Analyse needs and competition
We examine what target groups truly value, how they assess alternatives and where competitors are strong or weak.
Services / Customer Strategy / Value proposition
Value proposition: Formulate convincing value for each target group
Customers choose a company when they recognise clear value. The value proposition describes what a company offers to whom, and why.
ProNexum develops value propositions per target group, sharpens positioning against the competition and translates it into offer, price, service and communication.
On this page
What it is about
For each target group, the value proposition answers four questions: What problem or need does the target group have? What benefit does the company offer? How can this be proven? And how does it differ from alternatives?
Positioning places the offer against competitors and makes it recognisable in communication. It is part of the value proposition, not a separate building block.
A value proposition only works if it shows in the offer, the price, the service and the communication, and where relevant in the benefits of a loyalty ecosystem.
Test questionWould a customer from the target group repeat the statement in their own words, and could a competitor say exactly the same?
Typical mistakes
These patterns make value propositions interchangeable.
Product description instead of value
Listing features does not tell the customer what they get out of it. The starting point is their benefit.
The same statement for everyone
Different segments value different things. One statement for all hits no one properly.
Not provable
Promises the company cannot or does not want to keep do more harm than good in the long run.
Formulated internally
Statements only understood inside the company do not reach customers. The language and needs of the target group count.
No consequences for the offer
If offer, price and service stay unchanged, the value proposition is a slogan.
Our approach
Four steps from analysis to implementation in the offer.
Value proposition per segment
For each target group we formulate benefit, proof and differentiation and test them with customers, sales and service.
Positioning and key messages
We place the offer against the competition and derive a few clear key messages.
Translate into offer and service
We define what must change in offer, price, service, communication and, where relevant, loyalty benefits.
Results
At the end you have statements that can be proven, tested and implemented.
- Value proposition per target group
- Positioning against the competition
- Key messages for sales, marketing and service
- Link to offer, price and service
- Criteria to test whether the value proposition works
A typical example
Illustrative example
A company serves two segments: time-pressed regular customers who value reliability and fast handling, and price-driven occasional buyers. For the first group the promise is reliable service with a fixed contact person, for the second a transparent price-performance ratio. Both statements can be proven and lead to a different offer and a different approach.
How this building block connects to others
The value proposition builds on segmentation and prepares the customer portfolio and prioritisation: Which target groups do we want to reach with which offer?
In the Customer Lifecycle the value proposition becomes tangible in every phase. Loyalty Consulting picks it up in the benefits of a loyalty ecosystem.
FAQ
Frequently asked questions
What is the difference between value proposition and positioning?
The value proposition describes the value for a target group. Positioning places the offer against competitors. In practice both belong together, which is why we treat them in one building block.
Do I need a value proposition per segment?
Yes, if the segments differ in their needs. A common umbrella can exist, but statements and proof should fit each target group.
How do I test whether the value proposition works?
Through conversations with customers, tests of messages and offers, and metrics such as close rate, repurchase or recommendation. We define in advance how impact should show.
How does the value proposition relate to loyalty?
The benefits of a loyalty ecosystem should reflect the value proposition. Otherwise you get a programme that hands out discounts instead of making the promise to the target group tangible.
Do you want to set up or sharpen your customer strategy?
We would be glad to discuss your starting point, goals and a sensible first step.