Develop A Peak Performing Value Proposition For Your _____ A. - PowerPoint PPT Presentation

Develop A Peak Performing Value Proposition For Your _____

A. Develop A B. Develop A Peak Performing Peak Performing Value Proposition Value Proposition For Your Startup For Your Sex Life

Develop A Peak Performing Value Proposition For Your Startup

8 out of 10 Startups fail in first 18 months

Forbes Top 3 Reasons for failure 1. Not in touch with customers deeply enough - VP 2. Failure to create & communicate a clear, concise & compelling Value - VP Proposition - VP 3. No real differentiation in the market

The survival & success of your startup depends on the quality of your VP

1. What is a Value 
 Proposition (VP)?

Definition Value Proposition noun Collection of best reasons your target customers have for taking the action you’re asking for Peter Sandeen

How & Where To Use Your VP Internal Document Externally • Website content 3-5 of your best reasons your • Individual landing pages target customers have to take • Adverts action • Headlines • Elevator pitch • Tag line slogan • Presentations

What makes a strong VP Has these Answers these attributes questions • Is clear (isn’t vague or • What is it? cryptic) • Who is it for? • Is specific • What are the features & • Communicates concrete 
 benefits? results • Why is it unique? • Communicates any 
 • Why is it believable? meaningful differentiators • Avoids hype, jargon, superlatives • Is consistent

Who can use a VP? Business Personally • Thesis/dissertation •Whole organisation • Resume/Cover Sheet •Product groups • Linkedin profile •Products • Biog •Services • Dating sites •Job Roles •Actions

Your value proposition is a reflection of you/ your business

2. Why Weak VPs are 
 Like Leaky Buckets

We get bombarded with Over 5000 sales messages everyday

This has caused us to develop powerful subconscious filters

This is why your message 
 needs to cut through 
 the clutter fast. 
 (Typically around 7 seconds)

7 questions website visitors 
 ask in 7 seconds 1. Do I understand what this website is about? 2. Do I think it’s relevant to me? 3. Do I think it’s valuable information? 4. Do I want this? 5. Do I trust the source 6. Whatever they are asking me to do, is the risk 
 acceptable? 7. Is this worth me going ahead or should I put off for 
 another time?

Bad “Clean” Home Page

Good “Clean” Home Page

Good “Clean” Home Page

Bad “Detailed” Home Page

Bad “Detailed” Home Page

Good “Detailed” Home Page

Clarity Compels Vagueness Repels

3. How To Know Exactly 
 What Your Customers Want

Get an unfair advantage by going beyond the usual attributes like demographics.

Understand what important jobs your customers have to do

Jobs-To-Be-Done Customers buy products 
 not because of the type 
 of person they are 
 but because they have 
 a personal or work related 
 job to do

Even a milkshake has a job?

3 Types of JTBD Social Emotional Functional •How a customer •How a customer •Getting a task wants to be wants to feel done or solving perceived by a problem others

Find The Related Pain Which negative outcomes does the 
 customer want to avoid? E.g. Buying sneakers for gym •Functional: Sneakers falling apart after first run. Lose investment. •Social: Other gym members thinking I look stupid •Emotional: Feeling miserable, unfit and unhappy

Find The Related Gain Which positive outcomes does 
 the customer want or desire? E.g. Buying sneakers for gym •Functional: Sneakers are durable. Save money long term. •Social: Other gym members thinking I look good •Emotional: Feeling fit, healthy & happy

Look at the job situations Hunger causes the job of needing to eat 
 but has different situations •Eating in a rush – fast food joint •Eating out with kids – family friendly restaurant •On a date – somewhere to impress This helps you go beyond the usual attributes

Commit To Knowing Their Jobs & You Will Uncover The Magnetic Pull Of Their Needs

4. How To Stand Out, Get Noticed 
 & Be The OBVIOUS Choice

Startups get ignored & fail because they develop solutions for jobs that don’t need to be done

Find the most important jobs

Exploit Your Competitors Weaknesses Focus on where you perform better and/or differentiate with gain creators & pain relievers

Laser focus to find 
 the crucial ideas Draft 3-5 of the best ideas Each idea can be a few words 
 or a few sentences. A claim, promise, description 
 or statement.

5. How To Support Your VP 
 By Making it Believable

If you are unknown, 
 then by default people 
 will doubt what you say

Strong Supporting Factors e.g. 6543 members already use and Be specific love_________ Avoid clichés & The most beautiful_______ generic hyperbole Explain how you create the Show how results you promise Story Tell relatable stories Remove the risk with (better Guarantee than) money-back guarantee Results in advance Free download, test drive, trial, sample.

Strong Supporting Factors Show them Video or webinar Show logos of publications you/ Features in… product featured in According to a study of 987 Study/facts patients… The more relatable to target Case study customer, the better expert or celebrity What others say endorsements Customer address specific goal, doubt or Testimonials objection

Now Create A Compelling VP Now Create A Compelling VP 3-5 of the best reasons your target • customers have for taking the action you’re asking for • Add strong supporting factors to make it believable

A Compelling VP = A Confident You

Tools & Resources 
 for VP Creation

Interviewing customers. Resources •JobsToBeDone.org •ChristensenInstitute.org •Strategyn.com

Surveying customers Resources • SurveyMonkey.com • Google.com/Forms

Eavesdropping Target Audience Resources • Target customer forums • Target customer groups – Linkedin / Facebook • Reviews - Amazon

Great tool to eavesdrop 
 Facebook Groups Postradamus.com

Strategyzer Value 
 Proposition Canvas


 Books Value Proposition Design Dr. Alexander Osterwalder Alan Smith Yves Pigneur Greg Bernarda Trish Papadakos


 Books The Jobs-to-be-Done 
 Handbook Chris Spiek 
 Bob Moesta

TAKE AWAY

Take Away • VP = Collection of the best reasons your customers have for taking action with you • Can be used for Whole Organisation or parts of such as products, services, actions etc. • Be crystal clear if you don’t want to lose your prospects to your competitors • Go beyond demographics & look at the jobs your customers need to do

Take Away • Look at the functional, social & emotional pains & gain associated with their JTBD • Look at the context of the JTBD • Compare how you address pains & gains compared to your competitors • Map out the top 3-5 best ideas using VP canvas • Add supporting factors to make believable

If you develop a peak performing value proposition you are much more likely to follow in the footsteps of MIT Startup Masters.

Presentation Notes, Slides & Resources www.FindTheEdge.com/MIT-VP-16 kenny@findtheedge.com