How to Build Your Value Proposition

This is a quick sales training module on how to build your value proposition and we’ll start out by looking at what is a poor value proposition or actually what we can often do is is say something instead of our value proposition when we meet someone or when we begin a conversation and let’s look at what some common things that we we end up saying are and why these are bad you might meet someone at a networking event and the first thing they do is say oh yeah well I work for initech we provide software engineering of Bank software there’s no value there that doesn’t tell me how you help your clients at all yeah and we’ve been in business for over 16 years okay so again that that tells me you’re not a start-up or you you you have a little longevity but but again that doesn’t tell me how you might have bill to help me I’m you’re not building any curiosity at this point and you know we’re the industry leader in software engineering okay well that tells me how you believe that how you see yourself stacking it up against your competition I don’t I a don’t know if that’s credible or not and be I really I don’t even know what you do so it really means nothing to me and so what is wrong with the this approach kind of having this type of talk track well for one thing we’re we are all self-serving at a certain level this means we have our own interests and we’re very motivated to fill those interests and really to spend our time thinking and talking about our interests right and when you talk down this type of path you’re really feeding more into your interests than the prospects at this point in a conversation if this is a new interaction with someone they might not care yet about your company and all the great things that you’re doing a prospect might not really understand what your proctor service does when you’re when you just really drill right into your product you know your product inside and out and it might be very easy for you to talk about the lingo and the details whereas it’s a foreign could be a foreign topic to your prospect and they might be a little lost you’re talking in your language not in theirs this type of conversation doesn’t build any interest because you’re talking about yourself it doesn’t build any curiosity and it doesn’t build any intrigue it doesn’t tell the prospect in any way how you can help them if anything this can trigger guardedness as the prospects hearing these types of talk tracks theirs they begin to start to think Oh a salesperson trying to sell something I either need to begin to protect myself or I need to find my way out of this conversation but why do we do this well there’s a really clear reason why and that is because a lot of the knowledge and experience that we’ve built up working day in and day out is in some key areas like the company we work for the product that we sell the functionality that the product provides the features that we offer and the benefits that are delivered these details are very inward focused and they’re all about me and really when we get hired by a company we might get trained in these areas when we work day in and day out this becomes where all our experience and knowledge is and you know what we have a lot of interest in these areas because typically we get a lot of pride out of the products that we sell we’re really knowledgeable about it and you know what these areas talking about these areas is what leads to us getting paid we associate talking about our products with selling products and us getting paid when in reality that connection might not be as clear as that when we have this foundation here that’s basically what feeds into everything that we say when we’re talking with prospects when we need to think of a statement to add to say we rely on this information that’s why we start talking about what our company does and and that can feed into whether we’re introducing ourselves we’re talking on a cold call we’re typing up an email or immediately meet someone working event or developing pages for our website we’re on social media we’re delivering presentations and so with this foundation if we if we’re not careful we really get out there in the field and start talking really in an all about me way and that can not have the most optimum effect on our on our effort so here’s an alternative approach we kind of turn that that model upside down instead of talking about our company in our products let’s focus on our value that our products deliver let’s focus on the pain that our products help to fix let’s qualify our prospects by asking if they have the pain that we help to fix let’s prepare for the prospects objections and and and they’re in their messaging let’s get more creative to build interest instead of just talking about our products and let’s establish credibility talking about other companies that we’ve helped in other people that we’re working with this is a more prospect focused approach and when you have this foundation of knowledge it can really feed into what you’re saying when you’re out there talking with prospects and this can help you to have a more prospect focused approach it can really take an effort to get outside of our comfort zone our comfort zones talking about our company our products this is a little foreign but once you really identify the value that you offer and the pain that you resolve and you identify these details you can shift into this direction and that can lead to better introductions better cold calls more attention-grabbing emails better conversation at networking events and so on now this all begins with your value proposition and that’s really one of the most the most important pieces to this so let’s talk about really what value is and how you can identify what your core value is and the key thing here is is that your value is not the product that you sell its what the product you sell helps your client to do or to achieve so one thing that we’ve done to help with this is to kind of break down value into three levels and at the lowest level you have technical value and this is really at the sort of the foundational level of your prospects operation right they your prospect regardless what they do they’re gonna have certain processes that they they goat that they are working through or that they are rely on and you can when you you likely help them to improve their processes in certain ways you might improve systems you might improve people being them helping them to improve or help maybe helping their employees examples of technical value driving improvements in these areas are automating manual processes improving the performance not just the performance of systems but you may let’s say you you help a client to hire better people well that that means that you’re helping to improve their performance of their staff decreasing the amount of time it takes to do something and when you deliver these improvements at the lowest most technical level that will work its way up to create business value so when you help to improve a process by making it more reliable or more automated that helps to decrease costs it could help to improve revenue help could help to gain market share could help our services to be delivered more reliably and when you deliver both business and technical value that can work its way up to deliver personal value to the person you’re selling to or maybe to the people in their organization now think about it that you might sell to a VP in a particular role and that person yes has cares about the company and the operation but they also care about certain things that impact them at a personal level like their career their income think about helping when you help the business to grow revenue that might help that VP to hit there they’re a hit and exceed their annual target which means they’re going to get a bigger bonus at the end of the year that’s because that might be because of what you helped them to do and that goes into their pocket that’s a personal benefit when you help them to reduce the amount of time they have to work and allow them to get home to where they have dinner with their family more often that improves their personal life and that’s personal value so when you break value down under these three levels it allows you to get your hands around the different ways that you deliver value and this can help you to not only build your value proposition it could help you to build multiple versions of your value proposition meaning I might have a value proposition that’s more technical one that’s more business one that’s more personal let’s let me show you a little bit what we’re talking about actually you might see that slide you might go well that’s kind of cool or I get that but I’d really don’t know what what my business value is you know or you might have trouble getting your hands around what to put there and here’s an exercise that you can go through and you can do it by simply drawing out a table like I did here in a spreadsheet and step one is to identify one of your products or services that you sell okay and we have an example here of auto inventory replenishment software this is a completely fictional scenario but let’s just say we have an auto inventory replenishment software step two is identify what does that do what does that provide well this software automatically submits orders to vendors based on inventory levels okay now that’s not value at all that’s just the functionality it does this you know you plug it in or turn it whatever you set it up and it’ll do this that doesn’t really communicate value so but now the next step is let’s think about what is the process that that helps to improve or and what it does is it automates this the the the the the figuring of the orders and that decreases the time spent ordering it it totally removes a step in the process and that is a technical improvement because it improves that process okay so we we got a technical value there well how does that help from a business standpoint when we decrease time spent ordering well if I have 10 managers walking around the warehouse with little iPads processing orders and I can eliminate that that allows me to decrease my staff and labor costs so that hits the bottom line and let’s say I’m the VP of Operations well I don’t have to double-check orders every night so now I get to go home and have dinner with my family and that improves my work-life balance so for that one product we just outlined the value on three different levels we could continue now and rent sort of rinse and repeat for additional products we have a another product of predictive demand forecasting and that helps to increase ordering accuracy and when we do that we decrease inventory cost because we’re not making errors anymore and that improves our end-of-year bonus and then a management dashboard and that helped from a business standpoint that helps with our decision-making and our bottom-line results and that can lead to us getting him promoted better because we’re making better decisions so we now we we’ve gone through that and look here we have a bunch of different value points this might be too much because think about it we’re still trying to work on our value proposition right which needs to be clean and precise especially for didn’t we you know need to deliver it at the beginning of a cold call or at a networking event so let’s kind of go through a step here to summarize okay so we just summarized each column we kind of grouped all our products together we group the functionality together got to some core summary of some of the technical business and personal value and so here what we have is sort of our core value that we have to offer and what we can do now now that we have all the sort of these these nuggets of value we can do we can basically put those together to create our value statement which our value statement is sort of a one-sentence set statement that communicates the value we have to offer the great thing about having going through that exercise is you can take all those points and put them in all different orders and combinations to come up with a number of different value statements so here are some templates that you could take on your own and just fill in after you’ve gone through to identify your value so the short and sweet version is we help businesses to blank and you insert your value so some examples here we help businesses to improve their ability to effect we manage their inventory levels kind of a that’s a technical value there we’re talking about the the process the business version of that would be we help businesses to decrease cotton their cost of goods sold an administrative time so it’s a business value statement we can get a little fancy here by putting the technical value and business value into one sentence this is really where you get you really get more powerful type of statement so you basically here’s an example and we help businesses to improve their ability to effectively manage their inventory levels and this often leads to a decrease and cost of goods sold as well as administrative time so it looks a little bit long but it’s it’s it’s easy to understand language and and if you’re talking to someone who’s a VP of operations that that does that day in doubt you tell them that that is likely to not only get their attention but is likely to affect it is to communicate to them how you can help them and of course after that you can get into the details of you know we do that by providing inventory management software and and then later in the conversation you can get into how many years you’ve been in business and and the other points that we I mentioned on the front end this is a template that just does the exact opposite right we we originally in the last template we had the technical value and that leads to the business value this template just basically starts out you give them the business benefit that you deliver and you do this by and you fill in the technical value you could include the product in your value proposition we provide inventory management software and this helps businesses to improve their ability to effectively manage inventory levels so those are some templates you can go through that exercise understand some of the key value points that you offer and then use those templates to create your value proposition now what direction we’re heading with this I want to show you a workflow here because when I talked to you about effect by having very prospect focused communications we also want to focus on their pain and that’s what we’re going to do next so we actually in this methodology we go through a workflow which is we start you with the product that you sell and we use that to identify how do you how does that product help and we identify the value that you offer what what this methodology that then does is it takes the value and reverse engineers that to say what are the problems that all of these value points fix and what that’ll do is that will give you a clean list of pain points that you’re you should look for when and you should share when you’re talking with prospects are you having challenges with this this or this you know a lot of my clients come over to us and they have those challenges the pain points that you come up with will lead to you building a key list of qualifying questions that you should be asking are you are you having this pain are you having this pain and you insert there where I said pain with the common pain points that you you’ve identified in your list and then all of those details then become responses that you can use for objections and we’re going to talk about pain and qualifying and objections in separate training modules but it’s a it’s a linear workflow and the methodology kind of takes you through each of those stages and we’ll talk about that in future modules if you think all this is interesting and you want to work on your value proposition and you like those templates and you want to figure out the pain that you resolve to sales scriptor will help you with all of this and it’s it’s a workflow that extracts the key points from you and you have to answer questions and use your your ideas and your product but you go through questions like what do you sell how does it help what problems do you fix what questions should you be asking to see if those problems exist and it’s a little more complicated than that but that’s that’s an example of the path that it takes you down as you answer each of those questions your answers eliminate there’s actually two benefits here one is those questions help you to think about things you might have never thought of before and helps you to get your ducks in a row for what you should be focusing on the other great benefit is that as you’re answering those questions your answers are all filling out a document library because think about it when you have a pain when you there’s a pain point you should look for that pain point should pop up in a number of different documents it should show up in a call script it should show up in a voicemail script it should show up in your elevator pitch your value proposition it should show up in an email template well why have to rewrite and think about your pain again and again again you answer the question once and there’s automatically filled in in the ten different places all where you need it so it’s pretty cool of course we’re biased but so check out sales scripture if we have your attention at all if you want more information on this methodology and some of the logic behind this you might want to check out the cold calling equation it’s available on Amazon Kindle versions $there’s a chapter for each of these these these areas there’s a chapter for value there’s a chapter for pain and you might say well I don’t do a lot of cold calling I do a lot of sales the concepts are laid out and it kind of has a phone spin on it meaning it’ll often refer to cold calling but whether you’re on the phone or at a networking event or in face-to-face meetings the principles all apply you should still look for pain you should still be qualifying and how to effectively qualify and so check it out we also have a training program that aligns with all of these concepts and there you can sign up for that at sales script or comm and we have walkthrough services for sales scripture and demonstrations send us an email if you have any questions and we wish you all the best happy hunting good luck

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