Value Proposition

birthday moment in life

If your business has a consumer facing product, and you sell it based on features alone then you are doing it wrong.

The biggest shift that marketing in our generation is going through isn’t just technological in the sense of the mobile revolution, focus on location aware software, or even about the social fabric that ties everything together. Instead, in order to have a successful consumer product you need to focus on the experiences and tell an interesting story.

Think I’m kidding? Let’s take a look at some of the most effective marketing that has cemented users into a particular ecosystem, regardless of the fact that the competition arguably has more advanced technology. Instead, these companies focused on a user experience that delights their customers coupled with a marketing campaign that makes them feel something and creates an emotional understanding that the competition can’t quite create.

Example #1: Apple iPad

Arguably the master of their craft, Apple has built a culture around creating products with features the mass consumer can actually understand. The iPhone doesn’t just take 8mp f/2.4 photos, it records crystal clear memories. FaceTime isn’t just another web chat application, it’s a seamless way to see the people you love. The list goes on and on, and they have crafted their marketing formula around making technology get out of the way and giving people experiences.

Their recent iPad advertisement entitled “Love” is a great example of how they aren’t marketing just a tablet that is mostly a “nice to have” and is running on 3G networks while their competitors are running on much faster 4G LTE networks. Instead, they give examples of how creatives, curious youth and others can have enriched experiences with their device.

Example #2: The New Twitter

Twitter has long struggled with explaining to most of their 100 million customer base exactly what the heck the value of their service even is. Most people jokingly referred to Twitter as the service that lets everyone know what you had for lunch and how many times you had to go to the bathroom today, but for those of us who are more veteran Twitter users we fully understand the power of serendipity that Twitter can cause – and put simply it feels like magic.

With their latest release however, they also have done a much better job of marketing with the below advertisement by focusing on discovery (and the natural serendipitous nature of if) that shows how users can experience what feels like being a part of something bigger. Whether that something bigger is Egypt overthrowing their dictator or seeing a Tweet from space, it’s a larger than life experience that few other places really offer.

Example #3: Path 2

About a year ago, Path launched is a close network photo sharing application that was clean but didn’t have the magic formula to get any tangible traction. That all changed about a week ago when Path 2 launched as they understood that their niche to fill was not just another photo sharing app that only lets you share with family. Instead it’s a network that focuses on people you really care about (close friends, family etc), but also gives you the ability to broadcast information that you are comfortable sharing to more public networks such as Foursquare, Twitter, Facebook etc.

The video they used to launch Path 2 does a brilliant job of showing how most people only really care about a tight network of people anyway and that it’s not a race to see how many friends you can collect on your network of choice. Instead it was about high quality images, videos and experiences along your “path” of life that you want to share with your closest people. Quality > Quantity.

What can you improve with your own product?

This is the real question, have you been promoting your product service based on it’s differentiated features from your competitors? Or have you been focusing on how their experience will have a spark of magic in it? While most of my close friends are tech savvy, I can say that most consumers are not – but that’s actually a good thing.

By having customers who care about how a product improves their life instead of trying to keep up with the latest acronyms and other industry jargon they can focus on living their lives while you delight them along the way. Think about how you can modify the way you present yourself to focus more on the experience rather than the newest flux capacitor on your widget.

No one is a more rabid A/B tester than Google, yet it’s no secret that they haven’t been very prolific designers. With their iconic spartan search page that hasn’t changed much for many years and many of their products following suit, when Google dives head first into taking design seriously this should be the final wake up call for those of you who have been using them as an excuse for a owning a website that looks and performs like crap.

Being concise and muted

With the launch of Google+ we started seeing upgrades cropping up all over the Google suite, and even more recently we are seeing a consolidation of their branding by dropping the brands of Blogger and Picasa and instead calling those products Google Blogs and Google Pictures which will bring a more continuous look and feel to their suite of products. These brands lend themselves to being concise and much more easily articulated to consumers seeing as how the Google brand is now one of the most coveted, recognized and valuable brands on the earth.

Being ‘muted’ is all about delivering a compelling experience without overselling it through too many flashy objects (an in a lot of cases actually avoiding the literal use of Flash) and instead using soft color tones, unique feeling typography and a clean spartan design that give a clear call to action and leave plenty of white spaces for your users to distinguish between various objects and compartments of your website design. This will allow them to understand what they are being asked to do and what your value proposition is without being overwhelmed.

Earning your visitors trust

For many sales online, sales are essentially the arbitrage of trust you have built with your audience. What this means is that people are willing to buy from you because they trust you, and each time you ask them to buy something you will lose a few “followers” and feel less valuable to your users in the process. Most marketers get over this by keeping a steady stream of fresh visitors and providing as much value for free to their audience in between asking them to buy stuff to at the very least balance out the trust arbitrage.

But what is the difference between this and simply having good design? Of course you need to provide value to your audience, they need to trust you and feel good about the relationship – but even if you are giving away the world in a package that looks like ass your sales are going to suffer. This is where the time and resource investment of quality design comes into play. Your audience will trust you more as well as be more willing to buy your products when you have good design because it articulates what you are selling, what the value proposition is and it feels like it has the polish that only the highest quality product would have.

To put it simply, every audience desires and is willing to pay for the following:

1. Something of value (it solves a problem or perceived problem they have)

2. Something of quality (fit and finish that they feel they deserve)

3. Something of scarcity (an item, service, or experience that is not easily replicable)

Knowing this, how is your website design hurting your conversions? What aspect of your value proposition is lacking because you weren’t willing or able to put in the additional resources to articulate in a way that solved all 3 of the above requirements for a successful consumer product?

There used to be a time in America where simply graduating high school was a big deal, but the expectations quickly grew as more and more families could afford to go to a University. Today’s Bachelors feels more like an expensive high school diploma when entering the work force, yet for business related functions it still doesn’t feel useful. What the heck is going wrong?!

Being Relevant

I recently graduated from Washington State University with a degree in Marketing and a minor in International Business. While the experience there was fantastic and I was able to meet a lot of people it seems difficult to quantify the value and return that the traditional business program can offer. If I had taken that same amount of money that was spent on a four year degree, don’t you think I could have networked with the leaders in my industry of interest and learned from the best? Being relevant with today’s business demands seems to be something Universities are struggling to keep up with.

Disruption

How can a prospective student get more value out of their passion for business? The internet is completely saturated with “make money online gurus” that offer limited value and leave most people out in the cold. It is more and more difficult to find legitimate mentors online, and even tougher still to validate that you have learned anything. Why isn’t there an online degree program from these individuals that would hold weight out in the business world?

I personally feel that a lot is being left on the table by these simple informational products from a brand and revenue perspective because so many of the legitimate specialists have both real skills and their own web based services that compliment what they could be teaching new students. There is no reason that these honest professionals shouldn’t be the harvard of the online eduction world when it comes to business. It could be the perfect funnel to a special “alumni” pricing of their amazing tools that they use internally to produce millions of dollars in revenue and profit.

Anticipating Consumer Emotion

by Travis Ketchum

What does it look like to be genuinely two steps ahead of what consumers think they want? Will the gamble pay off big time?

Your Product Sucks (Or at least looks like it does)

by Travis Ketchum

In marketing there is an important aspect that too many of us overlook when bringing a product to market; how the hell does it look to the consumer?

Product Value vs. Value Proposition

by Travis Ketchum

What is the difference between a products value & its value proposition, and why should you care as both a consumer and a business?