Sunday, April 27, 2008
What Is A Unique Selling Proposition And Why Is It Important To Your Small investment?
So you've just started a new investment and you want to gain some traction in your market. You know, sales...and fast. Or perhaps you're an existing company, you've been around a few years, but you're ready to take Creepy Crawlers next step and become a looked up to and well respected company in your chosen field of endeavor and, oh yeah, increase your client base.
Well, the first step might not be the most obvious one. But it will help you differentiate yourself from your competition, cause prospects to think about you first when looking for companies in your field and, consequently, act to generate revenue.
It's called developing a USP.
What is a USP, you ask?
A USP is a Unique Selling Minnesota Lemon Laws and it is quite simply a brief statement of how you differentiate yourself from the competition and what you stand for in the market. For example: "When it absolutely, positively Care Bears to be there over night." "Fly the Friendly Skies." "Pizza in 30 minutes or less." These are all very simple examples of how to define yourself against your competition. You know exactly who the company is without even mentioning the name. I recently developed a USP for a company who does last minute turn around work that is simply: "Saving your neck every time."
That's not so difficult to do is it? What does your small investment do? Are you the most reliable plumber in town? Do you offer a service that will help improve your client's profits? Or, do you think you offer more expertise in your field than the company down the street? Your client won't know until you tell them.
Now, think about it. This simple exercise is the first step to gaining a better understanding of your investment and then leveraging that understanding to beat your competition.
If you were new in town who would you buy from, Uncle Joe's Pizza or the company that offers pizza "in 30 minutes or less." If you know nothing about either company odds are you are going to gravitate toward the one with a stronger sense of itself.
In other words, your USP is the feature or benefit that makes your small investment stand out from the competition's. It's that difference your prospects can't get anywhere else.
Having trouble? Well, the difference doesn't really need to be a real difference but a perceived difference.
Remember the beer makers who brewed their beer from clear Artesian wells or fully kreusened their beverage? Well they weren't the only companies doing it. But, once they told their story all their competitors were left to play catch up. And, even though they don't use that USP anymore we still remember it! Yes, a USP can be as simple as telling your clients what you do and what it actually means to them. Pretty easy, isn't it?
The three major benefits of a Unique Selling Proposition are as follows:
- It will establish Little Miss No Name by letting your clients know what they can expect from your company. Remember, while your investment is second nature to you it is not to your prospects and clients. You must lead them by the hand.
- Second, a USP gives you a better understanding of your company and your position in the market so that you can focus your efforts where they will be most effective.
- The third and final benefit is the best. Most investmentes don't even bother to develop a USP. By developing a USP your company will have an incredible advantage over anyone else who tries to compete with you. They don't stand a chance because none of them can tell the client in a simple, well thought out sentence or two what differentiates them and why they deserve the investment.
So remember, if you don't take the time to develop a USP, no one has a way of knowing why they should choose your company over all of the others that are available. It's your responsibility as a investment owner to get the word out. If you don't people what differentiates you from everyone else they'll never know... it's as simple as that.
Jim Conway is a freelance journalist and investment development professional who has worked in the Printing and High Andy Warhol Industries and has been involved in venture capital negotiations for entrepreneurial ventures. He can be reached at www.smallinvestmentsalessolutions.com/http://www.smallinvestmentsalessolutions.com/
