For more Sales Value Proposition Tools & Tips, Click Here to Subscribe to Two-Bullet-Tuesday
How to Present a Value Proposition – Building a business case for change is the essence of B2B selling.
An initial sales value proposition (SVP) can enable salespeople to effectively communicate the value (business case) of a potential solution in a manner that accelerates the sales cycle.
For example, last year, I presented the following initial sales value proposition on the first call with a large logistics company:
After introducing the initial SVP, the room was silent for what seemed like several minutes. As you can imagine, they had a lot of questions! Questions such as; “How would you do that? How did you calculate that? How can you make that statement, you barely know our company?”
I answered: “Based on the business impact we have delivered to companies similar to yours, this is our conservative estimate of the impact we can have on your company. However, the most important thing about our SVP is that it is wrong.”
I went further to explain that once we begin to work together, we would validate and fine-tune the business impact. I didn’t pull the SVP numbers from thin air. I did my research and leveraged experience, so the numbers I presented were comfortably achievable. We got the deal to work with this company thanks to the conversation prompted by the SVP.
We use the term initial “sales value proposition“ because it is customized by the salesperson to address the potential economic impact your firm could provide to the client or prospect.
When initially learning how to present a value proposition at the first meeting, it does not need to be precise, but it must be bold and backed up by past client success and experience.
When learning how to present sales value propositions, salespersons must realize they are not formal proposals. They are conversation starters that you must be prepared to discuss and defend.
Here is a framework of five initial sales value proposition attributes to attract the attention of potential prospects and accelerate the momentum of the buying process:
How to Present a Value Proposition At The First Meeting:
Initial sales value propositions (SVP) must be…
1. Clear and Concise
The initial sales value proposition must be concise, and the business impact of your solution has to be immediately apparent to the customer. You will instantly earn their time and attention if the problem/opportunity your solution purports to solve is evident and essential to the buyer. Avoid using technical language, acronyms, or new-age words.
2. Obvious
Explaining how your solution can create the business impact is the “aha” moment when the prospect can imagine the general value derived from your solution. Your initial sales value proposition must be expressed in terms and language that are familiar to your audience so they can quickly understand its relevance and value.
3. Adaptable
The initial solution value proposition must address how your solution can integrate with existing processes. This approach doesn’t mean that some of their processes won’t be affected or change. But the potential prospect must be satisfied that buying and implementing your solution won’t disrupt the entire company.
4. Scalable
An initial sales value proposition can address the scalability of future customer needs. Customers don’t want a solution that solves today’s problem. The future is almost always an essential consideration for a buyer making a decision. ‘Will this still support my needs in 2-3 years?’ or ‘Can this investment help me grow faster than I currently forecast?’
5. Justifiable
The initial sales value proposition needs to amplify the value and ROI provided by your solution. You can address this most effectively in your SVP by citing current customers. “Our customers average a 15% increase in sales growth.”
Lastly, you can combine multiple items above into an initial sales value proposition. For example: “Our clients on average experience a 10% increase in sales revenue within the first six months and a 15% increase over the first three years of our involvement.”
An Initial Sales Value Proposition (SVP) is a powerful tool to engage leadership teams on the first meeting or presentation. You must be exceptionally well prepared to defend your proposition and demonstrate confidence in your ability to deliver. More often than not, an initial SVP will get prospects asking questions and position you and your company ahead of the competition.
For more Sales Value Proposition Tools & Tips, Click Here to Subscribe to Two-Bullet-Tuesday