Developing a Unique Selling Proposition
If a prospect asks why they should choose you over the competitor down the street, what do you say? A unique selling proposition, or USP, is your clear, honest answer. It names the specific benefit you deliver that others in your market do not, or do not deliver as well.
What a USP Is and Is Not
A USP is not a slogan like "quality service at fair prices." Nearly every business claims that. A real USP is specific, meaningful to customers and something you can actually deliver. It also is not necessarily the lowest price. Competing only on price is a hard way to build a profitable company.
How to Develop Yours
- Know your customers. Who buys from you, and what do they care about most: speed, convenience, expertise, reliability, personal attention or peace of mind? Ask them directly.
- Study your competitors. Look at their websites, offers and reviews. Note what they emphasize and what customers complain about. The gaps are opportunities.
- Identify your strengths. What do you do better than others? Consider your experience, process, guarantees, specialization, location or the way you treat people.
- Find the overlap. Your USP lives where customer needs, competitor weaknesses and your own strengths meet.
- State it simply. Aim for a sentence or two that a customer would understand in seconds.
Examples of Angles
- Specializing in a particular type of customer or industry.
- Offering faster turnaround or a defined service response time.
- Making a hard process simple or removing a common frustration.
- Providing a clear, risk-reducing policy, such as a satisfaction promise you are prepared to honor.
- Bundling services in a way that saves the customer time.
Back It Up
A USP only works if you consistently deliver on it. Promise only what you can do every time, and train your team to deliver it. A claim that falls short damages trust more than having no claim at all. Be careful as well about advertising rules: statements to customers should be truthful and not misleading.
Put It to Work
Use your USP in your website, marketing materials, proposals and conversations. Let it guide decisions about which customers to pursue, what to offer and how to price. Revisit it every year or two as markets and customer needs change.
Focus Is a Strength
Trying to appeal to everyone usually appeals to no one. A well-chosen focus lets you charge fairly for your value, attract the right customers and say no to work that does not fit.
If you would like to talk through your business strategy with a financial professional, contact our office.
This article is general information, not tax, legal or investment advice for your specific situation.