An aspiring entrepreneur eagerly approaches me. They introduce themselves and immediately begin with “I want to tell you about my idea!” What follows is a long drawn out description of their ‘engineered widget’ that apparently does something interesting. The description of their idea/project is so confusing that we both end up frustrated. The entrepreneur walks away feeling defeated that they were unable to communicate their passionate idea clearly. Not the result the entrepreneur was hoping for.
*This article first appeared in print in the Richmond Times Dispatch, Richmond VA, USA.
This example happens all too frequently. So much so, that this article’s sole purpose is to help those at the start line communicate their idea in an effective and compelling manner. Doing so will result in the ability to gain clarity, advocacy, and even customers.
Read on to learn how successful entrepreneurs communicate their ideas framed as a value proposition.
What is a value proposition?
Here’s what you need to know:
The value proposition is a statement about how your project will bring value to your customer. The value proposition is only partly about your idea. The critical aspects about your project are often less about your idea and more about the customer and their problem that you are solving.
The value proposition will clarify your project in a manner that invites others to support you, buy something from you, or even want to join your team. Here is a simple framework for you to follow when crafting your value proposition. The order is just as important as the information. State your project/idea following this value proposition framework - CUSB:
- C | Customer The customer is the person paying for your idea. They are the ones typically benefitting from it as well. The first words you say when telling others about your idea is a description of your customer.
- U | Unmet need The unmet need is the issue/problem that you are solving for the customer. The second thing you say is the problem you are solving. Customer first, then problem.
- S | Solution The solution is your idea that you believe will resolve the customer’s unmet need. Notice that not until now have you actually shared your “idea.” Customer first, their problem, then your solution to solve the problem.
- B | Benefit The benefit (or differentiation) is a description of the experience the customer will have when their problem/issue is resolved by your solution. It also can be a justification of why your solution is better than other solutions.
Here’s what you need to practice:
Step 1 is to craft your value proposition. Grab a pen/paper and write your CUSB.
Step 1 is to craft your value proposition. Grab a pen/paper and write your CUSB.
- Customer – Who is your customer? Who is paying for your service or product? Who is the person that will benefit? Be specific so they know you are talking about them. “Everyone” is not your customer.
- Unmet need – What problem are you really solving? What customer issue will go away, or how will the customer gain from your solution? Make sure you are clear as it will convey empathy with your customer: “I know you and your struggle.”
- Solution – What is your solution? State it simply so everyone gets it. How do you describe your product/service to someone that does not have your level of insight or understanding? Often, your customer is less concerned about the details of your solution. They are more concerned of how your solution will benefit them.
- Benefit – How will the customer experience life using your product/service? Describe their experience when their problem or unmet need is resolved. What makes your solution better than the other options available to the customer? Tell the customer in a way that creates desire for your solution.
Step 2 is to share your value proposition to friends, funders, advocates, and customers. Be confident and tell everyone! Leave out the actual words “Customer/Unmet need/etc” and instead convey it as a story. Notice their response to your value proposition in order to continue to hone your overall story and message.
As an example, this article was actually modeled as the CUSB storyline to illustrate how it works. The opening paragraph is a detailed description of the customer and their problem: aspiring entrepreneurs (C) that are struggling to communicate their ideas with clarity (U). The second paragraph is the solution and benefit: this article (S) will provide a way for entrepreneurs to communicate clearly in order to gain clarity, advocacy, and customers (B).
*This article first appeared in print in the Richmond Times Dispatch, Richmond VA, USA.