Business Planning

How Entrepreneurs Craft Unique Value Propositions: Ultimate Guide

What is a value proposition?

A value proposition is a short brief explanation of the benefits (or value) of a business, product or service to customers. It helps to answer what customers are wondering: why should I choose you?

Value Proposition Template

Before we get started, copy our Value Proposition Template to your Google Drive to start working on your own value proposition!

How do I create a value proposition for my business?

Think about why your business's product or service is valuable to your customers and ask yourself questions like:

  • What are your customers really paying for?

    • Is your design or service something they can’t get anywhere else

    • Do they trust you as a person?

    • Are you cheaper than your competitors, for the same quality of service?

    • Are you conveniently located or do you go to the customer’s home?

    • Do you offer the highest quality?

Tips to writing a value proposition

  • Understand what your customers want most

  • Maximize the benefits you provide and what makes you better (or different) than your competitors

  • Emphasize benefits, not features

  • Keep it short and and clear, use everyday language

Value Proposition Examples

Example: SKY’S THE LIMIT is a unique "entrepreneur development organization" because it:

  1. Targets only 18 to 29 year olds who want to start a business (so we understand the challenges of starting a business when you're young and with few resources!) - Target Market

  2. Does not charge young entrepreneurs for the program - Unique Benefit

  3. Combines training, coaching, loans, advisors and mentors all in one place - Product

  4. Uses technology smartly (i.e. mobile apps + online platforms) - Unique Benefit

  5. Works one-on-one with each entrepreneur to make sure they get what they need. - Primary Benefit

Why is having a value proposition important?

Value propositions have proven to help businesses grow faster and can even boost marketing campaigns and increase your customer base. They also help to create a strong differentiation between you and your competitors

Pro Tip

Research and test your value proposition before making it stick to make sure that your message strikes the right note with the right people.