Value Proposition Creation

Generic promises die in sophisticated markets. Precision wins. A strategist told me her value proposition was "helping companies scale sustainably." She'd workshopped it for months. Tested it in sales calls. Put it on her homepage. Zero responses to her outreach. Prospects nodding politely before going silent. Her value proposition wasn't wrong. It was invisible. In a market saturated with experts promising "sustainable growth," her message vanished into the noise. Here's why most value propositions fail: They're built on what you do, not what specifically breaks without you. "I help leaders build high-performing teams" "I support founders scaling revenue" "I guide executives through transformation" These aren't value propositions. They're category descriptions. Here's the framework that actually converts: ICP Truth → Pain Truth → Differentiated Mechanism → Time-Bound Outcome Step 1: ICP Truth (not demographics, psychographics) Weak: "B2B SaaS founders" Strong: "B2B SaaS founders who've hit $3M ARR but can't break through to $10M despite adding sales headcount" The specificity signals "I've seen your exact situation before." Step 2: Pain Truth (the problem they're living with right now) Weak: "struggling with growth" Strong: "watching new reps take 9 months to ramp instead of 3, bleeding cash on a sales team that's producing inconsistent results, and wondering if the problem is the people or the process" Premium buyers pay to stop specific pain, not to gain generic improvement. Step 3: Differentiated Mechanism (how you solve it differently) Weak: "proven sales methodology" Strong: "we reverse-engineer how your top performer actually sells (not how they think they sell), then build a replicable system that cuts ramp time by 60% without replacing your team" Your mechanism should make competing solutions look incomplete. Step 4: Time-Bound Outcome (the measurable result with a deadline) Weak: "improve sales performance" Strong: "new reps hitting quota in 90 days instead of 9 months, with predictable pipeline coverage you can actually forecast against" Vague outcomes get vague commitment. Specific outcomes get wire transfers. Putting it together: "I work with B2B SaaS founders stuck at $3-5M ARR who've added sales headcount but are watching reps take 9+ months to ramp and produce inconsistent results. We reverse-engineer how your top performer actually sells, then build a replicable system that cuts ramp time by 60%, so new hires hit quota in 90 days instead of 9 months, and you finally have pipeline coverage you can forecast against." That's not a tagline. It's a diagnosis. The right person reads it and thinks: "How did they know?" I've spent over 10 years studying what separates value propositions that convert from those that collect dust. I built everything I know into my AI Brand Message Diagnostic Tool: https://fabipaolini.com/ai It analyzes your current positioning against this framework

Stop guessing your growth path. Map it instead with the Lean Canvas model. Last year a client was losing cash after a bad investment. Their Board wanted a clear plan, but management's ideas were scattered. Pressure rose as their cash runway shrank. I used a blank Lean Canvas and met with management. Box by box, we turned fuzzy thoughts into clear statements. In a few hours, the team could see the whole business on one page. A week later, decisions sped up, waste was cut, and revenue began increasing. The Board praised the new focus because just one sheet had replaced weeks of endless slides. 1. Start with the Problem box because pain fuels purchase: ⇀ List the top three headaches your market hates. ⇀ Ask customers for blunt complaints. ⇀ Rank pains by urgency and frequency.  ⇀ If the pain is weak, the plan is weak. 2. Name the Customer Segments who wake up with that pain: ⇀ Avoid lumping everyone together - be precise. ⇀ Describe one real person, not a demographic blur. ⇀ Note where they already search for help. ⇀ Specific faces drive focused solutions. 3. Your Unique Value Proposition attracts attention: ⇀ Write it like a headline your customer would repeat. ⇀ Highlight the biggest outcome, not features. ⇀ Short, clear value wins the click. ⇀ Keep it under ten words. 4. Now sketch your Solution: ⇀ Draft three bare-bones features solving each top pain. ⇀ Mockup screens or sketches quickly. ⇀ Show them to five prospects tomorrow. ⇀ Speed beats perfection in early design. 5. Channels tell you how messages travel to wallets: ⇀ Pick the two cheapest tests before buying ads. ⇀ Leverage existing communities and email lists. ⇀ Measure response time and cost per lead. ⇀ Cheap learning outruns expensive guessing. 6. Revenue Streams prove the idea can feed itself: ⇀ State exactly who pays, how much, and how often. ⇀ Compare price to the pain’s current cost. ⇀ Pilot a single pricing tier first. ⇀ Real cash beats hypothetical guesses. 7. Analyse Cost Structure for sustainability: ⇀ List the three largest costs and make them variable. ⇀ Negotiate monthly, not annual, contracts. ⇀ Lean costs preserve runway for learning. ⇀ Automate before hiring. 8. Key Metrics keep founders honest on progress: ⇀ Choose one north-star metric and two support numbers. ⇀ Link each metric to habit or revenue. ⇀ Track weekly in one simple dashboard. ⇀ What gets graphed gets fixed faster. 9. Finally, name your Unfair Advantage: ⇀ This is the asset rivals can’t match. ⇀ Lean on unique data, patents, or proven community. ⇀ Document founder expertise that speed cannot buy. ⇀ Without moats, margins leak. 10. Don't forget to summarise your high-level concept and identify early adopters too. Review our lean canvas model weekly to stay on track with your strategy. What's your favourite strategic model? ------- ♻️ Repost to help others in your network. Follow Jonathan Maharaj FCPA for more insights on accounting, finance and leadership.

Best Practices in Creating Joint Business Value Propositions in Strategic Alliances A Joint Business Value Proposition (JBVP) is the single clearest statement of why two organizations working together will create more value for customers — and for themselves — than either could alone. Done well, a JBVP guides product design, go-to-market plans, sales motions, and executive sponsorship; it’s the north star that aligns incentive models, investment decisions, and joint metrics. Done poorly, it becomes vague marketing fluff that confuses sales teams and slows adoption. This article lays out practical, repeatable best practices for creating JBVPs that actually drive results — organized around a three-stage alliance value framework many alliance professionals find useful: Initiation, Activation, and Acceleration. For each stage I provide principles, tactical steps, checklists, templates, and common pitfalls so you can move from idea to revenue with clarity and velocity.

Whether you’re promoting yourself in an interview, pitching a product, or asking for a raise, here’s how to persuade the person without being manipulative: At our Science of People lab, I’ve found that the most persuasive communicators master what I call the Two C’s: 1. Clarity Confusion kills persuasion. People can’t say yes to what they don’t understand. So before anything else, get crystal clear about what you do, who you help, and why it matters. 2. Curiosity Humans are drawn to questions, not monologues. If you can make someone genuinely curious, you’ve already earned their attention. Now let’s put those into practice. Step 1: Forget the elevator pitch Instead, think in terms of value propositions, statements that clearly show what you do and spark curiosity about how you do it. For example: “Meeting planners and association executives hire me to make them look like superstars.” That’s from Don Levine Jr. Every time he says it, people respond with: “Really? How do you do that?” And that “how” is the golden question, the one that opens real conversations instead of shutting them down. Step 2: Invite dialogue Your goal isn’t to “pitch.” It’s to start a discussion. When you state your value clearly, people naturally ask follow-up questions, and that’s when your expertise shines. Compare these two: • “I’m an engineer for a software company. We specialize in cybersecurity” • “I’m an engineer trying to solve the three biggest challenges in cybersecurity today” The second version invites curiosity and sets you up as an authority. Step 3: Be ready for “how” and “why” A great value proposition always leads to deeper questions: “How do you do that?” or “Why do you do that?” That’s your chance to explain your mission. Those “how” and “why” conversations create trust and credibility faster than any sales script ever could. Step 4: Add the third C (Courage) Yes, I’m sneaking in one more C. Because clarity and curiosity alone aren’t enough. You also need courage. • Courage to sound different • Courage to be memorable It takes confidence to say something like: • “I’m a human behavior hacker” • Or Jim McConnell’s favorite: “I keep my clients off the front page, keep executives alive and out of jail, and make suppliers accountable” • Or even a wedding planner who says: “Brides hire me so they can sleep better at night.” Each of those lines makes people lean in. Step 5: Create your own Here’s a simple fill-in-the-blank template to build your value proposition: I help [target audience] in [category] by [benefit/outcome] so they can [result]. Examples: • “For store owners in retail, our micro camera system provides fail-safe, worry-free security 24/7” • “I help startup entrepreneurs in tech hire the right people so they can focus on growth.” Now, I’m curious: what’s your value proposition? Fill in the blanks and share it below. I’d love to see what you come up with.

This is an excellent read from Stanford & BCI around Communicating Sustainability as Value Creation 💰 In today’s rapidly evolving business landscape, “value” is central to every sustainability conversation. While this is written in the context of private equity, it is relevant to all businesses. The research demonstrates that integrating ESG factors into business strategy can directly enhance enterprise value. It moves beyond rhetoric, showing how sustainability-linked actions—like a “driver-first” culture in logistics—improve retention, safety, efficiency, and ultimately, financial outcomes. In the cited example, these initiatives led to a $144 million increase in enterprise value, with clear links to EBITDA and competitive advantage. Key Takeaways: 🌟 Sustainability is a lever for growth and resilience, not just risk mitigation. 🌟 Value creation should be at the heart of sustainability communications. 🌟 Frame ESG initiatives in terms of their impact on profitability, risk reduction, and strategic positioning. 🌟 Use clear, quantified examples. 🌟 Share stories and data that demonstrate how sustainability drives financial results—just as the logistics case study does. 🌟 Avoid compliance-only language. 🌟 Position sustainability as integral to business strategy, not as an external obligation. Practical Steps for Sharpening Communication: 1. Link sustainability initiatives to financial KPIs (e.g., EBITDA, margin improvement, cost savings). 2. Highlight operational improvements and competitive differentiation. 3. Tailor messages to your audience—investors, employees, customers—using sector-relevant examples. 4. Build conviction through data and real-world case studies, not just aspirational statements. Bottom line: Whether in private equity or any other sector, the ethos of value creation through sustainability is universally relevant. By communicating sustainability as a source of financial and strategic advantage, companies can inspire action, build stakeholder trust, and drive lasting impact.

After 26 years in the investment business, I discovered my favorite value proposition: Offering a customer the opportunity to buy something they already buy, but at a structurally lower price. Yes, if the options are better, faster, or cheaper – I like cheaper. Why do I like this value prop? Because there’s little fundamental market risk. If a customer is already buying a product, then you know: -They want the product -The product benefits them in some way. -You know they are ready to buy it now (because they already buy it now – so you’re not taking market timing risk.) Whether there’s even a market or whether the market is here now is a profoundly underestimated risk undertaken by many emerging technology companies. And, in this example, you meaningfully mitigate those risks. Then you layer on top of a large existing market, a very clear reason to buy with you: You’re selling to them the very thing they already buy, for a lower price. Who doesn’t want that?

5 step process for crafting a compelling Unique Value Proposition: Identify Why Now: Focusing on what's changed (inflection) and what's at stake (impact) is vital for timing. Identify Who’s It For: Focusing on early adopters is crucial, as targeting everyone dilutes your message. Identify Existing Alternatives: It is key to understand what customers currently use to solve their problems. This perspective aids in positioning your product as a different alternative. Highlight What’s Broken with Status Quo: Pinpointing the flaws in existing solutions helps craft a UVP that is specific, familiar, and compelling (insight). Then, Articulate Why Your Product is Better: A compelling UVP should indicate how your product delivers a significantly different and better outcome or solves a big enough problem.

Value Proposition is an essential term for PMs. But it's largely misunderstood. And everyone defines it differently. It doesn't help that the most popular canvas: - Focuses on multiple products - Lumps jobs, pains, and gains without explaining their connections - Doesn't clarify what gain/pain relief each feature addresses - Doesn’t mention existing alternatives or workarounds Recently, Aatir Abdul Rauf and I collaborated to bring some order. A good value proposition defines: 1. Who is the value for: Persona 2. Why is it important: Jobs to be Done 3. What before: Existing, problematic state (e.g., maintaining tasks in Excel) 4. How: Features and capabilities (e.g., Kanban board) 5. What after: The benefits and outcomes (e.g., organized tasks with clear deadlines, increased productivity) 6. Alternatives: your unique value, unique attributes, and optionally relative pricing vs. competitors and substitutes (often represented as a Value Curve). What I loved about this format is that it allows you to tell the story. Value propositions are great alignment tools for PMs, leadership, and cross-functional teams. They are also an essential part of your product strategy. If: - Your product solves specific problems way better than alternatives - You message it effectively - You can quickly and easily onboard your customers ("Aha moment") - Your product delivers the benefits promised Your customers will be unable to resist. --- Hope that helps. 🎁 A free template (Google Docs): https://lnkd.in/d59tbVJy --- P.S. You can download 30+ high-definition product infographics here (PDF): https://lnkd.in/d5bHGj5j And here, you can read our full post with case studies: https://lnkd.in/du9zcZDA

Are you generating enough value for users net of the value to your company? Business value can only be created when you create so much value for users, that you can “tax” that value and take some for yourself as a business. If you don’t create any value for your users, then you can’t create value for your business. Ed Biden explains how to solve this in this week's guest post: Whilst there are many ways to understand what your users will value, two techniques in particular are incredibly valuable, especially if you’re working on a tight timeframe: 1. Jobs To Be Done 2. Customer Journey Mapping 𝟭. 𝗝𝗼𝗯𝘀 𝗧𝗼 𝗕𝗲 𝗗𝗼𝗻𝗲 (𝗝𝗧𝗕𝗗) “People don’t simply buy products or services, they ‘hire’ them to make progress in specific circumstances.”  – Clayton Christensen The core JTBD concept is that rather than buying a product for its features, customers “hire” a product to get a job done for them … and will ”fire” it for a better solution just as quickly. In practice, JTBD provides a series of lenses for understanding what your customers want, what progress looks like, and what they’ll pay for. This is a powerful way of understanding your users, because their needs are stable and it forces you to think from a user-centric point of view. This allows you to think about more radical solutions, and really focus on where you’re creating value. To use Jobs To Be Done to understand your customers, think through five key steps: 1. Use case – what is the outcome that people want? 2. Alternatives – what solutions are people using now? 3. Progress – where are people blocked? What does a better solution look like? 4. Value Proposition – why would they use your product over the alternatives? 5. Price – what would a customer pay for progress against this problem? 𝟮. 𝗖𝘂𝘀𝘁𝗼𝗺𝗲𝗿 𝗝𝗼𝘂𝗿𝗻𝗲𝘆 𝗠𝗮𝗽𝗽𝗶𝗻𝗴 Customer journey mapping is an effective way to visualize your customer’s experience as they try to reach one of their goals. In basic terms, a customer journey map breaks the user journey down into steps, and then for each step describes what touchpoints the customer has with your product, and how this makes them feel. The touch points are any interaction that the customer has with your company as they go through this flow: • Website and app screens • Notifications and emails • Customer service calls • Account management / sales touch points • Physically interacting with goods (e.g. Amazon), services (e.g. Airbnb) or hardware (e.g. Lime) Users’ feelings can be visualized by noting down: • What they like or feel good about at this step • What they dislike, find frustrating or confusing at this step • How they feel overall By mapping the customer’s subjective experience to the nuts and bolts of what’s going on, and then laying this out in a visual way, you can easily see where you can have the most impact, and align stakeholders on the critical problems to solve.

After helping over 150 startups craft their value propositions, this is the best way we've found to build them ⬇️ Robert Kaminski 🎯 and I moved away from doing long term consulting with one company at a time, and switched to a volume-based business for one main reason: We wanted as many opportunities as possible to improve our framework for value proposition creation. By narrowing our scope of focus to something hyper-specific (i.e. helping early stage pre-product-market-fit startups write their homepages), it allowed us to: 1) drastically decrease our price point from where it was with custom consulting 2) work with a TON of startups in the exact same stage 3) continuously test, update, improve, and ship new versions of our framework The canvas below has been the singular focus of our business for the last year and a half, and this is version 8403 (jk, but it has gone through a crazy amount of iterations). You've probably seen us post various versions as we've updated it, but we've never done a dedicated post on how to actually USE the canvas. And through countless rounds of trial and error, we've found it's best to not just go left to right but to follow a very specific pattern that jumps you around the canvas. Follow the directions below in the carousel — and let me know how it goes! #productmarketing #saas #startups