Anyone seeking long-term, sustainable growth must be customer focused. They must connect deeply with the customer. Creating clear, actionable strategies to deliver value propositions is a crucial element of this. Supported by our competitive intelligence, we have assisted many organisations in creating value propositions for various customer segments over the years and developing clear strategies to implement them. Building world-class value propositions require several actions. This article asks how to develop world-class value propositions with competitive intelligence. Our thinking follows:
1. The first step is to gain insight
It’s crucial to grasp your target customer group’s requirements thoroughly. You may either collect this data through qualitative or quantitative methods. Once you have identified your customer’s needs, you should construct a framework that includes the following:
The customer segments – what are they seeking to achieve within their lives and work?
What are the main pains they face if something goes wrong in their life or work
Identify the wins and outcomes that will make a difference to the customer
Concentrating solely on the customer needs, pains, and gains is critical and what really matters to them at this phase of value proposition development.
Once you have identified the jobs, pains, and gains for each customer segment, you can use this information to determine where your products and services fit the needs of customers, where you might have gaps in functionality, and what products or services you don’t provide that would not fit any requirements and might be eliminated.
2. Competitors analysis
Your customer value proposition must also be assessed in the context of your competitor’s value proposition. The competitor’s value proposition which targets the same target customer as yours, must be examined to determine whether your value proposition truly offers a superior value proposition in the areas that really matter. Or whether your value proposition must be improved. Companies have often dedicated all their attention to the customer and neglected their competitors, resulting in bland value propositions. We see instances like this all the time. Taking competitors lightly is a big mistake.
3. Buying into the idea
Getting everyone behind the value proposition across the organisation is critical, from the executive team to the team that will implement it on the ground. Ensure that everyone is on board when the rubber hits the road and you’re in full implementation mode. Everyone must support the rationale behind our initiatives. You should prioritise initiatives that will have the most significant impact in delivering the value proposition by ensuring that influential leaders and key individuals are involved in the process. Including them in the process through consultation or participation in working sessions is important. They, in turn, will become supporters and defenders of the value proposition, and they will be able to build support and understanding in their teams.
What is competitive intelligence?
Competitive intelligence is the finding & critical analysis of information to make sense of what’s happening & why. Predict what’s going to happen & give the options to control the outcome. The insight to create more certainty & competitive advantage.
4. Focus is the fourth step
The last part of the customer value proposition creation process is all about the focus. If you’ve galvanised your workforce and mapped the customer value proposition correctly, you should know which segments and initiatives are most essential for your business. At this phase, you should prioritise the industries and clients which will have the most significant impact on your business, the ease of delivery, the potential cost, and the likelihood of success. Prioritise the initiatives and clients that will have the most significant impact on your company, and de-prioritise the rest.
5. Robust strategy and action
The value proposition theory needs to be turned into a robust strategy and implementation plan in order to be effective. The best way to accomplish this is to get key individuals together to plot a timeline of critical actions and milestones required to turn the value proposition theory into action with assigned duties and responsibilities. This will help identify all the potential barriers and crucial dependencies that must be handled to ensure that the value proposition is delivered on time and in full.
How to develop world-class value propositions with competitive intelligence
In conclusion, long-term, sustainable growth requires a customer-centric approach and creating value propositions from which everyone can benefit. All four steps fall directly into the lap of competitive intelligence thinking, skills and tools. By focusing on innovation, developing strong relationships with customers, and offering tailored solutions to meet individual needs, businesses can create sustainable strategies for success. Going forward, it is essential for companies to continuously strive for improvement to remain competitive and capture more significant market share. This article asked how to develop world-class value propositions with competitive intelligence.
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