look at Studio Neat's value proposition. For example, the company's value proposition could be: Simple products to solve simple problems. The Material Dock's value proposition is: It's nice to have a designated place to charge your mobile devices. You can see and feel the company's promise in the product value proposition, but it's important to recognize the difference.

    Later in this article, we'll talk about your external value propositions. A solid brand ethos is a basic requirement, i.e. how you talk about your brand and what others think of it, both internally and externally. For example, Studio Neat's branding ethos could be: "Subtract to Perfection". You can see how this ethos is felt everywhere, including in the company's value proposition as well as that of the product.

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    2. The value proposition of your homepage

    This is the type of value proposition that you are most familiar with, the headline of your homepage. Remember the NOVO-Watch value proposition above. The value proposition of your homepage depends on the type of online shop you have. For example, if you sell a small number of products, your homepage value proposition may be more related to the products. If you have a wide range of products, your home page's value proposition may be more focused on the company or brand. The value proposition of the homepage of NOVO Watch Homepage is e.g. product-oriented.

    Clocks handcrafted in Alberta from repurposed objects from history.

    The company sells a relatively small number of products and specializes in wristwatches. If it were to add a line of hand-made ballpoint pens made from objects of history and another line of hand-made purses, how would the homepage value proposition possibly change?

    3. The value proposition of your category pages

    Don't forget the value proposition on your category pages. How so? Just take a look at the search results for “Women's Jeans” below.

    The first thing you'll notice is that all of these pages are category pages.

    Plus, many of the page descriptions are value propositions in disguise. For example, Zalando offers the right jeans for every occasion. Bonprix relies on the versatility of its products.

    All of these incentives reinforce the value proposition. However, properly formulated value propositions on category pages are still a rarity. For example, if you click on the Zalando search ad, you will not find it in the corresponding category. Instead, the added value should come from the range itself.

    With so much competition between category pages, especially in search engine results, it would be a huge neglect if you did not invest in and capitalize on this opportunity. What does each of your product categories on your website promise that are specific, problem-oriented, and exclusive?

    4. The value proposition of your product

    As the name suggests, the value proposition of a product belongs on the product page. Each product within each category requires a specific value proposition; think back to the example of Neat Studio's Material Dock. Here's another great example of a Studio Neat product value proposition.

    Everyone who has an Apple TV knows the problem: The tiny remote control gets lost all the time. Instead of taking the couch apart several times a day, just buy the Apple TV Remote Stand from Studio Neat. “You will lose your remote control. We created this little walnut stand that she always has a home with. "

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    Simple, isn't it? Great, because that's Studio Neat's corporate value proposition too.

    For a solid value proposition, you should cover all areas of your shop. It's a good idea to dig deeper little by little: start with the company's value proposition, then move on to that of the homepage, then to the category's value proposition, before finally dealing with the product value proposition. The following figure illustrates the relationship between ecommerce value propositions:

    How to make a great value proposition

    Now, tie together everything you've learned about value propositions and create your own. This is not difficult and can be reduced to two steps:

    1. Determining your value proposition
    2. Conveying your value proposition

    Now, however, the question arises: How do you get both right?

    Step 1: Determine your value proposition

    Before you jump right into determining your value proposition, it is first of all important that you formulate your considerations correctly.

    All solid value propositions are based on one question:

    • What can I do better than anyone else?

    Maybe it's the customer service or the product design, the quality of the material, or maybe even the price. It can be anything, it just has to offer customers added value.

    But be careful! Your company and your products are more comparable than you think. Your website visitors will surely compare you to your competition, so get ahead of them. Think about how your value proposition compares to those of your top competitors. How will you stand out from the competition in the minds of your visitors?

    Note that e.g. free shipping, money-back guarantee and same-day delivery can be useful conversion tools, but are secondary to your actual value proposition. This is because these things can now be found in many shops and are more like hygene factors. Customers are expected to be there rather than engaging in any form of enthusiasm. In many cases, in order to determine a value proposition, one needs to do more careful consideration and research, e.g. interviewing customers. This is the only way to find out what your buyers really appreciate about your shop and the items it contains.

    Reading tip: You can find out here how to inspire your customers with little extras and clever preparation.

    Step 2: Communicating your value proposition

    Summarize what you can do better than anyone else in one sentence and bring it to the fore. It has to be the first thing that attracts attention.

    Just as the headline of a newspaper article can determine whether someone continues to read, your concise value proposition often determines how visitors to your website will proceed. If they like what they see, they may read a brief description or take a quick first look at your range. However, if you do not meet their taste, they will quickly disappear again. That's a pretty high requirement for just one sentence, so it has to fit. That means it has to be clear and relevant. Take your time and think about 10 to 15 variations for your original value proposition. Then consider which variant is undoubtedly the most unambiguous. A simple five-second test can help you with this.In this, different people look at your website (with your promise) for five seconds and then answer questions about what you saw. What do you remember? What are you doing on your side? What does your product deliver?

    If people don't answer the questions correctly, you have a problem with uniqueness. Why is that in many cases? The value is hidden. Here is an example from Best Buy:

    “TV & Home Theater” is visually highlighted here, but the value proposition is hidden underneath. Same problem here at Tiffany & Co.

    And at TOPSHOP.

    Your value proposition needs to be as straightforward and clear as possible. The first step? Visually highlight your value proposition.

    The five-second test is just one way to test your value proposition. You can also run A / B tests on your website to see which of your 10 to 15 variants is the most effective. Paid Facebook ads are another great way to see how compelling each variant is, especially if your website isn't getting a lot of traffic.

    Your promise, perfected

    With your value proposition, you commit yourself to future customers. If this promise is specific, problem-oriented and exclusive, future customers will very soon become paying customers. Every entrepreneur perceives his company and his products as valuable. It is therefore crucial how this value is conveyed to strangers.

    Take the time to perfect your promise. Not only is it a branding exercise, it's a marketing exercise that will keep paying off.


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