Sales Value Proposition | What does this really mean?

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Sales Value Proposition | What does this really mean?

What’s your sales value proposition?

Look for the value…

Create value with your buyer…

Be a person of value…

There are loads of statements floating about at the moment about the ‘sales value proposition’ and such associated terms.

Listen to any sales guru long enough and they’ll come up with their variation on the theme.

I do it myself when I discuss Value vs Risk vs Price with my sales trainees and how we need to balance all three to really get a win-win.

But with all the different conversations around value and sales value propositions at the moment, I wanted to shine a strong light on what can be overwhelming for sales teams struggling with cryptic and non-specific messages about how to win clients.

Sales Value Proposition – A Few Truths

  1. The Sales Value Proposition is not the same for every buyer. Think if you’re selling a chocolate bar to a prospect. If that prospect is a busy parent wanting to keep something in the car for energy dips, then the value proposition for the chocolate bar is wildly different to the Arctic explorer. The Arctic wants chocolate in his pack to bulk up his calories to compensate for huge energy draws. Totally different sales value propositions.
  2. Most business sales value propositions have more than one proposition. It might have a reducing risk element, it might have a saving money function, it might have an efficiency/effectiveness factor, it could have a green credential, a corporate social responsibility element, a stress reduction function.  Needless to say, the more sales value propositions you have the better. But don’t be fooled, because not all of these will be equal, and, more doesn’t always mean better.
  3. Every sales value proposition has a monetary justifiable and transparent value attached to it. Therefore every sales value proposition needs a very robust and totally transparent ROI to go along with it. Words are not enough, the real question to answer is – how is this value proposition translating to a win from a financial point of view. Don’t mistake this by thinking you need to be cheaper. You don’t! Read Price, Value and Risk for more information.

What is a Sales Value Proposition?

It’s a set of values you construct with the prospect during the sales process, it’s the elements of your product and your service that your prospect will enjoy once they become a buyer.

In the example above, the Arctic explorer will enjoy the energy dense food source, the small/light carriage, the longevity of the product, the resilience of the product to severe temperatures without decomposing.

(See, none of these are the same sales value proposition required by the busy parent)

So, it’s during the discovery phase of the sales process that a sales person can work up, with the information provided by the prospect, what that prospect’s very specific sales value proposition actually is.

Is this the best way to look at the definition  of the Sales Value Proposition?

I don’t think so.

I think, where it’s easy enough to understand the example above, there is still a terrible tendency to assume that all buyers and prospects have essentially the same need.

And that’s wrong.

It trips too many sales people up.

I prefer to use the word ‘FIT’, because FIT seems more relevant.

It gives a concept, that many people make quite complex, really simple.

So the question is no longer ‘what’s your sales value proposition?’

Instead it’s replaced with these two questions…

‘If we are to work together, how can I ensure my firm is the best FIT for your firm?

What does our solution need to look like for you to get the most benefit from working with us?

Summary: Sales Value Proposition

If more sales teams could approach their prospects with a view to discovering the best FIT, then I know the quality of sales questions would dramatically improve.

And we all know, when sales questions improve, so does the quality of the sales pipeline, so does the quality of the sales opportunists, and so do the chances of hitting sales targets.

But, more importantly than all of that, the sales conversations will be more meaningful and relevant to the prospect, the rapport levels higher, and the amount of potential friction during the sales process dramatically reduced.

In short, the idea of ‘pitching’ would be replaced with ethical consultative selling.

Consultative Selling and Sales Fit

There are a million and one sales methods out there. Oooops, wait a minute, a new one just got created! And again….

You get my drift – everyone has their own very specific way to sell, and that’s great.

But before you go jumping on the bandwagon, just ask yourself, what are these sales people actually saying?

They are actually saying, ‘this way works well for me’

It works well for them.

It’s not designed to work really well for you (but it might)

Sales Training – Take Control

So, when you’re thinking about perfecting your own sales method – the way to sell that works best for you.

The way to sell that fills you sales pipeline with high quality, well qualified sales leads, the way to sell that drives the greatest value and fit connection between you and your prospects….

To do this well, then you really should get up to speed with Consultative Selling.

Consultative Selling

Yes, it’s been around a million years.

You know why?

Because it’s very good.

Another reason is that it is not just a sales method, it’s a way of thinking.

It’s a intelligent positioning and customer centric mindset for selling that puts the customer at the heart of the process…you’d be surprised what happens in a buyers mind when they feel you are speaking to them and their needs directly.

And that’s what Consultative Selling and Sales Value Propositions are all about, simply discovering, building and articulating your sales value proposition is much simpler when you follow the Consultative Selling ethos.

Getting to a meaningful Sales Value Proposition is easier, more enjoyable and highly beneficial in letting the prospect know you care, are curious, are not all about the cash and genuinely need to be of service.

You can find out more here – Consultative Selling for High Performing Sales Teams 

For more information on how to sell using Sales Value Propositions that convert using Consultative selling – call or email on 0779 002 1885 or email carol@mortonkyle.com

Happy Selling

Carol

Updated: 1.8.20

p.s. if you’re looking for a way to discover your Sales Value Proposition, and how you can be the best sales FIT for your Perfect Prospect Profile, take a look at our Sales Improvement Workshop, alternatively if you’re really struggling with your Perfect Prospect Profile and Your Best Sales Fit Proposition then check out The Sales Innovation and Disruption Workshop.

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