Original Post: The All-Important Value Prop
By Todd Hixon | July 20, 2012
Some of our companies fail: in an early stage venture fund, we expect about 40% mortality. That’s a very painful experience, especially the entrepreneur but also the investors. It triggers serious reflection on what went wrong. While every company has a unique story, our experience teaches that a weak value prop is the most common cause of failure…
I really appreciate the simple, direct and effective breakdown of the Value Prop that Todd has provided in this post. In my work with lots of SMB, entrepreneurial and larger companies working on getting their “killer value prop” working – we also focus on three questions (which his post certainly covers):
- Is your offering innovative or “net new”?
- Is your offering indispensable or “new useful” over time?
- Is your offering inspirational or “net wow” in its design or overall delivery to its intended customer.