What Is a Value Proposition?

A value proposition is the clear reason a buyer should choose you over the alternative, stated in the buyer’s own terms. It names the outcome you deliver, for whom, and why it is different. A value proposition is a promise of value, not a slogan or a tagline.

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What a Value Proposition Contains

A value proposition contains three parts: the outcome the customer gets, the audience it is for and the point of difference that makes it credible. “Accounting software for freelancers that files your taxes in one click” carries all three.

Strip any part and it blurs. The test is whether a stranger reads it once and knows what they get and why it beats what they use today.

Where It Belongs on the Page

The value proposition belongs at the top of the page, above the fold, in the first thing a visitor reads. It sets the frame every later line is judged against.

A homepage that opens with a company history instead of a value proposition asks the visitor to do the work of figuring out the point, and most will leave before they do. This is where conversion rate optimization work usually starts.

The Common Misread

The frequent mistake is confusing a value proposition with a tagline. A tagline is memorable, and a value proposition is understood. Marketers reach for something clever when the buyer wanted something clear.

In practice, the sharpest value propositions come straight out of how customers describe the win when you interview them, then get tightened into one line. A messaging framework keeps that line consistent everywhere it appears.

This micro-blog is part of Rajat Jhingan’s marketing essentials. Explore more micro blogs here.

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