In the late 1980s, HP launched a new line of computer monitors. The product training emphasized cool, new technology called “Half-Dot-Shift” which allowed the corners of zeros to be curved versus squared. Marketing materials highlighted this amazing new innovation. Easier to read and reduced eye fatigue were our value propositions and half-dot-shift was what made them true.
We included three PowerPoint slides, in our server presentations, detailing the new monitors. The customers were very interested in our computers so the conversations went well until a meeting with a major wood-products company.
We had reached the third page about monitors when the customer asked, “Why do I need to know about half dot s***?” We started to answer but the customer said, “The reason we buy your monitors is because they’re easier to use and they last longer. The new ones should be even better – Right?” We came in with a 10 minute value proposition – the customer told us what was valuable to him in less than 30 seconds.
This experience made me rethink how I developed value propositions. Rather than a standard product presentation I challenged myself to build value propositions from the customer’s point of view, and in less than 30 seconds. This led me to develop a tool called a 30-3-30.
- 30-second value proposition that creates a “suspicion of value” with the goal of getting prospects interested in less than 30 seconds, resulting in them asking to know more.
- 3-minute conversation that offers more information focused on what makes your value proposition true.
- 30-minute presentation and discussion that addresses the customer’s needs learned through research and the 3-minute conversation.
Creating a 30-second value proposition
If you cannot create a “suspicion of value” in less than 30 seconds leading the customer to ask for more, you don’t have a value proposition that fits your customer. You also lack the foundation on which to build your 3-minute conversation and 30-minute presentation, because the latter are all about proving that you can reliably provide the desired value.
Once the prospect asks for more, you’ve progressed from giving a sales pitch to creating a sales engagement. Both sides are gathering information. We’re using the engagement to enhance our knowledge with the goal of getting better results for both buyer and seller. You’ve earned VISABILITY and become more memorable to your prospect.
Whether you’re doing sales by phone or face-to-face with your prospect, the 30-second value proposition is a critical tool to create, and continuously refine for each sales situation.
The four key components to creating a “suspicion of value” are:
1. Business Situation and/or Challenge – Give the customer context by which they can evaluate your offer. Do enough homework on their industry and company to articulate a situation that is creating an issue for them.
Example: People make business decisions for personal reasons. Often, salespeople lose focus on the personal side of decision-making.
2. Problems To Solve – With the business problem identified, you then help the customer see how your offering can address it.
Example: We benefit by giving salespeople methods to keep their actions focused on the most important abilities customers look for in people they do business with.
3. Solutions You Offer – You close out the 30 seconds with a potential solution that makes the customer suspect that you can help in new ways.
Example: The Five Abilities® is a methodology that keeps us focused on the five most important abilities that customers look for.
With these three steps you have the components of a 30-second value proposition.
People make business decisions for personal reasons. They look for five abilities in the people they do business with. The Five Abilities® methodology guides salespeople to deliver on those five abilities, resulting in better engagement and more sales.
4. Suspicion of Value you want to create – What questions do you want the customer to ask? What do you want them to be curious about? What do you want them to suspect that you can deliver?
Example: What are The Five Abilities? How do The Five Abilities work?
I adapt my 30-second value proposition for each sales situation but the foundational components are what I’ve shared here. The prospect has asked me to tell them more every time I’ve used it. This is achievable by everyone who takes the time to design a statement that will create a suspicion of value in the mind of the prospect. More requests for more information lead to more sales.
©2014 Rick Wong – The Five Abilities® LLC
