When you are considering starting your own business, there is one question you should consider above all else: what is my Unique Selling Proposition? A Unique Selling Proposition, or USP for short, is the key benefit that sets your product apart from competing products on the market. It’s the reason why a consumer would want to choose you over anyone else, summed up in one succinct message. In today’s blog post, we’ll help you learn how to identify and craft the perfect USP.
Why Unique Selling Propositions are So Important
With so many ecommerce stores selling their goods and services online, USPs are more important than ever. Customers need to be able to understand, within the space of a few seconds, what makes your product different than the rest.
If your product isn’t different from anything else on the market, you should probably reconsider whether you want to embark on a small business journey. However, we’re guessing that that’s not the case. Everyone has something special to offer, even if you might have to do a little leg work to find it. Here’s how to go about discovering your product’s unique advantages.
Step 1: Research the competition
Your first step in identifying your USPs is to look at your competition. This might be a little stressful, but it’s critical to your overall success. Try to identify your competitors’ strengths and weaknesses, and compare them to your own. Ask yourself the following questions:
- Am I giving customers a better online experience?
- Do I offer a more personalized in-person experience?
- Do I have stronger values, processes, or knowledge than my competitors?
Note that, ideally, your USP will not be anything your competitor can easily duplicate, like a discount, or free shipping.
Also, if you are struggling, remember one advantage you have over competitors, right off the bat: you are local. For some consumers, supporting a small, local business has emotional value that they can’t get from supporting a big box store or massive online retailer.
Step 2: Research your customers
This is one of those need-experience-to-get-experience Catch-22s that can be hard to break. However, there are ways to gain feedback even if you don’t have many (or any) customers yet. Try reaching out to:
- Members of relevant groups on Facebook, LinkedIn, or Reddit forums
- Reaching out to social media followers, or your competitors’ followers
- Contacts at industry networking events
- Local nonprofits designed to help small businesses
- College student groups (students are often happy to sample free food, or beverages!)
Though you are probably inclined to only reach out to friends and family members, this might not result in accurate data. Your friends, coworkers, and family members won’t want to give you negative feedback, as they could suffer social consequences (and, presumably, they care about you). So, the less your survey group knows you, the better. Further to this point, try using a platform like SurveyMonkey to help keep answers anonymous. Anonymity, as anyone who has ever used social media knows, fosters honesty…if not kindness.
Step 3: Craft your Survey
Ask participants the following questions:
- What do you want the product to help you achieve?
- How much would you be willing to pay for the product?
- Which product feature do you like the most?
- If you could change something about the product, what would it be?
You can get more ideas for product feedback questions on Whatfix. Try not to make your survey too long, though—most people lose interest after 15 questions or so. Once the results are in, look for common customer pain points and goals. Once you understand your audience, you’ll be well-positioned to craft a selling proposition that addresses those needs.
Step 4: Write Your Unique Selling Proposition
Now that you understand both your competitors and your customers, it’s time to get writing. Distilling all this information into one concise statement can be a little intimidating, so to reduce the overwhelm, try using this simple formula: “We help (X) do (Y) by doing (Z).” For example, “We help consumers reduce their food packaging waste by selling reusable food wrap.” It doesn’t exactly roll off the tongue, but it’s a place to start. Eventually, you can tweak the wording to something shorter and simpler: “A Simple Solution to Plastic Pollution.” (This is the actual USP of Bee’s Wrap.)
Another good tip for crafting your USP? Try to be specific as possible. One of the biggest mistakes new business owners tend to make is using generalizations, like “top-notch,” “high-quality,” or “superior.” Ask yourself—why is my product superior? For example, instead of saying, “We are the best plumbers in the area,” say, “We are the best plumbers in the area, because we show up on time, fix the problem quickly, and leave your home spotless.” Anyone can say that they are the best. Identifying specific reasons why makes a far more compelling argument.
With that said, try not to be too specific. Ideally, your USP will be applicable to any products and services you currently offer, and those you might want to offer in the future. Though you don’t want to be vague, try not to be so strict that you cannot accommodate new ideas or endeavors as your business expands.
I’ve Got My USP! Now what?
Once you’ve developed your USP, you can use it as the central guide point for all of your other branding and marketing decisions. It can help shape the messaging on your website; in your tagline; on your sales materials; and on all other outreach efforts. Once customers understand what makes your brand unique, you can start to make sales, build brand loyalty, and prosper!
Get all your small business needs at SSI Packaging
We hope that this post helped you identify your Unique Selling Proposition. For more advice on growing your small business, please check out our blog. And if you need anything to help pack, track, or ship your product, consider ordering some from SSI Packaging! Our Richmond packaging company has everything you might need, from shipping boxes to bubble wrap. To learn more, give us a call today.