USP Unique Selling Proposition &

Customer Value Proposition CVP

 USP vs CVP

7 Step Process in
Constructing USP

Developing
Your CVP

Learning Objectives Creating My Own

USP & CVP
USP vs CVP
USP
unique selling proposition
CVP
customer value proposition

Like a Tagline Goods and Services

in Exchange of Payment
Product Differentiation
What makes
Short Statements
you Why do
Unique Benefits
different from
Specific Benefit the Customers really
CVP is Bigger than the
Product/ Service itself
competition?
Standing Out From The Rest buy our Product?
Promise to a Customer
Distinct and Appealing on a Post-Purchase
Unique Selling Proposition
USP
unique selling proposition
USP
unique selling proposition
Company USPs
7 Step Process in Constructing your USP
USP
unique selling proposition
7 Step Process
in Constructing your USP
Use your Biggest Benefits
Clearly describe the 3 biggest benefits of
owning your product or services
USP
unique selling proposition
7 Step Process
in Constructing your USP
Be Unique
Your USP separates you from the
competition, sets-up a “buying criteria”
USP
unique selling proposition
7 Step Process
in Constructing your USP
Be Unique
PRODUCT: "A unique baseball swing that will instantly force
you to hit like a pro
OFFER: "You can learn this simple technique that
makes you hit like a pro in just 10 minutes of batting practice
GUARANTEE: "If you don't hit like a pro baseball
player the first time you use this new swing, we'll refund your
money
 USP
unique selling proposition
7 Step Process
in Constructing your USP
Solve an Industry “Pain Point” or
“Performance Gap”
Identify which needs are going unfulfilled
within either your industry or your local
market
USP
unique selling proposition
7 Step Process
in Constructing your USP
Be Specific & Offer Proof
Consumers are skeptical of advertising
claims companies make
 USP
unique
7 Step Process
in Constructing your USP
selling proposition

Condense into One Clear and

Concise Sentence
The most powerful USPs are so perfectly
written, you cannot change or move even
a single word
 USP
unique
7 Step Process
in Constructing your USP
selling proposition

Integrate Your USP Into ALL

Marketing Materials

Variations of your USP will be included in

the ALL your marketing materials
USP
unique selling proposition
7 Step Process
in Constructing your USP
Deliver on Your USP's Promise
Be bold when developing your USP but
be careful to ensure that you can
deliver
USP
unique selling proposition
More USP’s

Benefits - offers strongest coffee

Unique - rare companies offering strong coffee
Pain Point - customers looking for strong coffee made available
Integrates USP to Marketing Materials - package of product with USP
 USP
unique selling proposition
More USP’s
Product Offered is Too Unique

Benefits - provides information about brain

activities during meditation
Unique - no competition
Pain Point - customers wanting to get most
out of meditation
Developing Your CVP
 Developing
Your CVP CVP
customer value proposition

Know Your Customer

Who is he or she?
What does s/he do and need?
What problems does s/he need to solve?
What improvements does s/he look for?
What does s/he value?
 Developing
Your CVP CVP
customer value proposition

Know Your Product, Service or Idea

How does the product, service or idea
solve the problem or offer improvement?
What value and hard results does it offer
the customer?
 Developing
Your CVP CVP
customer value proposition

Know Your Competitors

How does your product or idea create
more value than competing ones?
 Developing
Your CVP CVP
customer value proposition

Distill the Customer-Oriented Proposition

"Why should I buy this specific

product or idea?"
 Developing
Your CVP CVP
customer value proposition

Pull It All Together

turn around your customers'
answer' from step 4 into a value
proposition statement
Customer Value Proposition
What is CVP CVP
customer value proposition

✓ a statement of the unique benefits

delivered by your offering to the
target customer
What is CVP CVP
customer value proposition

✓ a hypothesis that your offering will

bring certain values to a target
customer
*Like any hypothesis, it needs to be
rigorously tested in the lab before
money is put into scaling
What CVP isn’t CVP
customer value proposition

x An elevator pitch: a 30 second

conversation starter
x A tag-line: an ad compliment
x A mission statement: a statement of
the purpose of your business.
 A Good & Bad CVP CVP
customer value proposition

Good: “Winners is a department store that offers fashion

conscious consumers the latest brand names for up to 60 percent
off ..”(Winners)

Bad: “Winners is an off price department store owned by TJX that

employs international sourcing and buying power
 A Good & Bad CVP CVP
customer value proposition

Good: “Winners is a department store that offers fashion

conscious consumers the latest brand names for up to 60 percent
off ..”(Winners)

Bad: “Winners is an off price department store owned by TJX that

employs international sourcing and buying power

●Customer ●Product ●Competitors ●Proposition

 A Good & Bad CVP CVP
customer value proposition

Good: “A 1 Industries has developed an economical and easy to

use chemical additive that allows paint manufacturing companies
to reduce the environmental impact of their products

Bad: “A 1 Industries has discovered a chemical isomer additive hat

allows for a reduction of VOC emissions
 A Good & Bad CVP CVP
customer value proposition

Good: “A1 Industries has developed an economical and easy to use

chemical additive that allows paint manufacturing companies to
reduce the environmental impact of their products

Bad: “A1 Industries has discovered a chemical isomer additive hat

allows for a reduction of VOC emissions

●Customer ●Product ●Competitors ●Proposition

 A Good & Bad CVP CVP
customer value proposition

Good: “Google is the worldʼs largest search engine that allows

internet users to find relevant information quickly and easily

Bad: “Google uses a patented page ranking algorithm to make

money through ad placement
 A Good & Bad CVP CVP
customer value proposition

Good: “Google is the worldʼs largest search engine that allows

internet users to find relevant information quickly and easily.”

Bad: “Google uses a patented page ranking algorithm to make

money through ad placement.”

●Customer ●Product ●Competitors ●Proposition

More CVP’s CVP
customer value proposition
More CVP’s CVP
customer value proposition
References
Thank you !