How Value Proposition Design creates companywide insights
Value Proposition Design, have you heard of it? Maybe someone in your company mentioned it being important? If so, did you act? Let us start by sharing some facts that might catch your interest: Based on studies by HBR and many other surveys, an average of 70% of all Sales Departments does not achieve their target. Only 5-11 % overachieve their objectives. Let that sink in for a minute.
Daunting numbers if your company relies on hitting those sales targets. Right? Don’t worry, Value Proposition Design creates companywide insights that help you solve it.
If one of these situations sounds familiar to you. Assemble your Value Proposition Design team now.
Commercial teams have no clue which of their customers problems their companies’ solutions solve;
They sell products. That doesn’t solve the customers problem. We call it shoving boxes, just to hit their target. Even worse, the supporting teams get to clean up the mess. Sound familiar? You probably work in the supporting team.
Sales Teams continuously busy supporting customers and solving problems in the relationships;
The other way around, basically. The sales teams spend so much time on aftersales and administration, that there is no time to focus on new business. With all this admin, we will never hit our targets. Sound familiar?
A simple one-page Value Proposition solves many challenges
Why a simple one-page Value Proposition solves many of your companies’ challenges? Organisations disfunction for a wide variety of reasons, especially while growing their businesses. Outside-in challenges like competition, regulations or unexpected changes like a COVID distort our focus. Internal factors such as product fit, organisational design or even perceptions cause dismay. Often due to a general (mis)understanding of each other’s jobs. The solution to design your organisation to deliver value and ultimately growth, is simple. It helps to create a culture of continuous innovation as well as design new values across the business.
What it is? Value Proposition Design methodology. It is a great tool to pinpoint challenges, design solutions, test and learn before implementing. A simple one pager allows you to align teams and decide on where to invest as an organisation. The ultimate tool to increase the value you deliver to your customers.
When to use Value Proposition Design
So, when to use Value Proposition Design? VDP is all about customer jobs and how you create value! Forget limiting this kind of thinking to product. We are always looking to improve, simplify and optimise. This methodology delivers innovative designs to how every team and individual contributes to your growth strategy. Stop wasting time, effort and money on projects which do not contribute to success. Start creating value at lower cost, higher impact, and increase agility.
Some examples where to use the VPD methodology:
- Product Development and Innovation (Obvious)
- Team Member Onboarding (Shared values, understanding the value)
- Team design (Innovate what and how your team delivers their objectives)
- Process Design (Simplify and create synergies between teams)
- Customers Success (Eliminate whatever has the least impact to what success means)
- Growth strategies (Continuously validate your VP with new market segments)
- Innovative way of viewing your day to day tasks and improving how you engage to them
- Shift, move, test and learn. Agility matters
What Value Proposition Design does for your company
Value Proposition Design gives you an in depth look into your organisation. Create a project force with members from every team. The understanding of each other’s job and therefore, point of view, starts here. Create a companywide insight and understanding.
Caution, it will cause:
- A move from Product Design Improvements to organisational design improvements.
- A test and learn environment, to gather insights and validations for improvements.
- Your organisation to evolve top down as well as bottom up. Ensuring that on all levels it´s clear how the organisation will deliver more value. From what you sell, to how you service.
- Your organisation becoming an agile, end to end selling machine. Remove blocking processes, adapt quickly to changes, and most important, design a seamless customer journey.
Have we caught your attention?
How Growthbrokers uses Value Proposition Design
At Growthbrokers we use Value Proposition Design to align strategic design, create continuous focus on testing and learning, simplify processes, optimise approaches and most of all, align teams to objectives. But also, to build Onboarding plans for new team members. Teach them to sell solutions to your customers, not boxes. Every team member is a growth channel for your business.
Value Proposition Design combined with Lean Management and Business Model Design taught us a lot in the past 10 years. We enabled some innovative and creative approaches, achieved increase on win rates and decrease of churn rates across a wide range of businesses.
If you hear one of the initial statements regularly within your organisation, get in touch with us.