HOW TO WRITE A VALUE PROPOSITION
What is a value proposition?
A value proposition is a simple statement that summarizes why a customer would choose your product or service.
It communicates the clearest benefit customers receive by giving you their business.
It should speak to a customer’s challenge and make the case for your company as the problem-solver.
A great value proposition may highlight what makes you different from competitors, but it should always focus on how customers define your value.
Conversations about brand strategy and taglines should stem from a value proposition, but they are not one and the same.
The value proposition is described as a bridge between: the product/service details and the customer needs/wants.
It’s a mantra that unites the two halves of the business (offerings and customer insights).
Why bother learning how to write a value proposition?
It’s like investing in the foundation of a house: you may not see it, but everything you do see—and the long-term safety and security of the business—rests on a strong starting point.
How to write a value proposition: 3 options
If you’re intentional about creating a value proposition, it can clarify the way forward for the entire company.
Avoid letting too many voices water down the intent; early involvement of too many people can produce results that don’t work for anyone.
Instead, start with a small group of people (no more than three) who can dedicate time to hone a few compelling options.
You can start with one method or try all three in a workshop to refine ideas with greater precision.
1. Map out a value proposition canvas
Peter Thomson’s value proposition canvas explores the different components that contribute to a strong value proposition.
Thomson believes the process yields “minimum viable clarity,” which can be whittled down into a one-sentence value proposition.
He describes a value proposition as “a crunch point between business strategy and brand strategy,” with a model that syncs these two strategies.
The canvas has seven areas to explore, each taking up a section in the map.
When exploring each section, write from the customer’s perspective:
Benefits of the product: how it increases pleasure or decreases pain for the user.
Features and the experience: how the features make the customer’s life better and how the product experience makes the customer feel.
Next, dive into the customer’s emotional drivers (wants), rational motivators (needs), and fears (undesired outcomes).
Remember that emotions can guide buying decisions, including:
Perceived likelihood of failure
Anxiety
Reputation at work
You can use Bain & Company’s 30 “Elements of Value” and its B2B counterparts as a roadmap for articulating value within this context.
Note: The transcript mentions there are seven areas to explore on the canvas, but does not list them explicitly here.
2. Harvard Business School’s essential questions
Harvard Business School’s Institute for Strategy & Competitiveness simplifies value proposition work with three prompts.
Key idea: the value proposition connects the company and its customers; the value chain focuses internally on operations, while the value proposition looks outward at customers and demand.
Three prompts (brainstorm as a group):
Which customers are you going to serve?
Which needs are you going to meet?
What relative price will provide acceptable value for customers and acceptable profitability for the company?
Depending on your product, it can make sense to start with the first or second question.
Collectively, all three form a triangle that can lead you to a succinct value proposition.
Notes on applying the Harvard triangle
As you move through the exercise, consider which leg of the triangle is primary:
Is the greatest value in cost savings?
Or is it delivering a better product or experience at a premium?
Consider whether your company is expanding the market by meeting an unmet need.
The iPad example is used to illustrate creating a new demand that hadn’t existed before the technology existed (Apple’s product opened a new category).
3. Steve Blank formula to distill your insights
Steve Blank popularized a simple formula to translate brainstormed insights into a succinct value proposition.
Problem observed: founders often emphasize features instead of benefits, getting stuck in the weeds.
Blank proposed a simple template to summarize value:
\text{We help }(X)\text{ do }(Y)\text{ by doing }(Z)
This template is designed to distill insights into a single sentence.
Example value propositions from the transcript:
Personal example: "I help marketing teams to resonate with their target audiences by communicating with clarity and compassion."
Local business example: "We help our local customers to feel good and do good by fueling them up with artisanal coffee in a community-focused space."
Even if brainstorming is done in a group, this method can be completed individually for comparison.
The exercise emphasizes using the language your customers use:
Example from Help Scout: customers describe the problem as "emails slipping through the cracks."
If you don’t write your value proposition in the customer’s language, there will be a gap between what you say and what customers hear.
After individuals complete the exercise, comparing answers can yield insights into differing priorities.
Remember: first instinct can be the best; trust gut reactions when using this simple formula.
Practical tip: write in a way that mirrors customers’ own phrasing to cut through noise.
6 modern value proposition examples
1. Slack
Slack is a collaboration tool for teams with a simple, easy-to-use platform and instant messaging.
Beloved by both enterprise teams and startups for keeping work flowing despite barriers and project complexity.
Core value proposition: Slack saves time by tearing down communication and systems silos.
The product aims to take the pain out of working together online and, in a sense, make it enjoyable or fun.
Result: Slack is perceived as a more enjoyable alternative to email and other tools, contributing to rapid growth.
Growth note: Slack is the fastest-growing SaaS startup ever and is used by 77% of Fortune 500 companies.
Internal strategy note: Slack reportedly achieved this growth with a pared-down sales team, enabled by a strong value proposition.
2. Bloom & Wild
Bloom & Wild is an online flower delivery company that streamlines ordering and receiving luxury flowers.
Founder statement (2017 funding): they enable customers to order flowers and gifts from the palm of their hand with better product, designs, and payments.
Value drivers: instant ease of converting thought to action (delivery of flowers in under a minute via smartphone or computer).
Mission: make sending and receiving flowers a joy, using technology to turn emotions into action simply and beautifully.
Customer experience differentiators: flat-box packaging to fit through letterboxes; flowers sent as closed buds for longer bloom.
Competitive edge: smooth customer experience and lower prices (significantly cheaper blooms).
3. Airbnb
Airbnb markets to two groups: guests seeking a place to stay and hosts seeking to rent out spaces.
Two-in-one value proposition: travelers gain a truly local experience; hosts gain extra income.
Stated purpose: "Airbnb exists to create a world where anyone can belong anywhere, providing healthy travel that is local, authentic, diverse, inclusive and sustainable."
Customer benefits: rooms with more character, located in neighborhoods, local knowledge from hosts, home-like feeling.
Tagline: "Belong Anywhere."
Growth note: value proposition shifts as the company grows (e.g., introduction of Airbnb Plus with its own value proposition).
4. Fjällräven
Fjällräven is a classic Swedish outdoor brand founded in 1960 by Åke Nordin.
Core proposition: high-quality, sustainably made products that balance form and function.
Product strengths: functional, warm gear for expeditions; durable outdoor wear that blends aesthetics with usability.
Materials and production notes: uses own G-1000 material and Greenland Wax, contributing to durability and self-identified quality.
Brand promise: items crafted for a lifetime of memories; customers are willing to pay premium due to sustainability and longevity.
5. Juniper Print Shop
Jenny Komenda pivoted from design blog to Juneiper Print Shop, offering affordable art via digital downloads and physical prints.
Value proposition: helping non-designers create a beautiful home without breaking the bank.
Cohesive brand: affordable design and accessible art with simple installation tips (e.g., framing, mats).
Shop details: prints by women artists and photographers; cost-effective and easy to install; recommendations like using affordable IKEA frames.
6. Found My Animal
Found My Animal founders (Obrecht and Anna Conway) connected through rescue dogs and crafts.
Product focus: dog leashes made from nautical rope and other dog accessories (beds, totes, toys).
Core value proposition: support a company that donates a portion of profits to animal rescue groups by outfitting your rescue in quality products.
Social impact: donated to over 64 nonprofit organizations; marketing highlights rescue dogs and adoption messaging (website and social media).
Campaigns: The Rescue Orange Project (buy-one-donate-one leash program); social tag #foundmyanimal to raise awareness.
Distinctive element: branding centers on rescue and adoption.
The best value propositions evolve with your customers
Beyond simply writing, great value propositions influence and infuse a company’s strategy.
Value propositions aren’t identical to internal brand copy; when positioned well in the market, the message resonates widely.
Strong value propositions can help a company break into a market or create a new one and guide strategic decisions.
Revisit and evolve your value proposition
Once you can answer what a value proposition is in multiple ways, you should revisit it regularly.
Markets and customers change; businesses should evolve accordingly.
Build feedback loops to stay in touch with customers and real-time needs.
Listening to customers in real time helps evolve the value proposition to fit a growing community.