Definition Value Proposition. Description.
A (Customer) Value Proposition is a marketing statement
by a firm that summarizes how it can provide value for a prospective customer.
In other words: why a consumer should buy its product or use its service.
It is the sum total of benefits a customer is promised to receive in return
for the customer's associated payment (or other value transfer).
A sound value proposition is clear and concise and appeals
to the customer's strongest decision-making drivers. Also, it should convince
potential customers that the particular product or service will add more value
than other similar offerings by other firms.
A Value Proposition is a key element of a Business Model.
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Compare with:
Customer Satisfaction
Model |
Unique Selling Proposition
| SERVQUAL |
Positioning |
Relationship Marketing
| Customer Relationship
Management |
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