Determining your unique value proposition (aka UVP) is one of the most critical steps in positioning your business for success. That’s because it’s the clear, compelling reason why customers should choose your product or service over the competition.
It defines what makes your business different, what problems you solve, and the unique benefits that only you can deliver. A strong value proposition becomes the foundation for your messaging, marketing, and overall brand strategy.
A path to finding your UVP…
Understand your target audience
You need to know exactly who you’re speaking to. Start by identifying your ideal customers. The better you understand your audience, the more precise and persuasive your value proposition will be. Don’t be afraid to niche down!
What problems do you solve?
Your value proposition should clearly highlight the problems your product or service solves because people don’t just buy features, they buy solutions. What specific challenges does your product or service take on? Think beyond surface-level issues.
What are the results they can expect?
Now that you’ve identified the problems you solve, next it’s time to spotlight the results your customers can expect to get. Think of these not just as features, but rather as the tangible and emotional payoffs your audience really cares about. What outcomes do your customers experience by choosing you?
Here’s an example, this is Ikea’s value proposition statement: “To offer a wide range of well-designed, functional home furnishing products at prices so low, that as many people as possible will be able to afford them.”
This week's action steps: Block 1 hour this week. Take some time to craft your value proposition.
Start by identifying your target audience, be specific about who you serve, not everyone.
Next, define the core benefit or outcome your product delivers for this audience. Focus on results, not features. Then, articulate how you deliver this benefit differently or better than competitors. This is your unique advantage.
Finally, combine these elements using this formula: "[Your product/service] helps [target audience] achieve [specific benefit] by [how you do it better/uniquely]."
Test your statement by asking: Does it clearly answer "Why should I choose you?" If someone can read it and immediately understand who it's for, what they'll gain, and why you're different, you've created a strong foundation for all your marketing and sales messaging.