If you want your business to stand out from
the competition, then a unique selling proposition (USP) is absolutely vital. A
well-designed USP can attract more customers to your company, enhance your
brand reputation, and ultimately help to increase your revenue.
Let's talk about what a unique selling
proposition is, why it matters, and how you can craft one that will deliver
exceptional results.
What is a Unique Selling Proposition?
A unique selling proposition (USP) is the same
thing as a unique value proposition (UVP), or unique selling point. Put simply,
your USP is the feature of your company, product or service that makes you
different from everyone else. It's a powerful tool that your sales team can use
to communicate the key factors that separate your brand from the competition. It's
the reason why your customers should do business with you, instead of another
company.
Why is a USP Important?
It's important to have a USP in your pocket
for two basic reasons:
(1) the business world is fiercely competitive, and
(2)
consumers usually have multiple options from which to choose.
Think of this example: If you wanted to buy a
car in the 1920's, what options would you have? Basically one: the Ford Model
T. That was the Ford Company's unique selling proposition at the time — they
were the only business that produced automobiles!
Now fast-forward to the 2020's. If you want to
buy a new car, how many options do you have? There are Fords, Chevrolets,
Hondas, Toyotas, BMWs... the list goes on and on. And they come in a wide range
of styles, from heavy-duty trucks to coupe sports cars. So if an automobile
company wants to win your business, what do they have to do? They have to give
you a compelling reason to buy from them (whether that's a lower price, greater
horsepower, or more features than their competitors).
In other words, they need a USP.
Similarly, your USP is a vital element in crafting your future growth. No
matter how much value your product or service has to offer, you'll never
achieve an exceptional ROI unless you tell your consumers why they should buy from you.
Whether you're selling cars or razor blades, a clear and crisp USP is a powerful
way to stand out from the crowd and carve out a lasting reputation for your
brand.
How Can You Create an Exceptional USP?
Now that we've established the importance of a
USP, the next question is: How can you develop a good one? Here are a few
factors to keep in mind:
1.
Identify your target audience.
First of all, you need to know who it is
you're selling to. Your product or service may offer exceptional value to one
consumer segment, while offering limited value to another. Clearly, you want to
identify which group falls into the first category and focus on them.
As an example, think about fast food vs. fine
dining. What could a fast food chain's USP be? Perhaps it's how cheap their
food is, or how convenient their offerings are for customers on the go. On the
other hand, a sit-down restaurant's USP may be its relaxing ambiance or the
quality of its food. The two businesses may be in the same industry, but they
are selling to vastly different sets of people.
2.
Pinpoint what makes your product/service unique.
If you want to develop a unique selling
proposition, then you need to understand what makes your product or service...
well, unique. If you're having
some trouble coming up with a differentiating feature, why not ask your
existing customers for feedback? Why did they choose your company over others?
Be sure to get some observations from your staff as well — and especially your
sales reps. After all, they're the ones on the front lines, closing the deals. See
what they've found to be effective in their conversations with leads.
Remember, you shouldn't try to highlight every good point of your product —
just the one that really stands out. If you try to get recognized for
everything, you won't become known for anything.
3. Look
at what your competitors are (or aren't) doing.
As you develop your USP, it's crucial that you
look at competing companies in your market. What are they focusing on in their
marketing efforts? What weaknesses do they have that you can exploit? The classic Avis tagline: "When you're only No.
2, you try harder," is a perfect example of how to turn a competitor's
strength into a weakness. Avis undermined Hertz' position as market leader by
implying that their own brand offered better customer service — because they
had to try harder.
On the other hand, you also want to look at
what your competitors are doing that consumers don't like. As an example, many fans that keep homes cool in
the summer are also extremely noisy. However, Dyson's blade-less fans achieve
the same effect as their counterparts, but without the noise. Now that's a unique selling proposition!
4.
Consider developing a measurable USP.
You don't have to have a USP that's uber-specific. However, it may help
your cause if you do.
For example, FedEx promises that they can
deliver "Absolutely, Positively Overnight." That's a very specific
USP, and one that can be easily measured. A specific USP
like that can reassure your consumers about your ability to deliver on your
promise, and enhance your brand reputation — if you actually deliver, that is.
If you're unsure about your ability to consistently live up to your USP, then
you may need to go another route.
Crafting a Genius USP = Growing Your Business
In conclusion, a unique selling proposition
provides your consumer base with a compelling reason to buy from you. It sets
you apart from the competition. And if you carefully examine your target
audience, your product/service, and the current state of the market, then
you'll be able to develop an exceptional USP - one that will aid in business
growth for years to come.
Glenn Cressman, our Chief Client Officer, has an almost magical way of drilling down and bringing out the Unique Selling Propositions of our clients. If you're at a loss and don't know what makes you different from a sea of competitors, reach out to Glenn, he'll be more than happy to set up a discovery session with you.