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UNIQUE SELLING PROPOSITION &

VALUE PROPOSITION
Module 3- Marketing Plan
VALUE PROPOSITION (VP) &
UNIQUE SELLING PROPOSITION (USP)

MARKETING PROCESS
1. Identifying the customer’s needs where
you are tasked to create a meaningful
value proposition.
2. Study what the customers’ want or
desire for you to build a unique selling
proposition.
3. Identify the most strategic market group to
tap.
VALUE PROPOSITION (VP) & UNIQUE SELLING PROPOSITION (USP)

VALUE PROPOSITION (VP)


- simply states why a customer
should buy a certain product or
service.
- customers are very specific when
it comes to their needs and their
desired benefits, so the VP should
cater those particular needs.
VALUE PROPOSITION (VP) & UNIQUE SELLING PROPOSITION (USP)

- it is the major driver in customer


purchase or service availment.
- it has to be direct in addressing
the problems of the customers.
- should have quantifiable benefits
- should differentiate itself from
the competitors.
VALUE PROPOSITION (VP) & UNIQUE SELLING PROPOSITION (USP)

TIPS ON HOW TO CREATE AN


EFFECTIVE VALUE PROPOSITION TO
THE TARGET CUSTOMERS
1. Prepare a situation analysis that details the
problem(s) of the customers.
2. Make your VP straight to the point, simple and
specific: in short there should be no complications.
Your VP has to target your major objective.
3. Highlight the value of your product or service
so that the customers will easily get what benefits
you can provide.
VALUE PROPOSITION (VP) & UNIQUE SELLING PROPOSITION (USP)

4. Adapt to the language of your market.


Ensure that your target understands clearly
what you are trying to say and avoid putting
unnecessary and inexplicable phrases.
5. Add credibility enhancing elements
6. Differentiate your VP with your competitors
(ex. originality of the product or service,
functionalities, can be tailor-fitted to customers
preference etc.
VALUE PROPOSITION (VP) & UNIQUE SELLING PROPOSITION (USP)
ILLUSTRATION FOR VP & USP
Aling Tere’s Sari-Sari Store
Situation Analysis: Prior to the establishment of a sari-sari store, Aling Tere
notices that there is a convenience store in her vicinity, where many call
center agents, nurses and construction workers buy food, beverages, and
other products during odd hours (from 10pm to 6am). She discovers that
the customer either ride a tricycle or a jeepney just to reach the
convenience store. There are two sari0sari stores nearby, but they close at
9pm. Aling Tere believes this is an opportunity for a sari-sari store business
with a twist. Aling Tere realizes she needs to address the needs of
customers to differentiate her business from the competition. She decided
to establish a 24/7 sari-sari store. As an initial investment, Aling Tere hires
three employees who will help her run the sari-sari store in three shifts.
During their break, Aling Tere mans the sari-sari store herself, She designs
her sari-sari store like a semi- convenience store, where customers can
freely go and choose the product they want. It is also air-conditioned. For
security purposes, she also installs a CCTV camera. Her task now is to
craft a worthwhile value proposition for the potential customers.
VALUE PROPOSITION (VP) & UNIQUE SELLING PROPOSITION (USP)

 VALUE PROPOSITION:
“Tindahang maaasahan, bukas kahit anong oras!”

Why should this be considered an effective


value proposition?
VALUE PROPOSITION (VP) & UNIQUE SELLING PROPOSITION (USP)
 VALUE PROPOSITION:
“Tindahang maaasahan, bukas kahit anong oras!”
Why should this be considered an effective value proposition?
 It is specific and straight to the point. It describes what the business is by
referring to tindahan- a Filipino term for a basic retail store.
 It highlights the value to the customers that they can buy their basic
necessities from the store.
 It is easily understandable because it is in Filipino language, which can be
understood by the customers, most of whom speak the language.
 There is a compelling assurance from this value proposition because the
phrase “bukas kahit anong oras” signifies a guarantee that customers will
be served anytime of the day.
 And last, Aling Tere’s store is the only sari-sari store that is open 24/7,
which makes her store different from the competitors.
SAMPLE VP Apple MacBook
Apple has great value
propositions for every product,
but one that is particularly
impressive is its statement for
the MacBook. In this witty
example, Apple emphasizes
how lightweight its product
is (its biggest differentiator),
while also speaking to how
advanced its technology is.
That Apple...always "light
years ahead" (even in
marketing.)
SAMPLE VP With so many players in the
market today, Weebly
positions itself as the
"easiest" option to make a
website, blog, or online
store today. Need a web
presence now and considering
Squarespace, Wix, or Webs?
Weebly's value proposition
sets out to make sure its
prospects know there's no
faster or easier way to get
started than with its
platform.
SAMPLE VP Opera may be the least
popular browser out of the
Big 5, but it certainly
makes it hard to argue
against it with this value
proposition. Simple and
direct, if you're looking for
a Firefox or Chrome
alternative, Opera is
fast, secure, and easy-
to-use. Why not give it a
try?
SAMPLE VP In another oldie, no longer in
use, this value proposition
eloquently tells you what
Spotify's product is all about. It
wants to bring music into your
life and it does that by being
available on-the-go in your smart
phone or on a desktop (as seen in
the hero image.) On its
current homepage, Spotify opts
for a carousel of sales-focused
propositions, which may be more
effective for closing premium
users, but in terms of messaging
alone, this one takes the cake in
my book.
VALUE PROPOSITION (VP) & UNIQUE SELLING PROPOSITION (USP)

 UNIQUE SELLING PROPOSITION (USP)


 Refers to how you will sell the product or service to your
customers
 It addresses the wants and desires.
 After creating the VP, you have to figure out how to advertise
or promote certain unique features of the product or service
that you’re trying to sell. You can do this in the form of:
 Product or service characteristics
 Promotion strategies and tactics

 Distribution centers and supply chains

 Pricing

 Physical attributes or physical evidence

 Human resources or human capital

 Market positioning strategies


VALUE PROPOSITION (VP) & UNIQUE SELLING PROPOSITION (USP)

 UNIQUE SELLING PROPOSITION

Note: The ability to craft an effective USP is a gauge


on how well an entrepreneur knows his or her
product or service.
Tips on how to create an
effective USP
1. Identify and rank the uniqueness of
the product or service attribute.
2. Be very specific
3. KISS (Keep it Short and Simple)
VALUE PROPOSITION (VP) & UNIQUE SELLING PROPOSITION (USP)
ILLUSTRATION- USP
Use the example from the previous discussion to build a potential
unique selling proposition for Aling Tere’s Sari-Sari Store
1. Identification and uniqueness of the product or service attribute
using the 7Ps of marketing.
7Ps Product Place Price Promotion People Packaging Process
or Service

USP Retail Near a call Competitive Signage Three shifts of Semi- The only
Description Products center, a Aling Tere’s convenienc sari-sari
public assistants e store store that
hospital & a (6am-2pm, operates 24
construction 2pm-10pm, hours a day
site 10pm-6pm) 7 days a
week
Unique? No No No No Yes Yes Yes

Ranking of 3 2 1
USPs
VALUE PROPOSITION (VP) & UNIQUE SELLING PROPOSITION (USP)
ILLUSTRATION- USP
Use the example from the previous discussion to build a potential
unique selling proposition for Aling Tere’s Sari-Sari Store
 The process was ranked first as the most unique because Aling Tere
wants to solve a compelling problem of the customers.
 Availability of a retail store near their workplace in odd hours
 Based on her marketing research about her environment.

 The packaging was ranked second because it is the only semi-


convenience store in the area, a hybrid of a convenience store and a
sari-sari store.
 The people ranked third because it is the only sari-sari store that
has three persons who work in shifts. It is common that the owner or
an assistant attends to the store with predetermined schedule, and
not the entire day.
USP_________________________________
VALUE PROPOSITION (VP) & UNIQUE SELLING PROPOSITION (USP)
ILLUSTRATION- USP
Unique Selling Proposition (USP)

 “Tindahang maaasahan, bukas kahit anong oras!”

 For this example, the VP and USP are the same.

 Why?
ACTIVITY/ASSIGNMENT
1. Research on different companies or business
establishments(3 companies)
2. Write their Value Proposition and Unique Selling
Proposition
3. Do you agree with their VP and USP? Why or Why
not?
4. If you do not agree with their VP and USP, devise a
new one.
5. Explain why these should be the appropriate VP or
USP.
50 OF THE MOST INFLUENTIAL TAGLINES
 “A diamond is forever” – DeBeers, 1948
 “Be all you can be” – The US Army, 1981

 “Because I’m worth it” – L’Oreal, 1967

 “Beef. It’s what’s for dinner” – National Cattlemen’s


Beef Association, 1980’s
 “Betcha can’t eat just one” – Lays, 1981

 “Breakfast of Champions” – Wheaties, 1930

 “Calgon, take me away” – Calgon, 1970

 “Can you hear me now” – Verizon, 2002

 “Don’t get mad. Get GLAD” – Glad 1980’s


50 OF THE MOST INFLUENTIAL TAGLINES
 “Don’t leave home without it” – American Express, 1975
 “Double your pleasure, double your fun” – Wrigley’s
Doublemint, 1959
 “Eat more chickn’ ” – Chick-fil-A, 1994

 “Finger lickin’ good” – KFC, 1952

 “Fly the friendly skies” – United Airlines, 1966

 “Get more” – T-Mobile, 2005

 “Got milk” – California Milk Processor Board, 1993

 “Have a Coke and a smile” – Coca Cola, 1979

 “Have it your way” – Burger King, 1973

 “Hey, Mikey…He likes it! – Life Cereal, 1972


50 OF THE MOST INFLUENTIAL TAGLINES
 “I can’t believe I ate the whole thing” – Alka Seltzer, 1966
 “It keeps going, and going, and going” – Energizer
Batteries 1989
 “It takes a licking and keeps on ticking” – Timex, 1950’s
 “I’ve fallen and I can’t get up” – LifeCall, 1990
 “Just Do It” – Nike, 1988
 “Let your fingers do the walking” – Yellow Pages, 1964
 “Look Ma, no cavities!” – Crest Toothpaste, 1958
 “Melts in your mouth, not in your hands” M&M’s 1950’s
 “Pardon me, do you have any Grey Poupon?” – Grey
Poupon, 1980
 “Please don’t squeeze the Charmin” – Charmin, 1964
50 OF THE MOST INFLUENTIAL TAGLINES
 “Plop, plop, fizz, fizz, oh what a relief it is” – Alka Seltzer,
1953
 “Reach out and touch someone” – AT&T, 1979

 “Share the Fantasy” – Chanel No. 5, 1979

 “Snap! Crackle! Pop!” – Kellog’s Rice Krispies, 1932

 “The few, the proud, the Marines” – U.S. Marines, 1991

 “The happiest place on earth” – Disneyland 1960’s

 “The other white meat” – National Pork Board, 1986

 “The quicker picker-uper“ – Bounty, 1991

 The Ultimate Driving Machine”, 1975

 “The UnCola” – 7UP, 1973


50 OF THE MOST INFLUENTIAL TAGLINES
 “They’re grrreat!” – Kellog’s Frosted Flakes
 “Think different” – Apple, 1990’s
 “Think outside the box” – Apple, 1990’s
 “Think small” – Volkswagen, 1959
 “We bring good things to life” – GE, 1981
 “We try harder” – Avis, 1962
 “When it absolutely positively has to be there overnight” –
FedEx, 1982
 “When you care enough to send the very best” – Halmark, 1934
 “Where’s the beef” – Wendy’s, 1984
 “With a name like Smucker’s, It has to be good” – Smucker’s,
1962
 “You’re in good hands” – Allstate, 1950’s

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