Value Proposition

Your value proposition is a clear statement of the tangible benefits your customers receive when they use your product or service. Good value propositions begin by identifying the unmet needs of your target audience. QDI’s Value Estimator Workbook™ helps you establish a strong differentiator between your product and the competition.

QDI’s Value Estimator WorkbookTM

QDI’s Value Estimator WorkbookTM helps you clearly define your product’s benefits and costs. You not only measure how you stack up against the competition but also test the impact different changes to your offering would have on your close rate. The output is a projection of close rate for you and each competitor. The higher your close rate, the higher your potential market share.

Three Steps:

1. Identify and quantify what drives the customer’s decisions today and how that would change, if at all, because of your new offering.  Learn the relative importance of:
1. The product or service you are offering, versus the ease of doing business with you, versus the customer’s relationship with you, versus your brand
2. The product’s cost versus the purchase and adoption costs, versus the customer’s risk in buying your product
   
   
2. Identify, define, and quantify your value versus the customer’s alternatives
1. Benefits

1. Product / service
2. Services
3. Relationship
4. Brand

2. Cost

1. Purchase price
2. Ownership and adoption cost
3. Risk

3. Measure each competitor’s relative value and project a market close rate – how often each competitor will win a sale

The output is a “benefits and cost” scorecard for you and each competitor. These scores are used to compute a close rate for each offering. Close rate is a key building block of the Value Management Workbook™.

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