Value proposition

A value proposition is

  1. How a product or service benefits the target customers
  2. A statement describing those benefits Value is created by solving customer problems or satisfying their wants & needs.

To understand a product’s value proposition, write User stories for the customer. User stories look at a product through the lens of the user to clarify how it creates value for the user.

Value can be delivered in many ways, such as:

  • Newness (the first iPhone)
  • Improvement (software update)
  • Design/usability (nest thermostat that is easier to use)
  • Social status (Gucci, Prada, Rolex, etc.)
  • Convenience (lower friction experience, better location, etc.)
  • Novel experiences, (visiting a zoo or circus, attending a magic show, etc.)